Both Sides of the Table

SEPTEMBER 15, 2022

What You Can Learn From Public Markets It doesn’t really take a genius to realize that what happens in the public markets will filter back to the private markets because the ultimate exit of these companies is either an IPO or an acquisition (often by a public company whose valuation is fixed daily by the market).

Technical Review 416

Technical Review Pre-Money Valuation San Francisco Valuation 416

View from Seed

SEPTEMBER 14, 2021

Warning – this assumes some basic knowledge of VC performance metrics. Both early- and late-stage startup valuations are currently elevated. For context, seed-stage pre-money valuations are up 24% from H1 2020 to H1 2021. For a primer, I would recommend refreshing yourself here. Ok, let’s jump in.

Valuation 319

Valuation Pre-Money Valuation Distribution Early Stage 319

View from Seed

SEPTEMBER 14, 2021

Warning – this assumes some basic knowledge of VC performance metrics. Both early- and late-stage startup valuations are currently elevated. For context, seed-stage pre-money valuations are up 24% from H1 2020 to H1 2021. For a primer, I would recommend refreshing yourself here. Ok, let’s jump in.

Valuation 295

Valuation Pre-Money Valuation Distribution Early Stage 295

Agile VC

MAY 26, 2011

Online social networking is a concept still being evangelized even in Silicon Valley… Friendster is in private beta (wasn’t until Oct 2003 they received Google acquisition offer which they turned down for Kleiner/Benchmark round). It was a $4.7M So from start to finish our fundraise took roughly four to five months.

Term Sheet 178

Term Sheet Silicon Valley Technical Review Social Network 178

View from Seed

SEPTEMBER 14, 2021

Warning – this assumes some basic knowledge of VC performance metrics. Both early- and late-stage startup valuations are currently elevated. For context, seed-stage pre-money valuations are up 24% from H1 2020 to H1 2021. For a primer, I would recommend refreshing yourself here. Ok, let’s jump in.

Valuation 156

Valuation Pre-Money Valuation Distribution Early Stage 156

Gust

NOVEMBER 4, 2011

In brief, a cap acts to place a limit on the conversion price of a convertible note such that investors are guaranteed a minimum number of shares for their bridge loans if the startup does a priced equity round at a high pre-money valuation – “high” meaning above the cap, which is often a heavily negotiated term. (The

Valuation 98

Valuation Pre-Money Valuation Merger Vesting 98

Pascal's View

AUGUST 21, 2011

It is also now evident that these inflated valuations have not proven to be sustainable in the public markets. I will post separately on valuation metrics and the implications of the dichotomy between recent public company valuations and merger & acquisition statistics.

Valuation 50

Valuation Social Media Media IPO 50