Remove Business Model Remove Demand Remove Liquidation Preference Remove Partner
article thumbnail

In Q4 2022, founders face tough choices

VC Cafe

Mature startups with proven business models and the potential to reach the public markets within a few years will be the safest place to park any new venture capital that comes into the ecosystem. Liquidation preferences – in addition to lower valuations, investors are looking for protective provisions.

Founder 174
article thumbnail

What Most People Don’t Understand About How Startup Companies are Valued

Both Sides of the Table

Many experienced partners are funds have 7-10 boards and most of these will need more capital. The Laws of Supply & Demand. The most basic chart of microeconomics is a supply & demand curve. Demand represents a buyer and supply a seller. This is how VCs feel. Now for every dollar a VC raises $2.50 The result?

Valuation 150
article thumbnail

How I Pitched My Business and Raised $2.3 Million in VC Funding

Up and Running

My partner and I sold the company in 2012, right when mainstream companies at both the SMB and enterprise level were starting to adopt cloud-based SaaS solutions. At the same time, I was starting to realize that both the elegance of cloud-based software and the business models it enabled were what really got me excited.