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Cram Down – A Test of Character for VCs and Founders

Steve Blank

Most existing investors (those still in business) hoarded their money and stopped doing follow-on rounds until the rubble had cleared. Except, that is, for the bottom feeders of the Venture Capital business – investors who “ cram down ” their companies. A cram down is different than a down round.

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Startup Funding – A Comprehensive Guide for Entrepreneurs

ReadWriteStart

In very few specific cases, depending on the nature of the business, the business model might demand a considerable gestation period or extensive research and development. For these businesses, it is imperative to get funding from the start without which the company cannot be set up. It is a symbiotic relationship.

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A Recently Exited Founder on Surviving the Contradictory Role of Startup CEO

View from Seed

This is a guest post from Rob May , a co-founder and CEO of Backupify , which raised $19.5M Think more about business models. I’ve seen many companies with great products die because a great product is not necessarily a great business. But your job as CEO is really to guide your startup to a good business model.

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Startup Fairy Tales and Other Tall Tales That Venture Capitalists Tell

Growthink Blog

The angel then introduces the entrepreneur to his or her wealthy friends and business connections who, based on the good reputation of the referring angel, also invest. But here is the key – contrary to popular wisdom it is negatively correlated. And they hire very aggressive securities attorneys to represent their interests.