Lessons From The Internet Bubble: Growth vs. Profitability

Feld Thoughts

Between the spring of 2000 and the end of 2001, I had the worst, most stressful, and most painful business period of my life. Instead, I, like many of my colleagues (investors, board members, founders, and CEOs), operated in a state of blissful denial until everything blew up. There’s a special bonus in Mark’s post, which is in the section titled Revenue is Not Revenue is Not Revenue.

The Other Amazon Deal this week. Drupal founder attracts over $100 Million in 3 months.

Scalable Startup

Drupal was launched in 2001, and Acquia started in 2007. the original products can’t generate revenue, so when these OS projects occassionally blow up into phenomenons like Drupal and WordPress have over the past few years, it’s gratifying but also quite frustrating to watch others derive so much value from your baby while you toil away to lead its growth with no financial return.

Trending Sources

Evolution of a Founder: Lessons I have learned

om.co

Om Malik is the founder of GigaOM. He is the founder of Desiparty.com. Evolution of a Founder: Lessons I have learned. Being a startup founder is hard, tough, frustrating and rewarding – possibly all within the space of a nanosecond. Are You Winning As a Founder?

My story and support for the Founders Visa

K9 Ventures

In the past few days there has been a lot of discussion on the topic of a Founders Visa. The credit for starting this fire goes to Paul Graham from Y Combinator , who wrote a great essay titled The Founders Visa in April 2009. Brad Feld (Brad is an advisor to K9) from the Foundry Group was instrumental in keeping the flame alive by posting about it on his blog ( The Founders Visa Movement ) in September. I got my greencard approval in 2001, a few months after 9/11.

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Why Tim Cook is Steve Ballmer and Why He Still Has His Job at Apple

Steve Blank

If the Microsoft board was managing for quarter to quarter or even year to year revenue growth, Ballmer was as good as it gets as a CEO. Between 2001 to 2008, Jobs reinvented the company three times. When visionary founders depart (death, firing, etc.),

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Why GE’s Jeff Immelt Lost His Job – Disruption and Activist Investors

Steve Blank

After the dot.com crash in 2001 and the financial crisis of 2008, traditional investors who previously held their shares for the long-term — public pension funds, institutional investors and money managers — are now more interested in short-term gains. At GE the biggest problem in 2017 was major revenue misses in their Power business.) capture the imagination of investors and can focus on revenue and user growth instead of on the bottom line.

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Entrepreneurs are Everywhere Show No. 35: Jessica Mah and Peggy Burke

Steve Blank

How founders cope with startup challenges was the focus of today’s Entrepreneurs are Everywhere radio show. The show follows the journeys of founders who share what it takes to build a startup – from restaurants to rocket scientists, to online gifts to online groceries and more.

New Rules for the New Internet Bubble

Steve Blank

VC’s worked with entrepreneurs to build profitable and scalable businesses, with increasing revenue and consistent profitability – quarter after quarter. With Netscape’s IPO , there was suddenly a public market for companies with limited revenue and no profit. Carpe Diem.

Scaling is Hard, Case Study: Akamai

Seeing Both Sides

With over $1 billion in revenue, 2000 employees and a market capitalization of over $6 billion, Akamai has become a role model for scalable start-ups. billion in revenue, over $1 billion in gross profit and $500 million in EBITDA. Revenue.

The Trap of Relative Value

Feld Thoughts

He had just read my post on being uncomfortable with the phase of the current cycle and told me an anecdote from the great Internet bubble of 2001 that I hadn’t heard. This morning I woke up to an email thread from a founder of a company I’m an investor in. And, is multiple of revenue really the correct long term metric? Yesterday, at The Calloway Way event at MIT , I ran into Joe Caruso.

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Episode 47: Growing A Colossal Business with Donna Leyens

Mike Michalowicz

She started her first business, a handmade jewelry company, in 2001, where she learned that an MBA doesn’t even begin to prepare you for life as an entrepreneur. – 80% of your revenue or profit comes from 20% of your clients. Also Available On. Show Summary.

Peter Bauer, CEO & Founder of Mimecast, Founding principles vs Scaling principles

Business of Software Blog

This is a talk about some of the big challenges founders face when their ideas take off. Peter Bauer is the founder and CEO of Mimecast, a cloud-based enterprise email management system. In this talk, Peter discusses his entrepreneurial journey and the principles that he and his co-founders have tried to apply to the growth, development and scale of their business. But I think I’ve also heard a lot of conversations over the years over whether a founder can scale.

