article thumbnail

Are Business Plans Still Necessary?

Both Sides of the Table

and the subsequent acquisition sprees of companies like Google, Yahoo!, Many of these businesses were what First Round Capital called FNACs (features, not companies – this acronym has always stuck with me). The COGS (costs of goods sold) tells me about how big your customer acquisition costs will be. portfolios.

article thumbnail

A Time for Change in Venture Capital

K9 Ventures

PrivateEquityOnline: Bankrupt WaMu Parent Defaults on Capital Call. Mergers and acquisitions have also been down, especially the large deals. Several of these funding sources have managed asset allocations, meaning that their investments in venture capital are supposed to be a certain percentage of their portfolio.

article thumbnail

Death By VC

Venture Chronicles

What happens is that the large fund will exercise their majority position in the class to force an orderly shutdown of the company, return of capital to investors, and sale of the intellectual property, if any. In normal times the term sheet and due diligence process all but guaranteed the investment as far as the startup was concerned.