David Teten

JANUARY 19, 2021

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Flexible VC: Revenue -based. Of the Inc.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Steve Blank

FEBRUARY 25, 2010

Customer Development is a technique startups use to quickly iterate and test each part of their business model. How you execute Customer Development varies, depending on your type of business. In my book, “ The Four Steps to the Epiphany ” I use enterprise software as the business model example.

Customer Development 266

Customer Development Web Developer Customer 266

Steve Blank

OCTOBER 25, 2010

In the last decade open source software (e.g It’s the combination of Business Model Design and Customer Development. Business Model Design. Today every business organization from startup to large company uses the words “business model.” Business Model Canvas.

Customer Development 329

Customer Development Business Model Developer Customer 329

Hearpreneur

APRIL 13, 2022

Wikipedia isn’t the most reliable source in the world, but it’s good enough to get a brief overview. Moreover, I like inspiring myself with interesting online business models and Wikipedia is a great example of a user-generated content-based website. It led the way to a new kind of business model and changed the game.

Artificial Inteligence 77

Artificial Inteligence Entrepreneur Technical Review Software Review 77

BeyondVC

JANUARY 29, 2017

Great blog post by CockroachDB on open source business models and their plans to make money: If you’re serious about building a company around open source software, you must walk a narrow path: introduce paid features too soon, and risk curtailing adoption. also published on Medium.

Revenue 60

Revenue Developer Open Source Seed Stage 60

YoungUpstarts

MAY 1, 2018

For sure if they remove everything there and rent the space, the renting revenues will pay for a big slice of monthly cloud cost. Most of their business models wouldn’t be possible without it. They don’t need the datacenter to be that close to the offices. The latency doesn’t matter that much.

Cloud 109

Cloud Software Developers Software Development Hosting 109

Cracking the Code

OCTOBER 1, 2020

Snyk was founded with the mission to help developers make their code secure, providing a platform to automatically assess and remediate open source vulnerabilities. The company’s success has been largely driven by its developer-led freemium model, going from Series A funding to a valuation of $2.6B in just 30 months.

Early Stage 62

Early Stage Open Source Development Team Review Security 62

Steve Blank

MARCH 31, 2014

Companies horde cash and squeeze the most revenue and margin from the money they use. The first will be commodity businesses that are valued for their ability to execute their current business model. The second class will be firms with a demonstrated ability to continually innovate and reinvent their business models.

Private Equity 325

Private Equity Metrics China Intellectual Property 325

A Smart Bear: Startups and Marketing for Geeks

JANUARY 24, 2011

The convenience of online shoe shopping is a game-changer — to the tune of billions of dollars of revenue — but how could they make up the costs ? Turning a profit at a growing company is nearly impossible regardless of business model. We build our own WordPress plugins and make them open-source and free.

Intellectual Property 242

Intellectual Property Open Source Bandwidth IP 242

Version One Ventures

OCTOBER 15, 2020

And >40% of that revenue is coming from in-game purchases. When they can invest the marginal engineering hour in listing a new token that drives revenue vs. saving some costs on settlement, it’s hard to justify. The app could then take a small % of all revenue from “paid” messages. 6) Identity Issuance .

Networking 168

Networking Global OTC Security 168

Steve Blank

DECEMBER 2, 2013

Here’s what happened when an extraordinary Digital Health team gained several critical insights about their business model. But the big payoff came when their discussions with medical device customers revealed an entirely new way to think about pricing —potentially tripling their revenue. A Five-sided Market.

Customer 323

Customer Churn Rate Customer Development Lean 323

Scalable Startup

AUGUST 26, 2014

is the for-profit company founded by Dries Buytaert, the inventor of Drupal, to support his open source project. When Open Source software projects are launched, the progenitors often start a for-profit sister company to garner some income from training, support and consulting. Because they are open source.

Founder 42

Founder Los Angeles PHP Open Source 42

SoCal CTO

MARCH 20, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Venture Capital 150

Venture Capital Technical Cofounder Southern California Los Angeles 150

SoCal CTO

MARCH 9, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Technical Cofounder 150

Technical Cofounder Southern California Los Angeles CTO Hire 150

David Teten

JANUARY 21, 2021

This essay is part of a series on alternative VC: I: Revenue-Based Investing: a new option for founders who care about control. II: Who are the major Revenue-Based Investing VCs? III: Why are Revenue-Based VCs investing in so many women and underrepresented founders? IV: Should your new VC fund use Revenue-Based Investing?

Equity 78

Equity Revenue Cofounder Colorado 78

Startup Lessons Learned

SEPTEMBER 15, 2008

But by taking advantage of open source, agile software, and iterative development, lean startups can operate with much less waste. One that is powered by three drivers, each of which is a part of a major trend: The use of platforms enabled by open source and free software. What are the characteristics of a lean startup?

Lean 168

Lean San Francisco Startup Continuous Deployment 168

SoCal CTO

MARCH 20, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Technical Cofounder 150

Technical Cofounder Southern California Search Engineer 150

SoCal CTO

MARCH 13, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Technical Cofounder 150

Technical Cofounder Southern California Los Angeles Internet 150

Startup Lessons Learned

SEPTEMBER 22, 2008

Lessons Learned by Eric Ries Monday, September 22, 2008 The three drivers of growth for your business model. The AARRR model (hence pirates, get it?) He also has a discussion of how your choice of business model determines which of these metric areas you want to focus on. Choose one.

San Francisco 167

San Francisco CPA SEM CTO Hire 167

View from Seed

JANUARY 26, 2022

Open source, permissionless code. This maximizes network effects, encourages creative expansion, and builds real community via ownership–all while securing additional revenue streams. With new games come new in-game mechanics and business models. Traditional games operate as walled gardens.

