Gust

JANUARY 31, 2013

Modern theories of economics and finance teach us that in a world of perfect information, the market will decide what a fair price is for any company’s stock at any point in time based on its current financial condition, results of past operations, analysts’ forecasts of future performance, industry conditions and so on.

SEC 158

SEC Prospectus United States Technical Review 158

Up and Running

MAY 1, 2014

Your business plan isn’t complete without a financial forecast. Technology : If you are a technology company, it’s critical for your business plan to describe your technology and what your “secret sauce” is. At a high level, you will want to describe how your technology works. Read more ». Financial Plan.

Business Plan 163

Business Plan Forecast Balance Sheet Distribution 163

Startup Professionals Musings

AUGUST 13, 2012

Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy.

Business Plan 283

Business Plan Sweat Equity Exit Strategy Intellectual Property 283

Startup Professionals Musings

FEBRUARY 13, 2016

Just because your technology is exciting and potentially disruptive doesn’t mean you are ready to build a business. What are your forecasts for revenue, expenses and cash flow? Forecasts are evaluated as a level of commitment and a measure of your business savvy. What is the business problem you are solving?

Sweat Equity 120

Sweat Equity Advisory Board Liquidity Event Startup 120

Startup Professionals Musings

MAY 13, 2011

Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy.

Business Plan 290

Business Plan Sweat Equity Exit Strategy Intellectual Property 290

Tim Keane

MARCH 9, 2011

How to prepare a sales forecast for a business plan » March 09, 2011. Example two:  Explosive market share growth and revenue in an expanding market with acquisitive players available.   The company is pre-revenue and Sarah’s intention is to sell the company within three years. .  five years.). . 

Finance 83

Finance Bootstrapping Startup Equity 83

Gust

AUGUST 5, 2012

Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy.

Business Plan 182

Business Plan Sweat Equity Exit Strategy Intellectual Property 182

Startup Professionals Musings

APRIL 22, 2010

Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy.

Business Plan 186

Business Plan Exit Strategy Sweat Equity Intellectual Property 186

Cracking the Code

OCTOBER 13, 2020

The average revenue multiple is now 17x+, close to 10 times higher than during the 2008 crisis! On the IPO front, the one word that comes to mind is “supersize”. Overall, COVID prompted people to revise their growth forecast slightly downward and be more conservative on their cash burn, but so far, the impact hasn’t been dramatic.

Europe 71

Europe Cloud Silicon Valley 71

Ben's Blog

AUGUST 17, 2020

OH in South Park, San Francisco (or on Zoom from Big Sky, Montana): “OMG, crazy – that firm just paid 100x revenue to invest in [insert hot startup here] – what could they be thinking?” cash flows beyond that forecast period). It starts with the complexity involved in valuing companies in general.

Valuation 36

Valuation Balance Sheet Cofounder Forecast 36

abovethecrowd.com

JULY 10, 2014

Consider the following example from 34 years ago that included the exact same type of prediction error: “In 1980, McKinsey & Company was commissioned by AT&T (whose Bell Labs had invented cellular telephony) to forecast cell phone penetration in the U.S. If you have not read it, I highly recommend that you do.

San Francisco 111

San Francisco San Jose Marketing Technical Review 111

Tim Keane

JANUARY 12, 2010

Next, they carefully consider the range of multiples being used today to value companies being acquired or doing IPOs in the market that the business is in.   In a bottom up approach, the forecast is built from actual user projections. times the investment.).   As an example, I have used an EBIT multiple [1].

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Cracking the Code

SEPTEMBER 2, 2008

The Deutsche Bank report has a very interesting chart on the topic presenting the Free Cash Flow margins vs. the revenue growth four years post IPO for select software leaders: As you can see, with 20% Free Cash Flow margin and a 50% growth rate, Salesforce is well positioned in the pack! Best Venture and Technology Podcasts for 2007.

Software Review 48

Software Review Software Technical Review Cloud 48

Up and Running

APRIL 28, 2015

Slide 5: Revenue model. Investors will expect to see your sales forecast, profit and loss statement, and cash flow forecast for at least three years. Having an IPO and going public is a viable option for some high-growth startups, while other businesses are more likely to be bought by larger players in your market.

Forecast 60

Forecast Hockey Stick Exit Strategy Intellectual Property 60

Steve Blank

AUGUST 27, 2009

It was adopted by the consumer packaged goods industry in the 1950s and spread to the technology business in the last quarter of the twentieth century. Yet we used the product development model not only to manage product development, but as a road map for finding customers and to time our marketing launch and sales revenue plan.

Silicon Valley 269

Silicon Valley Product Startup Product Development 269

Both Sides of the Table

MARCH 30, 2016

Many had started IPO’ing and we started to think about our future. If you want to see what was on my mind – I started foreshadowing change publicly in October 2015 with a forecast of what I expected in 2016 VC funding markets at a presentation I gave at the annual Cendana VC/LP conference hosted by Michael Kim.

Balance Sheet 150

Balance Sheet Burn Rate Valuation Forecast 150

Both Sides of the Table

FEBRUARY 23, 2010

I just want to state that up front because while I believe that this post will apply to most startup technology companies out there, I’m sure there will be exceptions. I’ve seen way too many startups spend all their energy getting channel deals done only to find out that they don’t produce ANY revenue.

Channel 293

Channel Startup Sales Partner 293