Up and Running

SEPTEMBER 19, 2018

Financial Summary: Explain your business model, startup costs, revenues, and liabilities to the company. Your funding ask and exit strategy, if applicable. Personnel plan : Costs of employees. Exit strategy : Needed if you’re seeking investment. Target market: Who is your ideal buyer? Be specific.

Business Plan 154

Business Plan Technical Review Forecast Software Review 154

Up and Running

JANUARY 2, 2013

I’ve seen too many entrepreneurs think, “oh, I know my business inside and out – pitching will be a breeze!” I’ve also seen many entrepreneurs crash and burn when delivering their investor pitch – and ramble on and on. How much will it cost? ” Good luck! How will you measure success?

Hockey Stick 164

Hockey Stick Exit Strategy Technical Review Due Diligence 164

Startup Professionals Musings

NOVEMBER 4, 2011

A conundrum for many frustrated entrepreneurs is that they need money from investors to design and build a prototype product, yet most angel investors expect to see at least a prototype before they invest. Every entrepreneur needs a professional business plan for their own use, whether they intend to seek investor funding or not.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

Startup Professionals Musings

JANUARY 4, 2020

One of the big questions that every entrepreneur struggles with is how much funding they should request from investors in the first round. Angel investors will perk up if you have a prototype or a few real customers, while venture capitalists will likely choose to wait until you have achieved several million in revenue or customer count.

Startup 337

Startup Preferred Stock Exit Strategy Equity 337

Up and Running

AUGUST 28, 2018

Financial summary: Explain your business model, startup costs, revenues, and liabilities to the company. Your funding ask and exit strategy, if applicable. Exit strategy : You only need this if you’re seeking outside investment. Do they self-pay or use insurance? Be specific. Mention your funding needs.

Business Plan 72

Business Plan Technical Review Exit Strategy Oregon 72

Startup Professionals Musings

SEPTEMBER 23, 2010

A conundrum for many frustrated entrepreneurs is that they need money from investors to design and build a prototype product, yet most angel investors expect to see at least a prototype before they invest. Every entrepreneur needs a professional business plan for their own use, whether they intend to seek investor funding or not.

Angel Investor 224

Angel Investor Intellectual Property Technical Review Elevator Pitch 224

Startup Professionals Musings

JUNE 15, 2013

Some entrepreneurs start polling venture capitalists for that multi-million dollar investment before they even have a business plan. It won’t work, it costs time and money, and hurts your credibility when you need them later. They are not trying to make money, but simply to recoup their costs over time. Marty Zwilling.

Incubator 256

Incubator Entrepreneur Exit Strategy Institutional Investors 256

Berkonomics

JUNE 22, 2023

Can this business grow to above $20MM to $50MM in annual revenues? Early cell phones were large bricks that required a large carrying case and cost up to a dollar a minute to use. Is there an exit strategy for the investor(s) over time? And some attract early adopters but cannot pass into the mass market.

Exit Strategy 114

Exit Strategy Technology Revenue Conversion 114

Startup Professionals Musings

FEBRUARY 25, 2023

The last thing a new entrepreneur wants to think about for a new startup is how it will end. Yet one of the first things a potential equity investor asks about is your exit strategy. Here are three important reasons for the question: Good investment paybacks normally require an exit event.

Exit Strategy 264

Exit Strategy Private Equity Equity Technical Review 264

Startup Professionals Musings

DECEMBER 28, 2018

Some entrepreneurs start polling venture capitalists for that multi-million dollar investment before they even have a business plan. It won’t work, it costs time and money, and hurts your credibility when you need them later. They are not trying to make money, but simply to recoup their costs over time.

Incubator 236

Incubator Exit Strategy Institutional Investors Angel Investor 236

Startup Professionals Musings

AUGUST 8, 2016

As a startup advisor and investor, I find that more and more entrepreneurs avoid using the term “profit” in pitching their new venture. Thus I was pleased and a bit surprised to see a new book, “ The Purpose Is Profit ,” by Ed “Skip” McLaughlin, an entrepreneur who has both succeeded and failed in starting multiple businesses.

Intellectual Property 120

Intellectual Property Entrepreneur Elevator Pitch Exit Strategy 120

Startup Professionals Musings

SEPTEMBER 5, 2016

In my experience as an advisor to aspiring entrepreneurs, I often encounter the myth that an initial startup requires investors. The media tends to highlight experienced entrepreneurs who succeed with early new venture funding, like Uber’s Garrett Camp , but fail to point out the more common bootstrapping successes.

