Both Sides of the Table

NOVEMBER 14, 2017

and we were met with weak demand, slow growth and high costs. Throughout the first year we made many fixes and saw our revenue base in these markets accelerate so we felt we were ready to attack Los Angeles, amongst the most important storage markets in the country.

Operations 286

Operations New York City Technical Review Startup 286

Both Sides of the Table

JULY 6, 2016

You also ran the risk that if you hired employees quickly and then demand wasn’t as strong as expected it was incredibility hard to fire people. In France in some ways it was worse because if you failed as a startup founder you shouldered personal liabilities that don’t exist in the US under our bankruptcy laws.

South Korea 261

South Korea Silicon Valley Los Angeles Japan 261

Women Entrepreneurs Can

MAY 13, 2024

Conversely, lackluster economic data may trigger concerns about sluggish growth or recessionary pressures, prompting investors to adopt a more cautious approach. Conversely, weak economic indicators signalling economic slowdown or deflationary pressures may lead central banks to adopt accommodating measures, such as lowering interest rates.

Stock 52

Stock Valuation Marketing Conversion 52

Tim Keane

JANUARY 12, 2010

Term-sheets and Valuations: Thinking about Negotiations.   I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.] The Valuation Question.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

ithacaVC

NOVEMBER 14, 2014

I have written about startup valuations previously. If you are advising startup founders, I strongly suggest having them read all 4 of the posts to get the lay of the startup valuation land. Here is Walla’s post: I can’t tell you how many times I’ve had this conversation. Revenue is how traditional businesses get valued.

Valuation 69

Valuation Startup Down Round Early Stage 69

David Teten

DECEMBER 3, 2019

Tim Friedman, Founder, PE Stack , said, “If I could offer one piece of advice to today’s managers, it would be to take the time to understand the demands of the modern institutional LP. Lighter Capital, a Revenue Based Investing VC, offers a Cost of Capital Calculator. 3) Raise capital. If you have one, please contact me.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

ConversionXL

JULY 16, 2021

Value-centered experiences move the needle (if your audience demands them). By collating key information in a framework, you’ll reduce internal feedback loops, improve collaboration, and empower consistency—which can increase revenue by 33%. . As your brand and customer demands evolve, your guidelines will inevitably fluctuate.

Audience 127

Audience Framework Differentiation Software Review 127

The Startup Magazine

JUNE 1, 2023

We’re hitting record revenue months, weeks, and margins. There are currently tons of “zombie” startups that have runway, but growth has slowed and they have valuations that they won’t be able to grow into. If the answers are no, have an honest conversation with your VCs today. And you know what we found?

Early Stage 115

Early Stage Los Angeles Silicon Valley Cofounder 115

Up and Running

JUNE 14, 2017

Others believe in the start small, grow strong approach: build a small version of the app, test user demand, and then take it from there. And that, by the way, was a great conversion rate for a simple survey-based research for the initial free subscription version of Recycler Spotter. He ended up saying that he would rather wait.

Technical Review 96

Technical Review Distribution Redemption Demand 96

Cracking the Code

SEPTEMBER 12, 2021

As the company announces its $530 million Series F at a valuation of $8.5 As at the beginning, we’re helping users in the region embrace the product by fulfilling inbound demand, and reaching out to similar users to ensure they’re aware of Snyk. Most importantly, an investor must be someone you get along with.

Community 62

Community Cofounder Security Open Source 62

Startup Professionals Musings

JUNE 22, 2016

These need to go beyond the traditional revenue, cost, and volume metrics which may not yet have data, and can mislead you about real customer acceptance. Use experiments to test every element of your business model – cost, price, marketing, sales channel, customer acquisition cost, lead conversion rate, and lifetime value.

Metrics 143

Metrics Advisory Board Startup Lean 143

Hearpreneur

JANUARY 20, 2021

Specifically, here is what we’re planning to work on: Quadruple our gross revenue and total cases/consultations. Add an income stream (new area of practice) that will be diversifying our business’ revenue. In 2021, my business goals have been reinvented and pushed to be more competitive than we’ve ever been. Photo Credit: Mark Lizada.

