ReadWriteStart

APRIL 1, 2021

Everyone loves an IPO. For tech startups , an IPO represents the ultimate validation of their vision — not to mention a prime opportunity to raise enough capital to turbocharge growth. Here’s How to Prepare for an IPO. As it turns out, we love IPOs so much that the pandemic did not affect the number of companies going public.

IPO 138

IPO Demand Framework Analytics 138

Steve Blank

SEPTEMBER 5, 2018

As a reminder, the Dot Com bubble was a five-year period from August 1995 (the Netscape IPO ) when there was a massive wave of experiments on the then-new internet, in commerce, entertainment, nascent social media, and search. Massive liquidity awaited the first movers to the IPO’s, and that’s how they managed their portfolios.

Lean 335

Lean Burn Rate Startup IPO 335

Startup Professionals Musings

AUGUST 26, 2018

Despite the fact that the number of IPOs (Initial Public Offerings) for startups have continued to stay low, I still hear it touted often as the preferred exit strategy. I suspect the exuberance for an IPO is still being driven by the highly visible successes of a few companies several years ago, including Facebook, Yelp, and Twitter.

Exit Strategy 128

Exit Strategy IPO Initial Public Offering SEC 128

Startup Professionals Musings

JUNE 6, 2014

" Current IPO activity feedback seems to support their excitement. IPO market showed more activity than any other first quarter since 2000, with 64 companies raising $10.6 That is more than double the number of IPOs in the first quarter of 2013. There are real ongoing costs of maintaining a public company.

IPO 236

IPO Initial Public Offering Startup Small Business Administration 236

Startup Professionals Musings

SEPTEMBER 14, 2022

A reverse merger is the acquisition of an already public company (usually a dormant shell) to avoid the Initial Public Offering (IPO) process and cost, to quickly get your startup on a public exchange for fund raising through visibility and selling stock. It takes real money to get into the game.

Merger 261

Merger OTC IPO Due Diligence 261

Startup Professionals Musings

NOVEMBER 4, 2013

They don’t realize that this option would likely be their worst nightmare, since it costs millions for the road show, usually dilutes your equity to a tiny fraction, and takes away all your entrepreneurial control. IPOs in 2008, the market was up to a still trivial 128 in 2012 (compared to 675 in 1996). After a record low of 39 U.S.

IPO 224

IPO Founder Exit Strategy Investment Bankers 224

Hunter Walker

DECEMBER 18, 2020

[I originally published this on Medium pre-IPO, so the tense is outdated, but I think the framework holds]. Every big tech IPO results in predictable Twitter chatter. The early trading performance and expectations set during the pricing and road show need to align with a post-IPO strategy. I was at Google for their IPO.

IPO 90

IPO Stock Retention Valuation 90

YoungUpstarts

FEBRUARY 22, 2017

Corporate transactions including mergers and acquisitions (M&A) and initial public offerings (IPO) bring necessary capital and resources to a growing company. As a result, D&O insurance responds largely to defense costs only, never paying the difference in stock prices. Do IPOs also necessitate an additional policy?

IPO 137

IPO Prospectus Merger Initial Public Offering 137

Startup Professionals Musings

MAY 29, 2022

Today the rate of startups going public (IPO – Initial Public Offering) is finally up from the dead zone of the last two decades, and is now double the rate back in 1999. Thus, today around 90 percent of successful startups are still acquired by bigger companies versus an IPO, as the safer and preferred method of growth and funding.

IPO 245

IPO SEC Prospectus Startup 245

Startup Professionals Musings

SEPTEMBER 11, 2013

Today the rate of startups going public (IPO – Initial Public Offering) is at an all-time low, and most entrepreneurs avoid this option like the plague, knowing the process is painful, and public company executives are seen as greedy sharks. entrepreneur Mark Zuckerberg startup investor IPO exit' Going public is an expensive process.

IPO 242

IPO SEC Prospectus Startup 242

Startup Professionals Musings

FEBRUARY 1, 2015

Today the rate of startups going public (IPO – Initial Public Offering) is up from the dead zone, but is still less than half the rate of 15 years ago. According to a recent Ernst & Young global report , 2014 was a strong year with IPOs actually outperforming other indices by 10 percent. Going public is an expensive process.

IPO 120

IPO SEC Prospectus Startup 120

Startup Professionals Musings

SEPTEMBER 30, 2012

They don’t realize that this option would likely be their worst nightmare, since it costs millions for the road show, usually dilutes your equity to a tiny fraction, and takes away all your entrepreneurial control. IPOs in 2008, the market was up to a still trivial 159 in 2011. After a record low of 39 U.S.