What Jonah @Peretti, CEO of BuzzFeed, Sees in the Future of Digital Media

Both Sides of the Table

billion and revenues likely exceeding $250 million (Wikipedia lists 2015 revenue at $167 million). That is why I invited the Founder & CEO, Jonah Peretti , to come talk at the 2017 Upfront Summit and make the case himself. BuzzFeed.

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Tonight We're Going To Party Like It's 1999

Launching Tech Ventures

The table below compares the market value at the end of 2001 —the trough of the valuation cycle that began in the mid-1990s—to total capital raised since inception (private and public) for all 2,121 U.S-based Enterprise values were estimated as of December 31, 2001.

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Valuations 101: Scorecard Valuation Methodology

Gust

In 2011, the valuation of pre-revenue, start-up companies is typically in the range of $1.5–$2.5 Such comparisons can only be made for companies at the same stage of development, in this case, for pre-revenue startup ventures. The first step in using the Scorecard Method is to determine the average pre-money valuation of pre-revenue companies in the region and business sector of the target company. million for pre-revenue companies. Is the founder coachable?

Unshackle the Middle Class

Marc Andreessen

Why should we care if the world has fewer billionaire public company founders and CEOs? To put the job numbers in context, the number of total US employees in 2001 was just shy of 138 million people; 10 years later, that number was only 139 million. Arguably the most significant among the changes was the 2001 move to decimalization. This is a guest post by Scott Kupor, managing partner, Andreessen Horowitz. We are holding back the middle class in America.

Tonight We're Going to Party Like It's 1999

Platforms and Networks

The table below compares the market value at the end of 2001 —the trough of the valuation cycle that began in the mid-1990s—to total capital raised since inception (private and public) for all 2,121 U.S-based Enterprise values were estimated as of December 31, 2001.

Why Money Isn't Always Your Biggest Problem

Inc Startups

Sometimes, money just hides the real problems," says Caroline Ceniza-Levine, co-founder of SixFigureStart, a New YorkCity-based business-coaching firm. "If Your chair budget exceeds annual revenue. When it went bankrupt in 2001, the chairs were auctioned.

Ten Highly Successful Bootstrapped Startups

Software By Rob

In October of 2001, Webster, McCarthy, and Graff decided to do just that and GoldStar was born. Looking back on their previous experiences working at startup companies, the founders decided to bootstrap their business in lieu of seeking outside funding. Photo by earthlightbooks.

GBP | Dirk Paessler | How to Grow & Stay Agile. Part 1: Top 6 Business Decisions

Business of Software Blog

I have been founder and CEO of this company for almost 20 years. In 2001 the dot-com bubble had just burst. Since then, the revenues from one month have always paid for our wages and the development of the products that we would sell in the following month—and we soon made profits, too.

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'Game of Thrones' Author George R. R. Martin on What Makes Ideas Work

Inc Startups

Martin''s stance reminded me of a 2001 profile I wrote of a North Carolina consultancy called Best Practices. In fact, founder and CEO Chris Bogan coauthored a book called Benchmarking for Best Practices , a major premise of which was that companies need to do a better job of borrowing effective management and operations methods from outside sources. A good idea is a good idea, even if it comes from someone else. If you haven''t heard of George R.

4 Ways to Get a Celebrity Endorsement

Inc Startups

The payoff: a revenue increase of more than 300% during the past three years, Neff says. You want to preserve as much cash as possible,” said Chris Hayes, Barc founder and CEO. In 2001, Uri Minkoff and his wife were at a party in Los Angeles.

Never Hire Job Hoppers. Never. They Make Terrible Employees

Both Sides of the Table

It’s still important advice for startup founders and something that I’m passionate about. You’re a startup founder. You start fighting with your co-founder whom you thought you understood. This is part of my startup advice series.

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4 Super Smart Entrepreneurs Who Are Dominating their Market

Blogtrepreneur | Entrepreneur Blog

Rick Marini is better known as the founder and CEO of BranchOut, the largest professional network on Facebook. He held the positions of co-founder, CFO, and chief strategist of this profitable company that boasted close to $40 million in annual revenue and over 200 million registered users.

Meet the Money Makers: Top 10 Largest Inc. 5000 Companies

Inc Startups

5000 is only for start-ups with fast growth but relatively modest revenue figures. Here''s proof that the list is also home to a number of big-revenue companies, many of them long-established businesses, that are still managing to grow. 5000 list that generated the most revenue in 2012.