Entrepreneur 118

Entrepreneur Mobile Valuation Global 118

Austin Startup

AUGUST 20, 2017

Keep the valuations consistent with company progress. The bottom line is that the pedigree of your investors will have much to do with your ultimate valuation and with your enjoyment of the startup experience. I am very surprised when that cool thing actually meets a customer need or drives revenue. Are the logistics manageable?

Technical Review 48

Technical Review Software Review Cap Table Securities and Exchange Commission 48

Steve Blank

NOVEMBER 5, 2009

This post describes how companies using the Customer Development model can increase their credibility, valuation and probability of getting a first round of funding by presenting their results in a “Lesson Learned&# venture pitch. What are Early Stage VC’s Really Asking? If they’re not busy looking at their Blackberry’s/iPhone’s.)

Customer Development 267

Customer Development Developer Customer Silicon Valley 267

Ben's Blog

MAY 24, 2021

Small” IPOs — companies with less than $50m in annual revenue at the time of IPO – have declined from more than 50% of all IPOs in the 1980-2000 timeframe to about 25% of IPOs from 2001-2016; Companies are staying private much longer — the median time to IPO from founding hovered around 6.5 Time Period IPO Pop* 1980-1989 6.1%

SEC 36

SEC Accredited Investor IPO Technical Review 36

Eric Friedman

AUGUST 18, 2021

One dimension is a pretty firm belief that starting financial services companies should not be as hard as it is, and that there is demand in the market for yet another venture fund focused on functionally day-zero companies in financial services. That’s why I love conversing with you. Dan Kimerling: There are a couple of dimensions.

Silicon Valley 88

Silicon Valley Venture Capital Cofounder Africa 88

Hearpreneur

JANUARY 13, 2021

Specifically, here is what we’re planning to work on: Quadruple our gross revenue and total cases/consultations. Add an income stream (new area of practice) that will be diversifying our business’ revenue. In 2021, my business goals have been reinvented and pushed to be more competitive than we’ve ever been. Photo Credit: Mark Lizada.

Entrepreneur 62

Entrepreneur Mobile Valuation Global 62

www.forentrepreneurs.com

FEBRUARY 2, 2010

This is going to show you the dependency on several critical variables: Cost per lead Conversion rates at each stage of your sales process Level of touch required Then compare this to your expected monetization. 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

Both Sides of the Table

FEBRUARY 12, 2017

(there’s a great story from Jonah in the video but you have to watch to hear it :)) But it’s undeniable that it has become a digital media powerhouse having raised around $500 million in capital with a valuation reported at $1.7 billion and revenues likely exceeding $250 million (Wikipedia lists 2015 revenue at $167 million).

Media 210

Media Los Angeles Russia Viral 210

Gust

OCTOBER 12, 2011

In Part II, we looked at the mandatory conversion language that is at the heart of any convertible debt financing. Thus, it’s in everyone’s best interest to see the startup raise more capital rather than declaring default and demanding repayment. First, a word about the maturity date.

Finance 107

Finance Term Sheet Pre-Money Valuation Early Stage 107

Software By Rob

AUGUST 18, 2010

The only thing that seemed to be consistent about my growth was that my revenue was relatively flat while my user base kept growing. This change that took all of five minutes to make, led to an 8x increase in paid conversions. Amazingly, this resulted in a 10x increase in paid conversions for the month. Look at that again.

Software Review 78

Software Review Software Revenue Cofounder 78

Software By Rob

JANUARY 8, 2019

Hundreds and hundreds of tweets, re-tweets, likes, Hacker News upvotes, email responses…it was immediately obvious that there is pent up demand for this kind of alternative early-stage startup funding. The response was overwhelming. Previously On.TinySeed. We’re a SaaS accelerator, and accelerators focus on early-stage companies.

Early Stage 46

Early Stage Valuation Seed Capital Revenue 46

Hippoland

MARCH 5, 2017

3) Tell all potential VCs about where your conversations stand with other VCs If you are going into second round / later stage meetings with VCs, make sure all the VCs you’re talking to know this. “I Also, if you get a term sheet with a valuation that is much lower than you’d hoped / anticipated, this is not the end of the world.

