article thumbnail

How to Decrease the Odds That Your Startup Fails

Both Sides of the Table

It turns out that to build a successful company you ultimately need this strange thing called “revenue” that people don’t just hand you: You need to earn it. And there’s this other thing called “gross margin,” which shows the quality of your revenue. How much ad revenue does TripAdvisor make?

Startup 150
article thumbnail

How Investors Think About Valuation of Pre-Revenue Startups

SoCal CTO

They might have some seed money and are thinking or raising a Series A based on success of an early release (MVP). He just post: Establishing the Pre-money Valuation of Pre-revenue Startups. A lot of my time is spent helping early-stage companies get to proof points so that they can raise capital. It's required reading.

Valuation 198
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Startups Should Make Their First Dollar Before They Raise Their First Dollar

ReadWriteStart

The answer to the age-old question of whether your business should be trying to make money or raise money is almost universally the latter. Generating solid revenue streams early on will make many of the fundraising problems much easier to handle later on. 4 Reasons to Focus on Revenue Before Fundraising. More Leverage.

Startup 130
article thumbnail

Startups Should Make Their First Dollar Before They Raise Their First Dollar

ReadWriteStart

The answer to the age-old question of whether your business should be trying to make money or raise money is almost universally the latter. Generating solid revenue streams early on will make many of the fundraising problems much easier to handle later on. 4 Reasons to Focus on Revenue Before Fundraising. More Leverage.

Startup 78
article thumbnail

Timing: When to raise seed funding.

Scalable Startup

High growth startup companies need seed money to get things going. They need the money to rent offices, hire staff, and establish their initial presence (website, incorporation, marketing). To me, this is the best time to raise your seed. Without funding most tech startups will die. Option Three: Or don’t raise funding.

article thumbnail

11 Entrepreneurs Explain Their Major Accomplishments in 2018

Hearpreneur

Literally, one week later we had secured seed money, established business roles, added on another partner, ran the numbers, and started a pest control company! 9-Increase in my revenue. This year I was able to increase my revenue by more than double from the previous year. Thanks to Robert Sollars. #9-Increase

article thumbnail

What early stage fundraising in 2018 looks like?

Hippoland

It will be hard to raise a pre-seed round through traditional methods If you are raising money through traditional methods (such as with angels / micro VCs / VCs) via a convertible note or convertible security or equity deal, it will be a lot harder to raise pre-seed money in 2018. Cons: Slow.