Both Sides of the Table

SEPTEMBER 15, 2022

The market was down considerably with public valuations down 53–79% across the four sectors we were reviewing (it is since down even further). ==> Aside, we also have a NEW LA-based partner I’m thrilled to announce: Nick Kim. But rest assured valuations get reset. And reset they must. It’s just math.

Technical Review 416

Technical Review Pre-Money Valuation San Francisco Valuation 416

View from Seed

DECEMBER 4, 2019

If you aren’t familiar with these metrics, I recommend reading the original post to get a sense of the numbers that I’ll be reviewing here. The longer the portfolio maintains the same value without distributing back cash, the worse the fund’s ultimate IRR. So, is this good or bad? This would suggest that TVPI would be performing well.

LP 256

LP IRR Distribution Portfolio 256

David Teten

JANUARY 19, 2021

Our categorization is not a technical one. Additionally, Flexible VC can accommodate all types of companies, not just asset-lite, tech-enabled companies.”. Yes, via conversion rights at a valuation cap. Yes, via conversion rights at a valuation cap. Flexible VC offers you this. Flexible VC 101: Equity Meets Revenue Share.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Tim Keane

JANUARY 12, 2010

Term-sheets and Valuations: Thinking about Negotiations.   I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.] The Valuation Question.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Up and Running

DECEMBER 22, 2015

My personal favorite in the “pure nonsense category” is the IRR, the Internal Rate of Return , something that was interesting for about one hour as part of the MBA curriculum, but which has no relevance in the real world. Read more of my articles related to this topic: You Can Take That IRR and Shove It.

Angel Investor 60

Angel Investor IRR Software Review Startup 60

abovethecrowd.com

APRIL 20, 2016

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. The pressures of lofty paper valuations, massive burn rates (and the subsequent need for more cash), and unprecedented low levels of IPOs and M&A, have created a complex and unique circumstance which many Unicorn CEOs and investors are ill-prepared to navigate.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40