Term Sheet 48

Term Sheet Valuation Later Stage Aggregator 48

Both Sides of the Table

SEPTEMBER 17, 2017

I believe the massive valuation increases in cryptocurrencies we’ve witnessed of late are not based on any fundamentals other than speculation and a drive for a quick profit by many who have gained from the market hype. Why would pouring hundreds of millions into even earlier stage startups with even less or no oversight be a good idea?

Government 280

Government Distribution Stock United States 280

Lightspeed Venture Partners

SEPTEMBER 16, 2012

” The other offer saw money coming off the top as a percentage of revenue. The investor doesn’t bear risk on ongoing expenses without the prospect for future revenue. The pitch was all about potential, market size and math “if we just had 10 classes a month with 20 people in those classes, that is a revenue of $300k.”

Silicon Valley 167

Silicon Valley Salary Dilution Indiana 167

Software By Rob

APRIL 2, 2014

With SaaS businesses the majority of revenue will be through monthly, quarterly or annual billing recurring payment plans. It also opens up the potential buyer universe to non-software specialists, which is a considerable pool of demand for a business seller to tap in to. Choose your payment processor carefully.

Affiliate 67

Affiliate Valuation Reputation Sales 67

Scalable Startup

APRIL 6, 2015

A $1 billion valuation used to be a big deal for a web based company that wasn’t one of the top few. Sometimes you’ll need to show traffic/traction/conversion, but not usually. Angel Investor CEO Succession Scalability startup startup CEO angel investor Cash Flow first revenue The Next Level tom nora venture capital'

Angel Investor 20

Angel Investor Technical Review Southern California Startup 20

pandodaily.com

NOVEMBER 29, 2012

” In off the record conversations, many angels have expressed the urgency of self-discipline. Lastly, seed-stage entrepreneurs who have pushed for the maximum valuation possible haven’t done themselves any favors. iOS App Store revenue still dwarfs Google Play’s, but the challenger is catching up fast.

Technical Review 93

Technical Review Silicon Valley Incubator Syria 93

Rob Go

JANUARY 16, 2013

At the time, I was thinking generally about the concept of aggregating demand for products and local services, and just hearing the word “Groupon” piqued my interest. It’s funny to think that it all started with a conversation I happened to overhear with our neighbor who is a high-school science teacher in a nearby town.

Seed Stage 38

Seed Stage Chicago Aggregator Bootstrapping 38

Software By Rob

APRIL 2, 2014

With SaaS businesses the majority of revenue will be through monthly, quarterly or annual billing recurring payment plans. It also opens up the potential buyer universe to non-software specialists, which is a considerable pool of demand for a business seller to tap in to. Choose your payment processor carefully.

Affiliate 27

Affiliate Valuation Reputation Sales 27

ConversionXL

OCTOBER 22, 2018

We can prove that social media and SEO drive traffic and top-line conversions, but we still struggle to show the bottom-line impact of marketing. To get marketing a seat at the table and prove that it can drive revenue and pipeline, we’ve become borderline obsessed with numbers. Conversions (e.g. site visits). form fills).

B2B 131

B2B Marketing Analytics Campaign 131

www.quora.com

JANUARY 16, 2011

You can argue that the DNA created by Microsoft's over emphasis on distribution (Steve) and development (Bill), has ultimately cost it $50bn or more in lost revenue, market share and market capitalization. A startup is a major commitment with many ups and downs, hard decisions to be made and uncomfortable conversations to be had.

Technical Review 51

Technical Review Startup CTO Hire Cofounder 51

Occam's Razor

APRIL 23, 2012

Revenue vs. Economic Value. That is a reflection of a deep obsession on Revenue. It is reflected in the obsession with Conversion Rate. Every web analytics tool in the market measures single-session conversion rate, so if visitor, your potential customer, does not convert in that single session (i.e, That was 7 dates.

Metrics 152

Metrics Analytics Search Channel 152