Steve Blank

MARCH 16, 2016

Founders can now access the largest pool of risk capital that ever existed –in the form of Private Equity (Angel Investors, family offices , Venture Capitalists (VC’s) and Hedge Funds.). At its core Venture Capital is nothing more than a small portion of the Private Equity financial asset class.

Liquidity Event 120

Liquidity Event Founder Liquidation Preference Venture Capital 120

David Teten

JANUARY 19, 2021

Similar to the explosion of seed funds in the past decade, we (and some limited partners too ) believe these Flexible VCs are on the forefront of what will become a major segment of the venture ecosystem. We detail below the major categories of VC: VENTURE CAPITAL TYPOLOGY. Funder Category. Equity Ownership.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Both Sides of the Table

APRIL 2, 2010

This is part of my series on Understanding Venture Capital. What will matter are: whether the people who invest in VC funds (LPs or Limited Partners) increase their activity and the performance of that actual fund. Tags: Pitching VCs Raising Venture Capital VC Industry. Why does vintage matter to you?

Venture Capital 269

Venture Capital Balance Sheet Early Stage Software Review 269

Steve Blank

JULY 15, 2010

If you take funding from a venture capital firm or angel investor and want to build a large, enduring company (rather than sell it to the highest bidder), this isn’t the decade to do it. The collapse of the IPO market and dysfunctional math in the venture capital community has stacked the odds against you.

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Venture Capital IPO Liquidity Event Entrepreneur 297

Both Sides of the Table

JULY 16, 2010

The VC industry grew dramatically as a result of the Internet bubble - Before the Internet bubble the people who invested in VC funds (called LPs or Limited Partners) put about $50 billion into the industry and by 2001 this had grown precipitously to around $250 billion. Here’s my take: 1.

LP 311

LP Technical Review Early Stage Silicon Valley 311

Both Sides of the Table

OCTOBER 12, 2014

And because they are so much larger by the time they go public (think: Facebook $104 billion, Twitter $18 billion, Alibaba > $200 billion) the private value of the most successful companies pre-IPO is more more valuable than it ever was. Why prorata rights are now sought out by LPs.

Technical Review 336

Technical Review Later Stage Early Stage LP 336

Both Sides of the Table

AUGUST 25, 2015

Last night I wrote a post about how the fall in the stock market over a 3-day period may affect the venture capital markets. Let me give you the quick summary of what I said yesterday: Public markets affect venture funding. public stocks go up and privates can grow into IPOs; or. So now what? Equally importantly.

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Balance Sheet Valuation Burn Rate Stock 150

Both Sides of the Table

OCTOBER 1, 2009

So what is driving the new energy in the remaining venture capital firms when we kept hearing how much the whole industry was “against the ropes?&# … 1. IPOs and M&A have returned – and with them the investment bankers have staged a rebound. – IPO-able in any normal market.

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IPO Investment Bankers Venture Capital Marketing 255

Venture Chronicles

JULY 5, 2010

Venture Capital Dispatch - WSJ ]. Before we can fix whatever is wrong with venture capital we have to address the conditions in the public markets that are so onerous for new listings… the regulatory regime being first and foremost among the hostile.

Venture Capital 40

Venture Capital Marketing Limited Partner IPO 40

Babbling VC

OCTOBER 3, 2011

For those of you not in the know, they are one of the largest limited partners ( LP's : investors in venture capital funds) in Europe and are basically in almost all the funds throughout the market. If IPO's return, you basically will have two to three public markets you can sell into.

LP 82

LP Europe Germany Venture Capital 82

Board Effect

MAY 10, 2019

Venture capitalists specialize in risky investments in the hopes that a big win will pay off. The goal of venture funding is to get a very high return, usually in the form of an acquisition of the startup or IPO. How Venture Capitalism Works. Attracting the Best Candidates for Venture Capital Investment Firms.