Bootstrapping 120

Bootstrapping Entrepreneur Startup Exit Strategy 120

Startup Professionals Musings

MAY 25, 2020

The last thing a new entrepreneur wants to think about for a new startup is how it will end. Yet one of the first things a potential equity investor asks about is your exit strategy. Here are three important reasons for the question: Good investment paybacks normally require an exit event.

Exit Strategy 376

Exit Strategy Startup Private Equity Equity 376

Duct Tape Marketing

APRIL 18, 2024

With her expertise, she’s boosted hundreds of agencies to millions in revenue, attracting premium clients willing to pay 50-600% fees. As a former business exit advisor, she crafts exit strategies, adding up to five figures to clients’ net profit monthly so they can focus on growth. But that comes at a cost.

Framework 62

Framework Sales Cycle Sales Hiring 62

YoungUpstarts

DECEMBER 24, 2018

While one entrepreneur may be focused exclusively on buying a property within budget and in decent shape, another might have a strong need to choose a good location — no matter how much it costs. How much will it cost? Have an exit strategy.

Exit Strategy 149

Exit Strategy Finance Cost Security 149

Startup Professionals Musings

AUGUST 17, 2014

Most entrepreneurs struggle with financial projections, not wanting to commit to numbers they can’t deliver, and having no clue what investors might consider reasonable. Aggressive revenue projections and growth rate. Revenue in the fifth year should be at least $20 million, with a growth rate average of 100% per year.

Liquidity Event 249

Liquidity Event Equity Venture Capital Merger 249

Startup Professionals Musings

AUGUST 13, 2012

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. Exit strategy.

Business Plan 283

Business Plan Sweat Equity Exit Strategy Intellectual Property 283

Startup Professionals Musings

MAY 28, 2013

Most entrepreneurs struggle with financial projections, not wanting to commit to numbers they can’t deliver, and having no clue what investors might consider reasonable. Aggressive revenue projections and growth rate. Revenue in the fifth year should be at least $20 million, with a growth rate average of 100% per year.

Liquidity Event 243

Liquidity Event Startup Equity Venture Capital 243

SoCal CTO

FEBRUARY 17, 2007

They are quite happy with a business that will turn into a profitable $20M company and dont necessarily need an obvious exit strategy. Technology Advisor Technology Roles in Startups Pricing Customer Acquisition Sunk Costs and More -. Product Manager Entrepreneur Mark Geller SEO for Startups Startup Version 1.0

Incubator 150

Incubator Technical Cofounder Southern California Los Angeles 150

Startup Professionals Musings

JULY 27, 2018

I’m still amazed at how many technical entrepreneurs don’t have a business pitch, and offer me their product pitch or product spec instead. Business model showing costs, pricing, and margins. Solo entrepreneurs have a hard time finding an investor. Five-year financial projections of revenue and expenses.

Product 145

Product Intellectual Property Liquidity Event Exit Strategy 145

Startup Professionals Musings

MAY 13, 2011

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. Exit strategy.

Business Plan 290

Business Plan Sweat Equity Exit Strategy Intellectual Property 290

Startup Professionals Musings

JUNE 26, 2020

As an advisor to new hardware entrepreneurs, I often hear the myth that a business plan is no longer required to find an investor, if your idea is good enough. What you don’t realize is these famous investors only deal with entrepreneurs who sold their last company for a $100M dollars or more. Budget time and dollars for each.

Business Plan 423

Business Plan Product Intellectual Property Elevator Pitch 423

Startup Professionals Musings

MAY 28, 2016

I recognize that entrepreneurs tend to substitute vision and passion for formal processes, but no discipline or process in building something new is a sure way to spend money, rather than see any return and build a self-sustaining business. Solo entrepreneurs, with a team of helpers, will be assumed to be a hobby rather than a business.

Exit Strategy 155

Exit Strategy Metrics Operations Cost 155

Gust

AUGUST 10, 2014

Most entrepreneurs struggle with financial projections, not wanting to commit to numbers they cant deliver, and having no clue what investors might consider reasonable. Aggressive revenue projections and growth rate. Revenue in the fifth year should be at least $20 million, with a growth rate average of 100% per year.

Liquidity Event 176

Liquidity Event Equity Venture Capital Merger 176

Startup Professionals Musings

AUGUST 27, 2012

Explain in analogies your mother could understand, and quantify the “cost-of-pain” in dollars or time. In this section, you need to be passionate about recurring revenue, profit margin, and volume growth. Implicit in this is the go-to-market strategy. Exit strategy. What is the timeframe for the exit?

