Berkonomics

MAY 9, 2024

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 62

Exit Strategy Technology Revenue Conversion 62

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

JUNE 7, 2020

Products and services for a business need to be attuned to customer requirements, cost and quality tradeoffs, with milestones for pricing and completion. External investors expect a documented business plan, with clear targets on funding needed, use of funds, revenue projections, return potential, and exit strategy.

Entrepreneur 328

Entrepreneur Exit Strategy Metrics Operations 328

Startup Professionals Musings

NOVEMBER 4, 2011

It should answer every question an investor or associate might ask, including current valuation, funding needed, and exit strategy. In most cases, a Microsoft Excel spreadsheet is adequate, with projection formulas for revenue, costs, and cash flow over the next five years. Finalize your financial model.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

ReadWriteStart

JUNE 1, 2020

The primary source of your funds should be your paying customers, i.e., your business should generate enough revenues and profits to fund the growth and expansion. It is going to cost a lot of money just to get the initial batch of products to test the market and would definitely require external funding. Incubators and Accelerators.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

Startup Professionals Musings

JANUARY 4, 2020

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. Here is where projections of cost, pricing, volumes and cash flow are critical.

Startup 337

Startup Preferred Stock Exit Strategy Equity 337

Startup Professionals Musings

FEBRUARY 25, 2023

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. Most experts don’t recommend this approach as your default strategy anymore. You can kick-off your next startup.

Exit Strategy 264

Exit Strategy Private Equity Equity Technical Review 264

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

SEPTEMBER 23, 2010

It should answer every question an investor or associate might ask, including current valuation, funding needed, and exit strategy. In most cases, a Microsoft Excel spreadsheet is adequate, with projection formulas for revenue, costs, and cash flow over the next five years. Finalize your financial model.

Angel Investor 224

Angel Investor Intellectual Property Technical Review Elevator Pitch 224

Startup Professionals Musings

DECEMBER 28, 2018

It won’t work, it costs time and money, and hurts your credibility when you need them later. Every entrepreneur needs help and support along the way, from developing the initial idea, to selling off the successful business (exit strategy). 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

MAY 25, 2020

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. Most experts don’t recommend this approach as your default strategy anymore. You can kick-off your next startup.

Exit Strategy 376

Exit Strategy Startup Private Equity Equity 376

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. This will help you make better decisions in the moment.

Exit Strategy 149

Exit Strategy Finance Cost Security 149

Startup Professionals Musings

AUGUST 17, 2014

Projecting the financials should be the last step of your business plan preparation, since it assumes you already know the opportunity size, customer buying habits, pricing, costs, and competition. Aggressive revenue projections and growth rate. That’s why investors want to hear about your exit strategy.

Liquidity Event 249

Liquidity Event Equity Venture Capital Merger 249

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 64

Framework Sales Cycle Sales Hiring 64

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 -. This is something Ive always wondered about.

Incubator 150

Incubator Technical Cofounder Southern California Los Angeles 150

Startup Professionals Musings

AUGUST 13, 2012

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy. Industry & market sizing.

Business Plan 283

Business Plan Sweat Equity Exit Strategy Intellectual Property 283

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

MAY 28, 2013

Projecting the financials should be the last step of your business plan preparation, since it assumes you already know the opportunity size, customer buying habits, pricing, costs, and competition. Aggressive revenue projections and growth rate. That’s why investors want to hear about your exit strategy.

Liquidity Event 243

Liquidity Event Startup Equity Venture Capital 243

Startup Professionals Musings

MAY 13, 2011

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy. Industry & market sizing.

Business Plan 290

Business Plan Sweat Equity Exit Strategy Intellectual Property 290

Startup Professionals Musings

JULY 27, 2018

Business model showing costs, pricing, and margins. Potential investors love to see gross margins in the fifty percent range or greater, with recurring revenue through subscriptions, follow-on sales, or services. Five-year financial projections of revenue and expenses. Discussion of likely liquidity events and exit strategy.

Product 145

Product Intellectual Property Liquidity Event Exit Strategy 145

Startup Professionals Musings

JUNE 15, 2013

It won’t work, it costs time and money, and hurts your credibility when you need them later. Every entrepreneur needs help and support along the way, from developing the initial idea, to selling off the successful business (exit strategy). They are not trying to make money, but simply to recoup their costs over time.

