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The Coming Brick Wall in Venture Capital & Why This is Good for US Innovation

Both Sides of the Table

This is the final part of a 3-part series on the major changes in the structure of the software & the venture capital industries. With more competition in early-stage many VCs are investing smaller amounts at earlier stages. Some are going later stage to not miss out on hot deals. The Coming Brick Wall.

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So What is The Right Level of Burn Rate for a Startup These Days?

Both Sides of the Table

There is much talk these days that startup valuations have decreased and may continue to do so and that the amount of time it takes to fund raise may take longer. The earlier the round, the less capital you need and the more reasonable your valuation the less time that is needed generally to raise capital. Only you know.

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Understanding Changes in the Software & Venture Capital Industries

Both Sides of the Table

In this three-part series I will explore the ways that the Venture Capital industry has changed over the past 5 years that I would argue are a direct result of changes in the software industry, not the other way around. million in team costs to code, launch, manage, market & sell our software.

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How Private Equity and Venture Capital Investors Are Eating Their Own Dogfood

David Teten

Even for later-stage companies with predictable financials, the lack of liquidity, audited financials, and standardized metrics creates real challenges to scaling quantitative investing. Later stage investors are using private company marketplace services focused on more established companies, listed below under “Exit Investments”.

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Making Sense of the Stock Market Drops in Relation to Venture Financing

Both Sides of the Table

So why invest in that period of uncertainty unless it’s early-stage and thus valuation matters less. You might also favor a quicker close at a slightly lower valuation than you had hoped in order to decrease risk. At least later stage investors. This could have an impact on later-stage valuations.

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Get Ready For Q115 Fundraising Insanity

Feld Thoughts

The number of large, “later stage” financings are remarkable – both in size and velocity. But they are often extremely frustrating to strong, mid and later stage companies growing 25%+ year over year. enterprise software license sales) that is no longer trendy. We aren’t momentum investors.

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What are the most valuable recommendations in order to raise money from VCs connected via Gust?

Gust

One excellent way to do this (with a good bit of help from the experts), is to create a draft business plan using LivePlan from Palo Alto Software. That’s why investors attend Demo Days and look for acceptance into such programs as one of several ‘validators’ of a startup.