Agile VC

APRIL 17, 2011

AGILEVC My idle thoughts on tech startups. How They Do It: Aggregate data from travel data warehouses like ITA as well as indexing travel providers websites, provide this information to consumers in a highly customizable search engine. 2010 Net Income: $8 million. How to Evaluate Firms for a Seed VC. Cliff Notes S-1: Kayak.

Pre-Money Valuation 113

Pre-Money Valuation Liquidation Preference Dividend Common Stock 113

Venture Chronicles

MAY 26, 2010

Back in March, Ben Horowitz of Andreessen Horowitz wrote a post called The Case For The Fat Startup, where he outlined some of the reasons why a fledging company might want to consider taking a large amount of funding — a strategy that contrasts with the ‘lean startup’ model that has become common in Silicon Valley.

Lean 40

Lean Early Stage Valuation Startup 40

Startup Professionals Musings

FEBRUARY 6, 2015

Investing in entrepreneurs and startups is a fun but different world from investing in conventional stocks, bonds, and commodities. First of all, it’s more of an investment in people than in a business, since the startup is usually an idea barely half-baked when they need your money. Start in a business domain you know well.

Accredited Investor 120

Accredited Investor Liquidity Event SEC Entrepreneur 120

View from Seed

OCTOBER 29, 2014

Most folks reading this will know that many startups were built in part with the help of venture capital. However, many folks probably don’t think about exactly where those VC dollars that help fund startups actually come from. So I wanted to dive a little deeper into what I call the startup capital supply chain.

LP 335

LP Private Equity Institutional Investors Venture Capital 335

VC Cafe

NOVEMBER 3, 2010

PMC-Sierra is buying Wintegra for a net purchase price of $213 million and will pay up to an additional $60 million based on growth and performance milestones in 2011. billion net profit. PMC-Sierra, a premier Internet infrastructure semiconductor solution provider, is purchasing Wintegra Inc. , billion, of which $2.5

Bandwidth 79

Bandwidth Framework Forecast 79

VC Cafe

JUNE 19, 2020

Impact Investing has been around for a long time, most prominently since the 1960’s as companies and governments began engaging with the concept through private equity and debt investing in developing economies. There are around 200 Impact Tech VCs in the world, about a quarter are impact tech startups valued at $100 million or more.

Venture Capital 174

Venture Capital Global South Africa 174

Agile VC

OCTOBER 29, 2014

Most folks reading this will know that many startups were built in part with the help of venture capital. However, many folks probably don’t think about exactly where those VC dollars that help fund startups actually come from. So I wanted to dive a little deeper into what I call the startup capital supply chain.

Venture Capital 279

Venture Capital LP Private Equity Institutional Investors 279

techcrunch.com

FEBRUARY 19, 2010

Researchers polled experts in lending, mezzanine capital, private equity, venture capital and private businesses themselves. Researchers divided the portfolio companies into six stages and startups are still operating a loss in each of the first four. A lot of the stats weren’t surprising. A few more stats make that picture look worse.

Venture Capital 62

Venture Capital Technical Review Sweat Equity Valuation 62

Up and Running

MAY 1, 2014

Instead, they prefer to buy through large distribution companies that aggregate products from lots of suppliers and then make that inventory available to retailers to purchase. Business financials for most startups are less complicated than you think, and a business degree is certainly not required to build a solid financial forecast.

Business Plan 163

Business Plan Forecast Balance Sheet Distribution 163

ithacaVC

FEBRUARY 23, 2011

The MCOP can serve a critical role as founders and other management team members are diluted down by rounds of financing or if their equity is not in the money. As the investors’ aggregate liquidation preference (ALP) increases typically the need for a MCOP also increases. A few key points to consider: 1.

Liquidation Preference 55

Liquidation Preference Management Preferred Stock Dividend 55

Up and Running

DECEMBER 9, 2014

I have been involved in startups since I graduated from college in 1996. My background with entrepreneurialism is this is my sixth startup. One, I’m an entrepreneur or in the startup stage of a business. This is really an exciting panel to be a part of. Bates: Fantastic. Thank you Sabrina. Joshua Reeves: Thanks, John.

Small Business 95

Small Business Finance Forecast Metrics 95

Agile VC

NOVEMBER 13, 2012

The IPO market remained closed to IT startups, but there were big acquisitions like Google buying YouTube for $1.65B (Fall 2006) and late stage financing rounds for companies like Facebook (Microsoft round at $15B valuation in Fall 2007). For some firms that promise seems very sound based on funds well before the most recent one (e.g.

LP 154

LP Portfolio Venture Capital IRR 154

David Teten

NOVEMBER 15, 2013

The average equity fund investor earned a market return of only 4.25%. According to CB Insights, there is little to no relationship between financial runway and startup success. I don’t think that a Net Present Value calculation is appropriate for every company. In aggregate, angels are significant investors.

Management 114

Management Pre-Money Valuation Venture Capital New Hampshire 114

abovethecrowd.com

APRIL 20, 2016

In February of last year, Fortune magazine writers Erin Griffith and Dan Primack declared 2015 “ The Age of the Unicorns ” noting — “Fortune counts more than 80 startups that have been valued at $1 billion or more by venture capitalists.” Next came Rolfe Winkler’s deep dive “ Highly Valued Startup Zenefits Runs Into Turbulence. ”

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

K9 Ventures

MAY 14, 2011

The incubators invest usually for an equity stake and buy equity at a extremely low valuation (for example, 7% for $15,000, which implies a pre-money valuation of less than $200,000). The companies go through a 3-6 month long startup bootcamp and then typically try to raise angel/seed funding. However, there is a difference.

Preferred Stock 125

Preferred Stock Seed Stage Incubator Early Stage 125