Both Sides of the Table

JUNE 27, 2021

We’ve had two companies where we had to bridge finance them several times before they eventually IPO’d We had a portfolio company turn-down a $350 million acquisition because they wanted at least $400 million. It was ~30 days from bankruptcy. the sale of the company for $1 billion.

Bankruptcy 294

Bankruptcy Bridge Financing Portfolio Angel Investor 294

Up and Running

NOVEMBER 12, 2014

We will cover them in more depth below: Acquisition. Acquisition: The acquisition is often known as a “merger and acquisition.” An acquisition or merger does not have to happen on a big scale. Buying and Selling a Business acquisition exit strategy family business Family Succession IPO merger'

Exit Strategy 117

Exit Strategy Lock-up Period Merger IPO 117

Both Sides of the Table

MAY 28, 2018

A VC wants to know that you have a solid plan to execute a stand-alone business and if you require capital for an acquisition they’d rather evaluate it at the time rather than over-fund you now. Having too little demand leads to bankruptcy. This is a red flag for VCs. Every VC wants to fund a deal that seems to have too much demand.

Burn Rate 247

Burn Rate Valuation Pre-Money Valuation Dilution 247

Startup Professionals Musings

JANUARY 17, 2015

Sales and distribution channel activity will be analyzed, as well as cost of customer acquisition, to make an independent assessment of your financial projections. During that period, it is very difficult for either party to get out of the deal, since there is no public market for the stock, and business divorces normally mean bankruptcy.

Technical Review 120

Technical Review Due Diligence Startup Term Sheet 120

Startup Professionals Musings

JANUARY 18, 2016

What they don’t realize is that about half the investment deals fail to close at this stage, including mergers and acquisitions , during the due-diligence process. Any unusual financial risks, including contingencies, large contracts, recent bankruptcies or credit denials on the part of any owners must be disclosed.

Technical Review 120

Technical Review Due Diligence Cap Table Intellectual Property 120

Startup Professionals Musings

MAY 1, 2019

For example, one of the first home grocery delivery companies, Webvan, was so enamored with early traction in Silicon Valley, it raised and spent nearly a billion dollars and went public, before filing for bankruptcy three years later.

Silicon Valley 215

Silicon Valley Bankruptcy Metrics Valuation 215

A Smart Bear: Startups and Marketing for Geeks

MAY 24, 2010

Your EULA will be examined with the same fervor as a billion dollar acquisition. If you can't stomache any risk of personal bankruptcy, incorporating your micro-ISV is a must. Most corporate customers don't read them either, but some have legal departments that must approve any agreement that the company makes, no matter how small.

Software Review 233

Software Review Technical Review Sales Software 233

The Startup Magazine

SEPTEMBER 17, 2020

She also serves as an advisor for the sales and acquisition of coal-related assets and develops forecasts of U.S. She is known for her expertise in bankruptcy support, contract negotiation, procurement audits, investment analysis, and in-depth strategic studies. They need to ensure they are prepared for the future market swings.

North Dakota 139

North Dakota Asia Global Philippines 139

YoungUpstarts

JULY 5, 2018

2017 was capped by the announced bankruptcy of Toys “R” Us, a once formidable retail giant. In all, there were 662 bankruptcy filings in retail last year, according to data cited by CNNMoney. The rise of Amazon and other online sites has significantly disrupted traditional retailing operations across the nation.

Programming 113

Programming Bankruptcy Curation Retention 113

View from Seed

MAY 28, 2020

While alternative dairy companies like Califia are thriving, traditional dairy businesses like Dean Foods have filed for bankruptcy. alternative seafood), action from large incumbents (pivots or acquisitions), and other types of technology-driven innovations.

Memphis 256

Memphis Distribution Bankruptcy Operations 256

David Teten

JANUARY 19, 2021

The value ascribed by subsequent investors (in a secondary); buyers (acquisition); or the public markets (IPO). —> Individual company bankruptcy risk —-> Traditional Equity VC . Yes, typically preferred equity. 15-20% sold per round. Volatile, uncapped. Flexible VC: Revenue -based. Flexible VC. Venture Debt.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

YoungUpstarts

OCTOBER 23, 2013

How do you create a compensation model aggressive enough for this small group to feel like their options are the stunning wealth that comes with success or the “bankruptcy” of failure? So all talk of risk-free growth via controlled corporate acquisitions is usually bull.

Finland 150

Finland Bankruptcy Cofounder Leadership 150

Steve Blank

MARCH 25, 2009

But we didn’t have infinite cash; we had just emerged from bankruptcy, and unless we could get customers to quickly understand why our products were great, we were headed there again. Reply Dave Goulden , on March 26, 2009 at 11:04 pm Said: I love the redefinition of the market.