60 of the Top Domain Name Millionaires

Blogtrepreneur | Entrepreneur Blog

He is the founder of High Impact Sites, Inc., Bill Mushkin is the founder and CEO of Name.com, as well as Mushkin, Inc. He is also the Chief Strategy Officer and co-founder of Reinvent media group. Dean Shannon is the founder of Fabulous.com (mentioned above). After its purchase by Tucows Delaware in May 1999, he was made the President and CEO in 2001. Fred Hsu is one of the founders of Oversee.net. Jay Westerdal is the founder of DomainTools.com.

35 Entrepreneurs Explain How They Came Up With Their Business Name

Hearpreneur

I am the Founder of Sonjara, Inc – a woman owned small business in Northern Virginia. When I actually started my PR firm in 2001, I had the name and the LLC already, so that’s what I went with, and in 2009 we rebranded to simply be The Eisen Agency.

The Age of the Platform

47 Hats

Even before joining Google as chairman in August 2001, Schmidt was long regarded as one of the most respected, knowledgeable, and prescient technology minds on the planet. (Phil Simon is a four-time author, speaker, and technology and management expert.

2013 Entrepreneur of the Year: Aaron Levie, CEO of Box

Inc Startups

The company has more than doubled its revenue every year and is on pace to reach $100 million by the end of 2013. Next year, Levie and his co-founder and chief financial officer (and boyhood friend), Dylan Smith, plan to take the company public.

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11 Businesses to Start in Your Pajamas

Inc Startups

Despite being home-based, the company is seeing some serious growth: the company made about $500,000 in revenue last year, and employs about 20 part-time contractors. The company is now on track to earn over a million dollars in revenue by 2013.

Startup Funeral: Honoring The Lessons Of Failure [Video]

ReadWriteStart

The dead startups honored were mobile social-networking company Addieu, mobile game and activity locator Get-a-Game and the late, seldom-lamented but often-derided Kozmo.com, which failed way back in 2001 but to this day is held up as the embodiment of dotcom-era foolhardiness.

The Untold Story of Larry Page's Incredible Comeback

Inc Startups

One day in July 2001, Larry Page decided to fire Google''s project managers. By July 2001, BackRub had been renamed Google and was doing really well. It''s July 2001, and Schmidt hasn''t yet officially become CEO. Co-founders are often forgotten by history.

The Psychological Price of Entrepreneurship

Inc Startups

But it''s time to be honest about how brutal it really is--and the price so many founders secretly pay. Smith projected optimism to his co-founders and 10 employees, but his nerves were shot. "My But it may be more than a stressful job that pushes some founders over the edge.

Finding Innovation in One of the World's Oldest Businesses

Inc Startups

In 2001, Tuthilltown Spirits was still Tuthilltown Grist Mill, a 36-acre site on the National Register of Historic Places. Attempting the impossible was the founders’ main pursuit, though a healthy dose of naïveté about the industry helped.

Inc. 5000: 5 Stories of Grit & Resilience

Inc Startups

2,499 2011 Revenue: $136.5 3,254 2011 Revenue: $7.9 President Brian Martin says that after a period of slow growth in the early 1990s, the company's founders retired, and passed the torch to a younger group of executives. 3,341 2011 Revenue: $4.5

From email scams to e-commerce wins: How online shopping is helping Nigeria fix its Internet reputation

The Next Web

Monty Munford is the founder of Mob76 , a company that helps companies become investible and prepares them for exit. It has made and wasted billions of dollars in oil revenues and outside Lagos the country is corrupt and doesn’t even run a Postal service for its people.

The Way I Work: Yvon Chouinard, Patagonia

Inc Startups

Patagonia's founder still loves to blaze a trail. Over the years, the company has swelled to 1,350 employees and $540 million in annual revenue, but Chouinard, 74, is the same plucky entrepreneur. Craig Mathews, the owner of Blue Ribbon Flies, and I came up with the idea in 2001.

Are Your Prices Too Complicated?

Inc Startups

That's a lesson Brian Altomare, brand manager and co-founder of LugLess learned recently. Since 2001, companies had sprung up to transport travelers' bags to and from their destinations, reducing the hassle of travel in a post-9/11 world.

Livestrong Without Lance

Inc Startups

Revenue fell to $38.1 In 2001, Ulman moved across the country to become the charity''s head of survivorship. And so it happened that Livestrong''s once exalted founder offered up his apologies to the very people who had believed in and defended him most.

Editors' Picks: Our Top Videos of 2012

Inc Startups

The Emotional Story of Reddit's Start & Sale Reddit founder Alexis Ohanian set out to revolutionize the Internet. She sold the Corcoran Group for $66 million in 2001. In 2010, Thrillist founders Ben Lerer and Adam Rich knew it was time to diversify revenue streams.