Venture Capital 49

Venture Capital Startup Elevator Pitch Angel Investor 49

Austin Startup

AUGUST 18, 2017

By Tushar Jain Traditional venture capital firms typically invest in the equity of young, fast-growing, technology startups. Each individual investment is risky: 75% of venture-backed companies fail to return invested capital to their investors. But all the assets Multicoin Capital invests in are liquid.

Venture Capital 54

Venture Capital Marketing Technical Review Portfolio 54

The Next Web

MARCH 8, 2014

Jason Lemkin is the Managing Director at Storm Ventures , a venture capital firm focusing on early-stage enterprise and IT companies, including MobileIron , Marketo and GuideSpark. From the standpoint of a founder, the life of a venture capitalist can seem very, very different. You and me? We’re not so different.

Partner 138

Partner Burn Rate Early Stage IPO 138

Growthink Blog

MAY 23, 2011

With this seed capital – more often than not totaling between $100,000 and $1,000,000 - the company accomplishes a number of key technical milestones, gets a beta customer or two, and then goes on a "road show" to venture capitalists around the country for capital to “scale” the business. There are a lot of dark, hard days.

Angel Investor 112

Angel Investor Venture Capital Sweat Equity Cram Down 112

The Equity Kicker

JUNE 9, 2016

Perhaps the biggest story in venture capital from 2012-2015 was the rise in late stage valuations. Against this backdrop the folks at Industry Ventures, a Limited Partner that invests in VC firms, spoke with 40 mutual fund and hedge fund managers to find out what they are thinking.

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Valuation Venture Capital Limited Partner IPO 60

Austin Startup

MARCH 7, 2021

in the last four years we’ve seen a 250% increase in venture capital funding and have doubled the number of startup development organizations in our community.” It is the tech hub of Texas and has the most local venture capital and attracts the most venture capital. Austin Ventures.

Texas 90

Texas San Antonio Houston Dallas 90

This is going to be BIG.

AUGUST 22, 2016

There are some things I learned about running a first fund over and above finding great companies that I think are important for new managers to keep in mind: 1) Venture capital will be humbling. It takes so long to hone your craft in venture capital that, for me, I could never be successful changing up what I do all the time.

New York City 60

New York City New York Venture Capital Limited Partner 60

David Teten

MARCH 2, 2013

I recently had an extensive debate with Tom about why and whether small funds (like mine, ff Venture Capital ) tend to outperform large funds (like his). I agree with Tom on the principle that there is a natural upper limit to fund size before returns tend to suffer, but we are at odds as to where that limit is.

LP 114

LP Securities and Exchange Commission Silicon Valley Venture Capital 114

Version One Ventures

SEPTEMBER 12, 2017

It has 10 times the market cap of SNAP, the most prominent IPO of 2017. And so, we keep hearing how venture capital is about to be disrupted. The post Why the Blockchain is so disruptive for venture capital appeared first on Version One. We’ve all heard this song before. New way of running your VC business.

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Venture Capital LP Dilution Limited Partner 164

ithacaVC

MAY 10, 2011

First, VCs get capital commitments from limited partners (i.e., That means that it has capital commitments from investors of $100mm. Capital is called when needed for investment, fund expenses or management fee. Second, the General Partner of VC1 is the entity that runs the fund (let’s call it GP1).

Carried Interest 51

Carried Interest Ratchet Limited Partner Due Diligence 51

Hippoland

NOVEMBER 13, 2016

The #1 problem with the venture capital game, in general, is that *actual success* is measured over decades not years. So while I’m waiting for my portfolio companies to either die or go IPO, what am I looking at as indicators of success / failure? But I should have thought about it. This is necessary but far from perfect.

IRR 48

IRR Valuation Portfolio Due Diligence 48

Altgate

MAY 1, 2009

The bottom line take away (for me) is that VC is capacity limited by the value of exits (M&A plus IPOs). Share and Enjoy: This entry was posted in Entrepreneurship , Startups , Venture Capital and tagged entrepreneur , exits , IPO , limited partners , M&A , private equity , startup , venture capital.