Silicon Valley 141

Silicon Valley Marketing RSS California 141

Both Sides of the Table

NOVEMBER 29, 2009

He had 2 weeks’ cash left in the bank and was facing massive layoffs or potentially bankruptcy. We plan to continue to use PR as an ongoing part of our customer acquisition strategy.&#. A good friend of mine was features on the front cover of the LA Times business section with a glowing article. Leave them wanting more.

PR 291

PR Bankruptcy Venture Capital Acquisition 291

David Teten

MAY 16, 2011

Kevin Barhydt, Head of Acquisitions, RPX. Geleerd acquired the stadium out of highly publicized bankruptcy and turned around its financial position and ultimately engineered the sale back to the Toronto Blue Jays in 2005. Kevin Barhydt, Head of Acquisitions, RPX. Panelists: Jeff Kupietzky MBA 98, CEO, Oversee.net.

Naming 122

Naming Government Intellectual Property LLC 122

Startup Professionals Musings

APRIL 2, 2011

If these challenges can’t be resolved by the existing team with “course corrections” or “pivots,” an investor will often bring in an experienced CEO to tackle the turnaround before or after bankruptcy. All this led to a staff level exceeding 700 employees, contributed to lack of control and eventual bankruptcy.

Bankruptcy 221

Bankruptcy Silicon Valley Private Equity Software Review 221

Up and Running

JUNE 25, 2014

You can borrow the money for generally most credit needs, focusing primarily on working capital for the business, we’re not doing business acquisitions. If it was the fact that you may have had a bankruptcy in the last year or the last two years that doesn’t fit their box? Let’s see, credit, the time of business needs to be two years.

Small Business 89

Small Business SBA Finance Bankruptcy 89

Hearpreneur

MARCH 8, 2019

My career was off to a memorable start since my first day coincided with the day that Lehman filed for Bankruptcy. I saw an opportunity to disrupt and exponentially improve the established banking business model based on branch-based customer acquisition, which was both inefficient and costly.

Artificial Inteligence 69

Artificial Inteligence Bankruptcy Mobile Cofounder 69

VC Cafe

APRIL 8, 2010

Q lipso, an Israeli startup funded by JVP (see previous VC Cafe post ), has announced the acquisition of the assets of Veoh , a user generated video site, on the virge of its declaration of bankruptcy. According to the Wall Street Journal , the company was about to file for chapter 11 on March 19th at 5pm.

Bankruptcy 74

Bankruptcy Early Stage Merger Institutional Investors 74

Transformify

AUGUST 5, 2021

While technology-driven businesses empowering remote work thrive, most family-owned restaurants, caffees, bakeries and convenience stores face bankruptcy. Inevitably, new HR software solutions are needed to streamline and automate payroll, invoicing, talent acquisition and payments to international contractors and employees.

Intellectual Property 59

Intellectual Property Technical Review Software Review Bankruptcy 59

Business Plan Blog

NOVEMBER 13, 2013

The return only happens when there is an exit via acquisition or an IPO. maturity date is reached and the startup is unable to secure a round of financing, note holders can force the startup into bankruptcy. It is used to cover initial expenses until the company is able to attract the attention of venture capitalists.

Finance 93

Finance Accredited Investor Angel Investor Seed Capital 93

Occam's Razor

SEPTEMBER 24, 2012

Increased investment in Facebook as an engagement/acquisition channel has translated into requests from CEOs, CMOs and other CxOs about the return on that investment. Dippin' Dots crossed five million Facebook Fans a couple of days before they filed for bankruptcy in Nov 2011.

Metrics 165

Metrics Advertising Marketing Social Media 165

Gust

OCTOBER 12, 2011

The company is unable to raise more financing and becomes insolvent (whether or not it formally files for bankruptcy). Same, except at the option of the noteholders (per the term sheet example above). Practically speaking, if the company is out of money, it’s out of money, so the difference between numbers 1 through 4 may not mean much.

Finance 107

Finance Term Sheet Pre-Money Valuation Early Stage 107

Startup Professionals Musings

FEBRUARY 20, 2010

If these challenges can’t be resolved by the existing team with “course corrections”, an investor will often bring in an experienced CEO to tackle the “turnaround” before or after bankruptcy. All this led to a staff level exceeding 700 employees, contributed to lack of control and eventual bankruptcy.

Bankruptcy 120

Bankruptcy Silicon Valley Private Equity Software Review 120

Scott Edward Walker

MAY 15, 2012

In other words, in the event of the startup’s “acquisition” (which is often broadly defined to include a merger, change of control or sale of substantially all its assets), the maturity date of the note would be accelerated, and the amount of the loan, plus interest, would become due at the closing of the acquisition.