Elevator Pitch 247

Elevator Pitch Exit Strategy Burn Rate Merger 247

Startup Professionals Musings

SEPTEMBER 12, 2014

The last thing a new entrepreneur wants to think about for a new startup is how it will end. Yet one of the first things a potential equity investor asks about is your exit strategy. Here are three important reasons for the question: Good investment paybacks normally require an exit event. Marty Zwilling.

Exit Strategy 289

Exit Strategy Entrepreneur IPO Startup 289

Startup Professionals Musings

NOVEMBER 27, 2016

Some entrepreneurs start polling venture capitalists for that multi-million dollar investment before they even have a business plan. It won’t work, it costs time and money, and hurts your credibility when you need them later. They are not trying to make money, but simply to recoup their costs over time.

Incubator 120

Incubator Startup Exit Strategy Institutional Investors 120

Startup Professionals Musings

MAY 16, 2012

Some entrepreneurs start polling venture capitalists for that multi-million dollar investment before they even have a business plan. It won’t work, it costs time and money, and hurts your credibility for when you need them later. They are not trying to make money, but simply to recoup their costs over time.

Incubator 237

Incubator Startup Exit Strategy Institutional Investors 237

Startup Professionals Musings

MAY 19, 2010

Explain in analogies your mother could understand, and quantify the “cost-of-pain” in dollars or time. In this section, you need to be passionate about recurring revenue, profit margin, and volume growth. Implicit in this is the go-to-market strategy. Exit strategy. What is the timeframe for the exit?

Elevator Pitch 235

Elevator Pitch Exit Strategy Burn Rate Merger 235

Gust

AUGUST 5, 2012

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. Exit strategy.

Business Plan 182

Business Plan Sweat Equity Exit Strategy Intellectual Property 182

Startup Professionals Musings

APRIL 22, 2010

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Many entrepreneurs scare away potential investors by claiming that their technology represents “truly disruptive technology.” Clearly define the customer, channel, and revenue model associated with this solution. Exit strategy.

Business Plan 186

Business Plan Exit Strategy Sweat Equity Intellectual Property 186

Startup Professionals Musings

AUGUST 7, 2015

When pitching to investors, entrepreneurs always seem to start with a customer pitch, then add a slide or two about the business. Investors are business experts, while the entrepreneur is more likely the product expert. If we build it they will come” is not a marketing and sales strategy.

Product 120

Product Intellectual Property Liquidity Event Burn Rate 120

Startup Professionals Musings

JUNE 10, 2011

Explain in analogies your mother could understand, and quantify the “cost-of-pain” in dollars or time. In this section, you need to be passionate about recurring revenue, profit margin, and volume growth. Implicit in this is the go-to-market strategy. Exit strategy. What is the timeframe for the exit?

Elevator Pitch 234

Elevator Pitch Exit Strategy Burn Rate Merger 234

Startup Professionals Musings

DECEMBER 24, 2012

But many entrepreneurs don’t realize that Angels are also extremely discerning in the projects that they will invest in, rejecting approximately 97% of the proposals submitted to them, according to the California Investment Network. Start early on this one, or you will lose the opportunity. Build a prototype product.

Angel Investor 260

Angel Investor Intellectual Property Elevator Pitch Angel Groups 260

Startup Professionals Musings

MAY 24, 2015

I recognize that entrepreneurs tend to substitute vision and passion for formal processes, but no discipline or process in building something new is a sure way to spend money, rather than see any return and build a self-sustaining business. Solo entrepreneurs, with a team of helpers, will be assumed to be a hobby rather than a business.

Exit Strategy 120

Exit Strategy Metrics Operations Cost 120

Startup Professionals Musings

JANUARY 13, 2011

Some entrepreneurs start polling venture capitalists for that multi-million dollar investment before they even have a business plan. It won’t work, it costs time and money, and hurts your credibility for when you need them later. They are not trying to make money, but simply to recoup their costs over time.

Incubator 230

Incubator Startup Exit Strategy Institutional Investors 230

Berkonomics

APRIL 13, 2017

Can this business grow to above $20MM to $50MM in annual revenues? Early cell phones were large bricks that required a large carrying case and cost up to a dollar a minute to use. Is there an exit strategy for the investor(s) over time? And some attract early adopters but cannot pass into the mass market.

Exit Strategy 116

Exit Strategy Technology Revenue Conversion 116