Exit Strategy 239

Exit Strategy IPO Investment Bankers Entrepreneur 239

YoungUpstarts

OCTOBER 23, 2017

Legacy architecture in financial services, by contrast, is comprised of unique centralized databases, requiring the need and added cost of intermediaries to verify transactions between them (e.g. the role of SWIFT in international wire transfers). DLT removes the middlemen by enlisting the network of users to verify transactions.

Technical Review 131

Technical Review Artificial Inteligence Software Review IPO 131

Startup Professionals Musings

JULY 3, 2015

For financial reasons alone, an IPO is a statistically rare phenomenon, happening just 275 times in 2014 , out of almost 500,000 startups. As an advisor and mentor to startups, I try to make sure entrepreneurs understand both the pros and cons of an IPO as an exit strategy. That extra money raised better kick-start your opportunity.

IPO 120

IPO Initial Public Offering Entrepreneur Private Equity 120

Version One Ventures

DECEMBER 20, 2021

Looking back at V1’s first IPO, an unusual investment at the time: Coinbase. There are strong tailwinds on the renewable energy front: the cost of solar is falling off a cliff; storage and EVs are falling down similar cost curves; we’re seeing innovation in financial engineering and the rise of smart grids and smart homes, etc.

Venture Capital 60

Venture Capital Technical Review Software Review IPO 60

Start Up Blog

MAY 13, 2019

Last Friday night, I did a TV interview on ABC regarding Uber’s long awaited IPO. An IPO is when a company first becomes a publicly traded stock that anyone can buy and hold. Amazon IPO 1997 – 2 years after it was founded. Google IPO 2004 – 5 years after it was founded.

IPO 48

IPO Valuation Stock Cost 48

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. Usually a small company can sell about 20 percent of its stock in an IPO. In 1999, there were 486 IPOs nationwide; just 10 years later, in 2009, there were only 63. How’s the timing?

IPO 223

IPO Social Media Media Exit Strategy 223

Both Sides of the Table

JULY 23, 2014

Lower costs to start a business (95% reduction), many more companies created & funded by angels / seed. We’re all socially connected (so great businesses spread faster). We all have one-click purchase power (Apple, Google, Amazon, eBay). The VC market has right-sized (returned back to mid 90′s levels & less competition).

Technical Review 398

Technical Review Venture Capital Valuation Pre-Money Valuation 398

Startup Professionals Musings

DECEMBER 8, 2019

A reverse merger is the acquisition of an already public company (usually a dormant shell) to avoid the Initial Public Offering (IPO) process and cost, to quickly get your startup on a public exchange for fund raising through visibility and selling stock. It takes real money to get into the game.

Merger 303

Merger OTC IPO Due Diligence 303

Startup Professionals Musings

OCTOBER 17, 2022

The cost of entry for tech startups continues to go down. Twenty years ago, it cost several million dollars to launch an e-commerce startup, which can be done today for a few thousand dollars. Mobile and web software apps may cost even less. The large investment amounts preferred by VCs are no longer needed to launch winners.

Angel Investor 342

Angel Investor Venture Capital Silicon Valley Portfolio 342

Startup Professionals Musings

FEBRUARY 6, 2022

This Advisory Board is a good test drive for the more formal Board of Directors required later, when going public (IPO) or the entrance of venture capital investors. For Advisory Boards, I recommend three to five as max, to limit costs and time spent for support. How much are you willing to spend on your board?

Advisory Board 348

Advisory Board IPO Angel Investor Acquisition 348

Startup Professionals Musings

AUGUST 6, 2023

I would summarize the qualms and feedback from professional investors as the following: Crowdfunding platform costs trickle down to angel groups. The new audit, due diligence, and liability requirements from the JOBS Act, now levied on equity crowdfunding portals, could dramatically increase the costs and restrictions on angel groups.

Angel Groups 201

Angel Groups Accredited Investor Due Diligence Equity 201

ReadWriteStart

MARCH 31, 2020

Every expert agrees that VC investing faced a huge setback last year with the IPO flops of major companies such as WeWork, Uber, Slack, and Lyft as the facts show. Growth at any cost is not acceptable anymore. ”. However, things have not been all rosy in the VC market. What does this mean for startups?

Technical Review 175

Technical Review Artificial Inteligence Startup Term Sheet 175

Startup Professionals Musings

NOVEMBER 25, 2020

I would summarize the qualms and feedback from professional investors as the following: Crowdfunding platform costs trickle down to angel groups. The new audit, due diligence, and liability requirements from the JOBS Act, now levied on equity crowdfunding portals, could dramatically increase the costs and restrictions on angel groups.

Equity 411

Equity Angel Groups Accredited Investor Due Diligence 411

Hunter Walker

DECEMBER 11, 2023

It might ‘exit’ again at a later point (anything from a sale to an IPO), but it’s no long dependent on VC funding. That third one generally means “Selling” though that can take various forms, such as exiting via IPO, paying themselves a dividend, etc.

