View from Seed

OCTOBER 15, 2014

A seed-stage mobile startup’s housekeeping section might look something like this: Section 3: Core Metrics. The goal isn’t to suddenly self-sustain and generate tens of millions in revenue immediately following a seed investment (though nobody would argue if that happened). The seed stage is all about traction.

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Seed Stage Cap Table Metrics Burn Rate 331

View from Seed

SEPTEMBER 27, 2016

What are the actual numerical metrics which we need to demonstrate? This rationale sounds rational, but the challenge with this logical goal-centric approach to metrics is that it’s based on the flawed assumption that the absolute scale of a startup is paramount when relative growth is often more important. First, the contour.

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Metrics Revenue Partner Finance 120

View from Seed

DECEMBER 6, 2018

Again, the money slide of most early stage decks is the most relevant top line growth and engagement metrics. But increasingly, seed and series A rounds are raised for companies that have some product in market, if not significant revenue. Product, growth, and financial metrics). Slide 2 : What do you do?

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Metrics Early Stage Distribution Audience 120

View from Seed

SEPTEMBER 25, 2019

Investors want to know the critical thinking behind the inputs and value-drivers of the business, and how that results in the outputs on the critical metrics and finances. But the real significance of these figures is the exercise behind it.

Seed Stage 166

Seed Stage Retention Restful Valuation 166

View from Seed

JUNE 16, 2015

In my opinion, VCs shy away from directly answering the questions pertaining to “at what point a company is fundable” or give a generic answer regarding revenue. Here are some top-line metrics that I think are worth shooting for: For marketplace businesses: $5M-$10M in annual GMV run rate. For SaaS: At least $100K in MRR.

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Boston Syndicate Syndication eCommerce 120

View from Seed

JUNE 30, 2015

Over a third of our investments happen pre-product (so by definition, before PMF), and two-thirds are pre-revenue. For a marketplace or ecommerce business, you need to be doing well north of $5M in annual revenue or GMV to get an A round done. FWIW, at NextView, we invest from inception to strong PMF.

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Seed Stage Syndicate Syndication Dilution 120

View from Seed

AUGUST 30, 2016

“Users” is interesting, but the engagement metrics and value of users is where real success comes into play. In addition, look at Facebook’s revenue per user growth globally over the past few quarters. Referrals (generating direct customer referrals and new revenue channels with fellow local business owners).

Social Media 185

Social Media B2B North America Media 185

View from Seed

MARCH 15, 2017

Internally, the scarcity of tangible business metrics – product usage or revenue multiples for example – can make an investment decision feel daunting. Financial Metrics & Financing: Perhaps the most variably sized section of the NextView investment memo. Any seed stage company’s strategy is a constant work-in-progress.

Due Diligence 265

Due Diligence Seed Stage Portfolio Metrics 265

View from Seed

FEBRUARY 27, 2019

growth/revenue target) to get to the next stage/financing round. disprove certain hypothesis so you can move on); otherwise they should either move your top line (revenue) or your bottom line (margin/profit) directly or indirectly (e.g. product engagement, retention metrics). It’s not enough for the CEO to know what these are?—?make

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Hiring Bandwidth Product Early Stage 120