Finance 64

Finance Founder Accredited Investor Preferred Stock 64

Up and Running

AUGUST 20, 2014

As you grow, you will likely need more cash on hand to finance inventory, receivables, marketing expenses and other large acquisitions. This may result in a negative cash flow, which, if not managed carefully over time, could eventually force you into bankruptcy.

Forecast 135

Forecast .Net Dividend Finance 135

The Startup Magazine

FEBRUARY 11, 2022

Among his many investments and acquisitions are Banco de Chile, Enphase Energy, Entel, Australis Seafoods, SQM, PIlmaiquén Electric Company, and Minera Fuego. Quiroga is the founder and CEO of Asesorias e Inversiones Benjamin S.A., a holding company from which he has made some of the most lucrative investments seen over the past few decades.

South America 133

South America Chile Silicon Valley Argentina 133

Pascal's View

APRIL 5, 2016

In America, Silicon Valley’s cycles of creative destruction and renewal continuously spawn many new challengers– by funding multiple startups that compete relentlessly until they reach dominant self-sustainability, acquisition by a competitor, or bankruptcy.

Austria 28

Austria Global Silicon Valley Advisory Board 28

Transformify

JANUARY 24, 2021

Also, the supplier shall agree that they will inform immediately the client if the supplier gets deregistered for VAT, there is a change in the VAT number, in case of mergers and acquisitions, bankruptcy, liquidation, etc.

B2B 98

B2B Software Review Database Software 98

Occam's Razor

JULY 18, 2011

For everything you do it is important to measure your effectiveness of all three phases of your effort: Acquisition. Optimal Acquisition Email Metrics. here are the metrics I’d recommend to analyze your acquisition greatness: Delivery rate = (# of emails sent – # of bounce backs) / # of emails sent. But there is more….

Metrics 137

Metrics Campaign Email Marketing 137

crowdSPRING Blog

DECEMBER 5, 2014

Acquisitions — If You Do Sell, Try to Make Sure It’s At a Local Maximum | saastr – buff.ly/1wh5loQ. TV-Streaming Firm Aereo Files for Bankruptcy | WSJ – crowdspring.co/1Fh64Ie. Why Eric Schmidt doesn’t know how Google works | VentureBeat by Tom Cheredar - buff.ly/1pIDhbC. 11LIdB7.

Social Media 99

Social Media Small Business Design Media 99

David Teten

DECEMBER 3, 2019

Pacer is useful to search prior litigation, bankruptcies, etc. Some notable metrics are revenue growth rates, free cashflow, leverage ratios, historical financing amounts, returns on marketing spend, customer acquisition costs, lifetime value of customers, customer churn rates, and team social scores.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

www.founderinstitute.com

MARCH 2, 2010

August practices in the areas of mergers and acquisitions, securities offerings, commercial transactions, general corporate law and business bankruptcy. He counsels public and private company clients in a variety of industries including information technology, government contracting, software and telecommunications.

Term Sheet 40

Term Sheet Liquidation Preference Vesting San Diego 40

ConversionXL

OCTOBER 30, 2019

Now try to think of the last time you experimented with something other than your acquisition strategy. Article after article, course after course, conference talk after conference talk addresses acquisition experimentation—getting more conversions at the top of the funnel. Every tip is acquisition-centric. Acquisition.

Retention 48

Retention Metrics Churn Rate Acquisition 48

Both Sides of the Table

JANUARY 31, 2010

We were weeks from bankruptcy. Except that after the acquisition Salesforce.com required that I commute more than an hour each way from Palo Alto to San Francisco. The investors of our competitor agreed to a merger and we were going to raise $15 million between the two companies. And at the 11th hour they pulled out.

Entrepreneur 308

Entrepreneur Silicon Valley San Diego Non-Compete 308

Cracking the Code

OCTOBER 10, 2008

The top performing SaaS companies typically achieve annual customer renewal rates above 90% - with most of the churn due to death (bankruptcies) or marriage (acquisitions) - and over 100% renewals on a dollar value basis due to up-sells into this installed base. upfront acquisition cost, making the CLTV equal to $2.5-$0.7=

Software Review 48

Software Review North America Europe Metrics 48

Occam's Razor

APRIL 23, 2012

Choose the right metric and they'll create the most glorious digital experience in the universe, the perfect acquisition campaign, the most amazing customer service channel. If you never deliberate, you slowly silently reach the point of no return and file bankruptcy protection. Because deliberate choices can be revisited.

Metrics 152

Metrics Analytics Search Channel 152