Remove Cap Table Remove Down Round Remove Marketing Remove Revenue
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The Resetting of the Startup Industry

Both Sides of the Table

And when prices are dropping on a VCs existing companies in market, there is a substantial reduction in FOMO (fear of missing out) for new deals, which means that investors take their time in making investment decisions. Don’t assume that you can “just do a down round” if necessary. Down rounds are corrosive.

Burn Rate 150
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On the Road to Recap:

abovethecrowd.com

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. A high performing, high-growth SAAS company that may have been worth 10 or more times revenue was suddenly worth 4-7 times revenue. These mutual funds “mark-to-market” every day, and fund managers are compensated periodically on this performance.

IPO 40
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How to Fund a Startup

www.paulgraham.com

There never has to be atime when you have no revenues. As a company gets more established,its valuation gets closer to an actual market value. The disadvantage of taking money from less known firms is thatpeople will assume, correctly or not, that you were turned down bythe more exalted ones. they decide to start talking to VCs.