Steve Blank

AUGUST 5, 2014

Kathryn has been the founding VP of Marketing of Oracle , a successful recruiter, a world class Venture Capitalist, a co-founder of a Venture Capital firm, a great board member, one of my mentors and most importantly a wonderful friend. The answer of course, was Venture Capital, but that was not in the cards—as yet.

Venture Capital 333

Venture Capital Silicon Valley Chicago Cofounder 333

VC Cafe

MARCH 8, 2010

Only three Israeli venture capital funds completed their fund raising efforts in 2009: Sequoia Capital Israel , announced final closing of Sequoia IV, a $200 million vintage 2009 fund. In 2010, the capital available for investment in first round and follow on rounds now stands on $1.2 as its main investor).

IRR 74

IRR Venture Capital Institutional Investors 74

David Teten

OCTOBER 15, 2013

ff Venture Capital has consistently generated a gross IRR on invested capital in excess of 30%, in a world where the average ten-year returns for venture capital firms are in the single digits. But what about venture capital firms? Now we can. Indiegogo is a ffVC portfolio company.

Venture Capital 114

Venture Capital Accredited Investor IRR Later Stage 114

VC Adventure

OCTOBER 5, 2020

Some of the most popular posts I’ve written over the past couple of years were the two that focused on just how rare outsized returns for an individual deal are in venture capital. Taking the most aggressive end of these numbers would still only have this one company returning 70% of the fund’s capital.

IRR 174

IRR Venture Capital Community Partner 174

David Teten

SEPTEMBER 16, 2014

That’s a sizeable amount, especially in comparison to the US venture capital industry, which similarly invests over $20 billion annually. In 2013, 298,800 angels invested in 70,730 entrepreneurial ventures, according to the 2013 Angel Market Analysis by the Center for Venture Research at the University of New Hampshire.

Angel Investor 114

Angel Investor Technical Review Venture Capital New Hampshire 114

Steve Blank

MARCH 31, 2014

But the world you lead will be much different from the one your professors knew or your predecessors managed. As the venture capital business has come roaring back in the last 5 years, startups are awash in available capital. To manage these employees companies create metrics to control, measure and reward execution.

Private Equity 325

Private Equity Metrics China Business Model 325

Seeing Both Sides

SEPTEMBER 26, 2010

Venture capital investors are historically accustomed to being the wolf. One LP complained to me the other day: “The founders get liquidity, the angels get liquidity, and the pressure to go IPO is taken off the shoulders of the board and management team. To achieve that same 38% IRR in 9 years, a 20x return is required!

IRR 36

IRR IPO Entrepreneur LP 36

Up and Running

JUNE 17, 2013

We looked at the product, the market, and the management team, with some attention to defensibility and scalability, and we made our own intuitive comparisons of possible ROI. And Internal Rate of Return (IRR)? Finance angel investment IRR ROI venture capital' I trust my judgment on that.

IRR 71

IRR Flash Angel Investor Venture Capital 71

Tim Keane

JANUARY 12, 2010

  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.]   Internal Rates of Return naturally compound, so a 50% IRR is 7.59

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

The Equity Kicker

MAY 27, 2015

Fund managers are assessed, in part, on their ratio of expenses to assets under management. This applies to all classes of fund managers, including pension fund managers, IFAs, private equity fund managers, and venture capital fund managers. Therefore, the lower the expense levels the better.

Cost 60

Cost IRR Private Equity Salary 60

Growthink Blog

JUNE 3, 2014

Over the last three weeks, we have discussed the various factors that drive the 25% IRR return potential of the startup and emerging company investing class. Yet, for the very most part, it is to this world that most of us turn to manage our money. So when results come back that are barely average, we should not be surprised.

Omaha 91

Omaha Accredited Investor IRR Silicon Valley 91

David Teten

AUGUST 21, 2019

Should you raise venture capital from a traditional equity VC or a Revenue-Based Investing VC? The RBI investor is motivated to help the company grow because that speeds up the pace of revenue payback, and therefore IRR. Requires regular monthly payments and careful cash management. Aligned incentives.