Flash 156

Flash Architecture Security Community 156

SoCal CTO

MARCH 1, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Technical Cofounder 150

Technical Cofounder Networking Southern California Los Angeles 150

Steve Blank

JANUARY 25, 2010

In this post we’re going to offer a new definition of why startups exist : a startup is an organization formed to search for a repeatable and scalable business model. A Business Model. Ok, but what is a business model ? A business model describes how your company creates, delivers and captures value.

Agile 335

Agile Startup Silicon Valley Business Model 335

SoCal CTO

MARCH 22, 2007

Open Source Business Models, speakers for Web 2.0 MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. event I did last fall.

Technical Cofounder 150

Technical Cofounder Southern California Los Angeles CTO Hire 150

ReadWriteStart

MARCH 8, 2016

Despite a meager track record for generating outsized returns, investors keep piling money into open source start-ups. As reported by The Wall Street Journal, a minimum of 110 “open source startups” had raised more than $7 billion from venture capitalists as of 2015, up over 100% since 2013.

Software 60

Software Open Source Valuation Analytics 60

SoCal CTO

MARCH 12, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Technical Cofounder 150

Technical Cofounder Southern California Los Angeles CTO Hire 150

Start Up Blog

APRIL 11, 2019

Gigs with Benefits: The gig economy will evolve from its current exploitative business model. Government Will Love Small Again : Governments around the world will finally realise big powerful companies are reducing their tax revenue. New policies will be set in place the world over favouring local and small businesses.

Software Review 91

Software Review Technical Review Artificial Inteligence Non-Compete 91

SoCal CTO

MARCH 20, 2007

MyShape Article - Analyst Misses the Point Map of VC Investments Open Source Business Model Entreprenuer Network ► February (10) Southern California Tech Central Southern California Tech Central Loading. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -.

Technical Cofounder 150

Technical Cofounder Southern California Los Angeles CTO Hire 150

www.forentrepreneurs.com

FEBRUARY 2, 2010

Business Model I would like to propose that in addition to team, product, and market, there is actually a fourth, equally important, core element of startups, which is the need for a viable business model. It appears that LTV should be about 3 x CAC for a viable SaaS or other form of recurring revenue model.

Acquisition 103

Acquisition Cost Customer Entrepreneur 103

Steve Blank

MARCH 18, 2011

VC’s worked with entrepreneurs to build profitable and scalable businesses, with increasing revenue and consistent profitability – quarter after quarter. With Netscape’s IPO , there was suddenly a public market for companies with limited revenue and no profit. 1970 – 1995: The Golden Age. The New Exits.

Internet 334

Internet IPO Silicon Valley Agile 334

The Equity Kicker

JUNE 18, 2012

In theory software delivered over or downloaded from the web has a marginal cost that is very close to $0 and a lot of people believe that software companies of the future will derive their revenues more from support, services and hosting than licenses.

Software 94

Software Intellectual Property Open Source Business Model 94

ReadWriteStart

OCTOBER 20, 2011

Foundups : Michael Trout, from Fukui, Japan, pitched Foundups , which he claims will be a platform for open corporations. He talked about everything from raising funding for pre-seed entrepreneurs to get them to the seed stage, crowd funding, social media marketing and open source. You can't tell what the company does.

Massachusetts 113

Massachusetts Entrepreneur Open Source Silicon Valley 113

Altgate

SEPTEMBER 16, 2010

But did you know that founder Markus Frind has just 3 employees for his $10MM+ revenue business? If you are pursuing an advertising business model, then in the early days you will almost certainly have to outsource, despite the fact that this could be a core long term advantage. He basically outsources everything.

Software Review 65

Software Review Offshore Startup Boston 65

Both Sides of the Table

MAY 23, 2012

Cloud computing and the open source movements have brought down the costs of starting a company by more than 90%. The opportunity to transact at the point of purchase increases the sheer number of revenue opportunities. Businesses are also one-click from advertising through Google and now Facebook. And the future?

Venture Capital 347

Venture Capital Technical Review LP Mobile 347

www.forentrepreneurs.com

FEBRUARY 2, 2010

The company has just missed its quarterly revenue forecast. Lets take an example, and look at how they might do this: They will be able to tell you that revenue is composed of deals. To compute revenue, you multiply average deal size by number of deals. Bookings is the pre-cursor to Revenue. Obvious, isn’t it?

Metrics 55

Metrics Design Entrepreneur Startup 55

Mucker Lab

APRIL 6, 2023

Are there types of companies, market segments, industries, or business models where PLG does not make sense? If you work in B2C or e-commerce, you optimize that Add to Cart flow like crazy because that is your revenue. For GitLab, we had an open source version of the product. Hila is a mentor with Mucker Capital.

Product 78

Product CTO Hire Startup Fractional CTO 78

Hippoland

OCTOBER 16, 2016

Open source libraries (such as TensorFlow) make technology more accessible for less skilled or self-taught developers such as myself to use. As a result, for these kinds of businesses, investors often don’t expect that companies can earn revenue right out of the gate, because they may not legally be able to.

Startup 48

Startup Vertical Early Stage Bootstrapping 48

BeyondVC

APRIL 12, 2006

It seems that the open source business model has been top of mind for many in the technology industry as of late. Isn’t this the antithesis of what open source stands for? Fast forward 18 months later and you have the first move in that model – Red Boss. Sounds like Microsoft?

Open Source 60

Open Source Architecture Retention Revenue 60