Remove Internet Remove IPO Remove Revenue Remove Seed Money
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Should Startups Focus on Profitability or Not?

Both Sides of the Table

I find it amusing when a journalist writes an article about a prominent startup (either privately held or preparing for an IPO) and decries that, “They’re not even profitable!” Internet scale. million in revenue three years later is, “So effing what?” Simplifying: Revenue -. Operating Costs.

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A Year in Review: 2016

Version One Ventures

forward revenue in February 2016 (the low), they appreciated by 6% each month for the following six months. At the same time, seed money is still abundant due to the proliferation of micro VC over the past few years. Of course, upcoming IPOs like Snapchat will bring some added excitement to the industry.

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Should Startups Care About Profitability?

Both Sides of the Table

70–80% of the costs of most startups are employee costs so what you’re really talking about when a company is unprofitable is that they are growing their staff ahead of their revenue. Revenue When I look at an income statement I start by focusing on the revenue line. You need to understand the “quality” of the revenue.

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The Series A crunch is hitting now. Have we even noticed?

pandodaily.com

Meanwhile, the rash of early liquidity and recent IPOs — unsatisfying as they were — gave liquidity to thousands of employees at large companies, and a subset of those made very real money. This time around, there has been an explosion at the early stages, and the very late pre-IPO growth stages. November 29, 2012.

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How to Start a Startup

www.paulgraham.com

During the Internet Bubble there were a number of startups founded by business people who then wentlooking for hackers to create their product for them. Because so little money is involved, raising seedcapital is comparatively easy-- at least in the sense of getting aquick yes or no. A rich companyis one with large revenues.

Startup 105