Private Equity 78

Private Equity Equity DC Leveraged Buyout 78

Both Sides of the Table

JUNE 22, 2011

And this is happening in mezzanine (pre-IPO) deals as well. And post IPO deals, although these tend to correct more quickly. If everybody is over-paying for early-to-mid stage deals you’d imagine that these all need to feed into a frenzied M&A and IPO market that will garner big returns for these risks investors are taking.

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

Both Sides of the Table

DECEMBER 27, 2011

I find it amusing when a journalist writes an article about a prominent startup (either privately held or preparing for an IPO) and decries that, “They’re not even profitable!” ” If you’re not profitable you’re purely a cost center to them. Cost of Goods Sold (COGS) =. Operating Costs.

Startup 418

Startup Revenue Technical Review Flash 418

Berkonomics

AUGUST 27, 2020

Bankers, investors, strategic partners, and ultimately your buyer or even attorneys providing opinions for an IPO, will all be most impressed by your thoughtful early management decision to make their lives easier and their job more productive. When to start a data room? The payoff. The post What’s a “data room” and how do you use it?

Software Review 62

Software Review Due Diligence Intellectual Property IPO 62

BeyondVC

MARCH 21, 2017

The post Thoughts from Mulesoft and AppDynamics IPO Filings appeared first on BeyondVC. If you want a shot at those customers, then I suggest early on you consider how to architect your systems in a way to make it easier to do down the line. Examples could include not locking yourself into a full proprietary AWS stack like Dynamodb.

IPO 88

IPO Cloud Azure Revenue 88

Startup Professionals Musings

JANUARY 13, 2018

A reverse merger is the acquisition of an already public company (usually a dormant shell) to avoid the Initial Public Offering (IPO) process and cost, to quickly get your startup on a public exchange for fund raising through visibility and selling stock. It takes real money to get into the game.

Merger 198

Merger OTC IPO Due Diligence 198

Agile VC

MARCH 8, 2012

Tech IPOs Are Back – So Now What? Three of the five “blockbuster” tech IPOs I predicted have happened (LinkedIn, Groupon, Zynga) and the biggest of all (Facebook) has filed and will likely go public within the next 90 days. I see several dynamics at work in today’s IPO markets. March 8, 2012.

IPO 100

IPO Silicon Valley Revenue Seed Stage 100

Haystack

DECEMBER 29, 2018

More and more angels will be minted as the 2019 IPO class emerges. During this time, there’s financial leverage used in the transaction to help buffer the firm’s cost of capital (e.g. Traditional seed funds have gotten bigger, many armed with opportunity funds on top. The fear of them investing in a competitor is real.

Technical Review 165

Technical Review Venture Capital Russia China 165

Steve Blank

APRIL 23, 2014

VCs like acquisitions as much as IPOs because the acquiring companies often can rationalize paying large multiples over the current valuation of the startup. The founding team is testing for the right combination of product, market, revenue, costs, etc.

Acquisition 332

Acquisition Intellectual Property Silicon Valley Startup 332

Both Sides of the Table

JUNE 29, 2014

The costs to start are much lower than ever (90% reduction in infrastructure costs to start a company through open source & web services) and large companies being created in many geographies. When companies DO IPO they are worth much more at IPO time than in the past. VCs used to IPO and then sell.

Venture Capital 362

Venture Capital IPO LP Jordan 362

Both Sides of the Table

OCTOBER 8, 2014

He presented a system where your search results would be ranked based on companies bidding for placement and where merchants would be charged on a “cost per click” basis (CPC). But many people forget that we have 2 relatively recent IPOs that are substantive companies: TrueCar (Upfront backed) & Cornerstone OnDemand.

Los Angeles 376

Los Angeles Silicon Valley Entrepreneur Seattle 376

Both Sides of the Table

JUNE 30, 2011

Or the Cliff Note’s version: Open Source & Cloud Computing (led by Amazon) drove down tech startup costs by 90%. It doesn’t feel like that now because we’ve entered a mini bubble in pre IPO valuations for a segment of the tech market but this, too, shall pass. The Coming Brick Wall.

Venture Capital 289

Venture Capital Early Stage Valuation Angel Investor 289

Ben's Blog

OCTOBER 29, 2020

Since then, the debate over IPOs has continued, with a particular focus on allegedly underpriced offerings that jump shortly after opening — the dreaded “pop.” ” As some criticism has it, this supposedly deprives companies of millions of dollars that should have been theirs if not for underpricing the IPO.

IPO 36

IPO Securities and Exchange Commission Demand SEC 36