Revenue 60

Revenue Liquidation Preference Equity Cofounder 60

Agile VC

NOVEMBER 13, 2012

There are some obvious structural reasons why a shakeout in the venture capital industry takes a long time. The reality is that it wasn’t until the GEC (Global Economic Crisis, Great Recession, Credit Crunch, call it what you will) of late 2008 and early 2009 that the shakeout really began for venture capital.

LP 154

LP Portfolio Venture Capital IRR 154

Professor VC

MARCH 10, 2009

In other parts of the country, this is business as usual: Identify a customer need Build a product Sell the product In the valley, the knee jerk reaction is to start with the powerpoint deck and look for the venture capital drug. Jon Fisher purposely avoided raising venture capital in his ventures. Venture News.

Bootstrapping 28

Bootstrapping San Jose Silicon Valley Software Review 28

David Teten

MAY 8, 2012

As Steve Case has said, it’s ridiculous that anyone can gamble and be guaranteed to lose money, but there are strict regulations around who can invest in early-stage private companies and earn (in some cases) a 27% IRR on their capital. *. The Entrepreneurs Access to Capital Act helps to redress this. Start now! *

Securities and Exchange Commission 148

Securities and Exchange Commission IRR Entrepreneur Angel Investor 148

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 argue that, just as with hedge funds and mutual funds, the larger the venture capital fund, the more difficult it is to generate strong returns.

LP 114

LP Securities and Exchange Commission Silicon Valley Venture Capital 114

Both Sides of the Table

MAY 25, 2013

“I don’t know the exact math, but I hear it again and again: the top 2% of firms generate 98% of the returns in venture capital.” The better way to think about VC returns is, do the firms consistently beat alternative asset clases on an IRR basis to adjust for the increased risk and lack of liquidity? It is changing.

LP 374

LP Later Stage IRR Term Sheet 374

Growthink Blog

MAY 21, 2014

There were some great responses to my post last week as to the poor returns experienced by venture capital fund investors. This flexibility is a game changer, as when done right it can provide managed, diversified exposure to a portfolio of deals and opportunities inaccessible via more “traditional” means. Labor Arbitrage.

San Diego 72

San Diego Warrant IRR Investment Bankers 72

Venture Chronicles

JUNE 30, 2010

The sky is falling on the venture capital rainmakers. Over the past 10 years their quarterly internal rate of return (IRR)—the primary measure of VC success—was dismal, hovering in the single percentage points and sometimes dipping into negative territory. Tags: Uncategorized VC IRR.

IRR 36

IRR IPO Venture Capital Portfolio 36

K9 Ventures

MAY 14, 2011

The limited partners may themselves run the gamut from individuals, family offices, venture capital funds to institutional LPs. As fiduciaries, the general partners of the uVC funds have to begin to focus on the dreaded VC I-word : IRR. It is the natural evolution of the venture business and funds.

Preferred Stock 125

Preferred Stock Seed Stage Incubator Early Stage 125

K9 Ventures

NOVEMBER 30, 2008

The business of venture capital is relatively young. The birth of modern-day venture capital (not considering the European monarchs financing explorations and projects as venture capital) can be traced back to American Research and Development, which was started by Georges Doriot. of the size of the fund.

IRR 48

IRR Venture Capital LP Early Stage 48

This is going to be BIG.

MAY 16, 2016

There aren't many people who get the chance to analyze venture capital fund return data. Sounds like a huge amount, but only later does he say that only " 476 funds which had known Net IRR values, the overwhelming majority of which were from vintage 2002, or more recently." 3) You can't eat IRRs for breakfast.

Venture Capital 66

Venture Capital IRR LP .Net 66

Professor VC

JANUARY 17, 2008

If my math is correct, this is approximately a 31% IRR, which has to beat individual angel investments on aggregate and venture capital returns over the period of the study (1990-2007). The Most Important Venture Capital Statistic. Congratulations on the Best Venture Capital Investment. Venture News.

Pre-Money Valuation 28

Pre-Money Valuation Angel Investor Angel Groups Valuation 28

abovethecrowd.com

APRIL 20, 2016

These mutual funds “mark-to-market” every day, and fund managers are compensated periodically on this performance. In Silicon Valley boardrooms, where “growth at all costs” had been the mantra for many years, people began to imagine a world where the cost of capital could rise dramatically, and profits could come back in vogue.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40