Steve Blank
OCTOBER 24, 2017
None of this was law, and nothing in writing required this; this was just how these firms did business to protect their large institutional customers who would buy the stock. This required a repeatable and scalable sales process, which required a professional sales staff and a product stable enough that customers wouldn’t return it.
Steve Blank
APRIL 10, 2019
VC’s have just changed the ~50-year old social contract with startup employees. For most startup employee’s startup stock options are now a bad deal. As Venture Capital emerged as an industry in the mid 1970’s, investors in venture-funded startups began to give stock options to all their employees.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Startup Professionals Musings
DECEMBER 11, 2022
Getting investors to trust you with their money is always a challenge, and it’s even more difficult in the early stages, where you don’t have a significant revenue stream, a few customers, or maybe even a product yet. Here is my list of red flags that cause many investors to look elsewhere: No well-defined need or viable customer set.
Steve Blank
APRIL 26, 2022
They offered desperate founders more cash but insisted on new terms, rewriting all the old stock agreements that previous investors and employees had. Some even insisted that all prior preferred stock had to be converted to common stock. Founders rationalize it’s good for their employees. You’re not.
Startup Professionals Musings
MARCH 14, 2020
Getting investors to trust you with their money is always a challenge, and it’s even more difficult in the early stages, where you don’t have a significant revenue stream, a few customers, or maybe even a product yet. Here is my list of red flags that cause many investors to look elsewhere: No well-defined need or viable customer set.
Both Sides of the Table
JULY 29, 2010
People buy companies for 3 primary reasons: 1) they want the management team / talent 2) they want the technology or 3) they want the market traction (revenue, customer base, profits, etc). Mark Jeffrey - Q: “Is it more traditional to do your ESOP (employee stock option plan) before or after your angel or Series A funding?&#
Agile VC
APRIL 17, 2011
paying for travel data from ITA or others (customers acquisition spend is not included in COGS). 5) High Productivity: Kayak had 148 employees at the end of 2010. That means that Kayak generates roughly $1.15M in revenue for each employee which puts it in the same league as Google and Apple (both >$1M/head).
Expert insights. Personalized for you.
263 
Let's personalize your content