Remove Hawaii Remove Internet Remove Revenue Remove Venture Capital
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The Venture Capital Secret: 3 Out of 4 Start-Ups Fail

online.wsj.com

SIGNIFICANCE PROMINENT. --> The Venture Capital Secret: 3 Out of 4 Start-Ups Fail. An entrepreneur with a hot technology and venture-capital funding becomes a billionaire in his 20s. The National Venture Capital Association estimates that 25% to 30% of venture-backed businesses fail. NAME David Cowan.

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2010 VC Funding Outlook for Startups – Prepare for Winter (Part 3/3)

Both Sides of the Table

Consumer spending is 70% of the economy and will continue to be stretched – We can look all we want at tech innovation, VC funding cycles and hot M&A deals, but ultimately growth and therefore investment must be underpinned by revenue. So we loaded up on flat screen TVs, multiple generations of iPods and trips to Hawaii.

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How SaaS + Mobile has changed our world.

Scalable Startup

But more importantly, the labor of moving software around by humans and physical media and even the Internet has been taken down to almost zero. The way we do things today is very different because of SaaS and the Internet. I can even build server based websites with Drupal and MySQL now on an iPad in a coffee shop.

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2011 Valuation Survey of North American Angel Groups

Gust

To provide some reference points, I surveyed thirteen angels groups in North American to determine their recent experience in negotiating the pre-money valuation of pre-revenue companies. See the 2010 data reported here: Current Pre-money Valuations of Pre-revenue Companies. Pre-money Valuation of Pre-revenue Companies.

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Boom and Bust and What Comes Next

Scalable Startup

Consulting Google, the oracle of the Internet, indicates that there is little in the way of consensus regarding the possibility of a tech boom/bust scenario playing out in the near term. The first page results of a search for “tech 2.0 bubble” include articles and tweets from the Wall Street Journal, Business Insider, Forbes, and CNET.