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Sweat Equity Private Equity IPO Venture Capital 28

VC Cafe

JUNE 29, 2011

The latest Global Trends in Venture Capital report, compiled by the British Venture Capital Association (BVCA) and Deloitte, asks the question: “Is a an active IPO market in your home country essential for the success of the venture capital industry in that market?&#. Continue reading →

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IPO Global Venture Capital Marketing 87

abovethecrowd.com

APRIL 20, 2016

All Unicorn participants — founders, company employees, venture investors and their limited partners (LPs) — are seeing their fortunes put at risk from the very nature of the Unicorn phenomenon itself. In 1999, record valuations coexisted with record IPOs and shareholder liquidity. 2015 was the exact opposite.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

This is going to be BIG.

APRIL 10, 2015

Take venture capital, for example. Very few are ever going to wind up in the former category--so the most accessible option for most investors would have to be a venture capital fund. Below that and they need to keep you from investing in really risky stuff, like venture capital.

Venture Capital 60

Venture Capital SEC Accredited Investor Silicon Valley 60

Both Sides of the Table

JUNE 29, 2017

I am so proud and humbled to be able to formally announce that Upfront Ventures has raised its 6th venture capital fund in the past 21 years. A huge thank you to all of the Limited Partners who have entrusted us with your capital, time and reputations.

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Los Angeles Las Vegas Venture Capital San Francisco 287

VC Cafe

JANUARY 15, 2024

At zero interest rates with a seemingly never ending flow of capital to fuel growth, Unicorn creation rate hit a peak in 2021, but fast forward 3 years and justifying a billion dollar valuation seems more like a liability. They need to either raise, become profitable (default alive) or exit (M&A or IPO).

IPO 88

IPO Valuation Private Equity 88

David Teten

AUGUST 20, 2019

Should you raise venture capital from a traditional equity VC or a Revenue-Based Investing VC? Greater transparency to limited partners. When It’s a Venture Capital Mark ”. John Borchers, Co-Founder of Decathlon Capital, observed, “If you look at the Inc. Who are the major Revenue-Based Investing VCs?

Revenue 60

Revenue SBIC Cofounder Venture Capital 60

K9 Ventures

DECEMBER 9, 2008

The bottomline is that this is the worst time in history for the venture capital industry. The stories of doom and gloom in the venture business are everywhere. Here are just a couple that I’ve come across recently: TechCrunch: The End of Venture Capital As We Know It? NY Times Bits: I.P.O.

Venture Capital 48

Venture Capital Capital Call Portfolio Stock 48

Professor VC

DECEMBER 8, 2015

Often times those involve trading within a venture capital portfolio or between two venture firms portfolios. But what about the case where both companies are well capitalized and doing well? Obviously, Musk and Thiel both did fine off the eventual Paypal IPO (and even better subsequently with Facebook and Tesla).

Merger 28

Merger LP IPO Redemption 28

Pascal's View

MARCH 9, 2010

This is the second in our series of ten frequently asked questions from investors in venture capital partnerships. To address the broader point about accuracy in book valuation, I am concerned that the developing industry standard for venture capital is at risk of going too far while providing no real benefit to investors.

Government 31

Government Private Equity Institutional Investors Venture Capital 31

Steve Blank

OCTOBER 29, 2009

These IPOs meant that technology companies didn’t have to get acquired to raise money or get their founders and investors liquid. million of it by the time they dissolved their partnership in 1968 – they returned $90 million to their limited partners – a 54% compound growth rate. More on this in the next post.

Silicon Valley 125

Silicon Valley SBIC San Francisco RSS 125

Both Sides of the Table

JANUARY 30, 2016

I wanted to encourage more of our Limited Partner (LPs, or the people who invest in VC funds) to attend our annual meeting in person. It’s important that we stay current in and debate others on what is actually happening: In late-stage financings, in IPOs, in M&A, in crowd funding, etc. I had a few objectives in mind.

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Community Los Angeles LP Portfolio 150