Incubator 256

Incubator Entrepreneur Exit Strategy Institutional Investors 256

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

JUNE 26, 2020

For example, “We just patented a new battery technology that will cut your smartphone charge time and cost in half.” If possible, quantify these in non-technical business terms, such as dollars saved or replacement costs over time. They want to see revenue to share in the return. Use non-fuzzy terms to quantify customer value.

Business Plan 423

Business Plan Product Intellectual Property Elevator Pitch 423

Startup Professionals Musings

MAY 28, 2016

Products and services for a business need to be attuned to customer requirements, cost and quality tradeoffs, with milestones for pricing and completion. External investors expect a documented business plan, with clear targets on funding needed, use of funds, revenue projections, return potential, and exit strategy.

Exit Strategy 155

Exit Strategy Metrics Operations Cost 155

Gust

AUGUST 10, 2014

Projecting the financials should be the last step of your business plan preparation, since it assumes you already know the opportunity size, customer buying habits, pricing, costs, and competition. Aggressive revenue projections and growth rate. Thats why investors want to hear about your exit strategy.

Liquidity Event 176

Liquidity Event Equity Venture Capital Merger 176

Startup Professionals Musings

NOVEMBER 27, 2016

It won’t work, it costs time and money, and hurts your credibility when you need them later. Every entrepreneur needs help and support along the way, from developing the initial idea, to selling off the successful business (exit strategy). 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

AUGUST 8, 2016

By profit, I simply mean offering a product or service to customers for a price that exceeds the total costs associated with the solution, thus providing some basis for recovering sunk costs and generating a return for stakeholders. Remember you can’t sustain a business or social cause with no revenue or profit.

Intellectual Property 120

Intellectual Property Entrepreneur Elevator Pitch Exit Strategy 120

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

Startup Professionals Musings

MAY 16, 2012

It won’t work, it costs time and money, and hurts your credibility for when you need them later. Every entrepreneur needs help and support along the way, from developing the initial idea, to selling off the successful business (exit strategy). They are not trying to make money, but simply to recoup their costs over time.

Incubator 237

Incubator Startup Exit Strategy Institutional Investors 237

Gust

AUGUST 5, 2012

Explain in terms your mother could understand, and quantify the “cost-of-pain” in dollars or time. Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy. Industry & market sizing.

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. Clearly define the customer, channel, and revenue model associated with this solution. In this section, you need to be passionate about revenue, profit, and volume growth. Exit strategy. Industry & market sizing.

Business Plan 186

Business Plan Exit Strategy Sweat Equity Intellectual Property 186

Startup Professionals Musings

JANUARY 16, 2011

It has been at least a decade since going public via an Initial Public Offering (IPO) has been considered a credible exit strategy for startups. These can add millions to the cost of doing business. But before you jump on the bandwagon, you should consider the advice I saw recently from the maven of venture capital, William H.

IPO 223

IPO Social Media Media Exit Strategy 223

Gust

AUGUST 19, 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 146

Elevator Pitch Exit Strategy Burn Rate Merger 146

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

Transformify

AUGUST 7, 2022

Lots of entrepreneurs consider subsidiaries overseas to tap into a new talent pool or optimize costs. When you are developing your projections, you need to be conservative in the estimation of revenues and liberal in estimating expenses. It is especially more difficult if you are planning to start a business abroad.

Due Diligence 52

Due Diligence Exit Strategy Singapore Government 52

Startup Professionals Musings

AUGUST 7, 2015

Every customer understands that your solution has to generate more revenue than cost, but you should not put that data in a customer pitch. Of course, these should never be in a customer pitch, but investors expect an overall strategy with specific budgets, milestones and metrics.

Product 120

Product Intellectual Property Liquidity Event Burn Rate 120

Startup Professionals Musings

MAY 24, 2015

Products and services for a business need to be attuned to customer requirements, cost and quality tradeoffs, with milestones for pricing and completion. External investors expect a documented business plan, with clear targets on funding needed, use of funds, revenue projections, return potential, and exit strategy.

Exit Strategy 120

Exit Strategy Metrics Operations Cost 120