Startup Professionals Musings

MARCH 3, 2021

Based on my own years of experience in startups and big business, and more recently as an angel investor, I often cringe when I see one of you entrepreneurs missing a cue that I have seen work for many before you. A passionate entrepreneur I met a while back had found that a certain algae could be grown cheaply, and could end world hunger.

Exit Strategy 406

Exit Strategy Merger Angel Investor IPO 406

Up and Running

MARCH 14, 2018

I’ve seen too many entrepreneurs think, “Oh, I know my business inside and out—pitching will be a breeze!” I’ve seen many entrepreneurs crash and burn when delivering their investor pitch—and ramble on and on. Customer acquisition: Marketing and sales strategy. How will you reach your customers? Your exit strategy.

Hockey Stick 164

Hockey Stick Exit Strategy Technical Review Angel Investor 164

Startup Professionals Musings

MARCH 10, 2023

I recognize that entrepreneurs tend to substitute vision and passion for formal processes, but using 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. Customer receivables collection and vendor payments. Solution development and delivery.

Exit Strategy 288

Exit Strategy Metrics Operations Cost 288

Startup Professionals Musings

OCTOBER 8, 2023

Most entrepreneurs have found by now one or more of the many popular crowdfunding sites , and have the name and contact information for at least one of the big venture capital firms. Each has met legal securities minimums for net worth and professionalism, to reduce the risk to entrepreneurs. Most share expertise as well as money.

Venture Capital 265

Venture Capital Accredited Investor Syndication Syndicate 265

Up and Running

SEPTEMBER 19, 2018

The problem is that they sell extremely similar products, and customers in the area are becoming more adventurous and seeking variety. You provide extensive customer service and a variety of rewards options for customers. You provide extensive customer service and a variety of rewards options for customers.

Business Plan 154

Business Plan Technical Review Forecast Software Review 154

Startup Professionals Musings

MARCH 11, 2016

As an active angel investor myself, I understand how the process works, and I see the disappointment in the eyes of entrepreneurs who approach angel groups for funding and often get turned away for not being timely or prepared in the minds of potential investors. These are all accredited investors who risk their own money.

Angel Investor 120

Angel Investor Intellectual Property Accredited Investor Angel Groups 120

Startup Professionals Musings

OCTOBER 7, 2022

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.

Preferred Stock 304

Preferred Stock Exit Strategy Equity Angel Investor 304

Startup Professionals Musings

JANUARY 7, 2013

Based on the final report for 2012 from Thomson Reuters and the National Venture Capital Association (NVCA), it may appear that IPOs are back as a viable startup exit strategy. Sure, there will always some seed funding (10% of overall deal flow), but you can bet that this money goes to entrepreneurs who have been there before and won.

Venture Capital 252

Venture Capital IPO Elevator Pitch Initial Public Offering 252

YoungUpstarts

JANUARY 10, 2018

by Ryan Gould, Vice President of Strategy and Marketing Services at Elevation Marketing. As an entrepreneur, when you started your business, you most likely had dreams of rocket-speed growth and a multi-million dollar exit to a huge conglomerate, like Google or Facebook or Amazon. Profile Your Customer Base. Wrapping Up.

Valuation 145

Valuation Technical Review Exit Strategy Metrics 145

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 will you reach your customers? ” Good luck!

Hockey Stick 164

Hockey Stick Exit Strategy Technical Review Due Diligence 164

Up and Running

JULY 15, 2016

If on the other hand, your goal is to expand your customer base and tap into foreign markets, you will not want to miss out on China’s potential “one billion customers.” Whether you are a travel operator, real estate broker, or gourmet restaurant, you should strategize for attracting Chinese customers. The TAS method.

China 60

China Entrepreneur Technical Review Framework 60

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. Remember to aim the content of both of these at investors, not customers. Close at least one initial customer.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

YoungUpstarts

SEPTEMBER 19, 2018

I started with a custom t-shirt printing company, branched out into a creative agency and then spun out a software solution from my t-shirt business that you see today as EMERGE App. Secondly, I get a flood of emails, chats and messages from customers and prospects every day. Or look for another revenue generating angle.

South America 113

South America Software Review Thailand Vietnam 113

Startup Professionals Musings

OCTOBER 14, 2016

What every entrepreneur is asking me these days, is “How do I get to be a unicorn?” Yet there are a common set of driving factors that every entrepreneur should know, including the following: Extraordinary marketplace traction. Credible yet flexible exit strategy. These are popularly called “unicorns.”

Intellectual Property 120

Intellectual Property Valuation Merger Exit Strategy 120

Startup Professionals Musings

JANUARY 27, 2021

Most entrepreneurs have found by now one or more of the many popular crowdfunding sites , and have the name and contact information for at least one of the big venture capital firms. Each has met legal securities minimums for net worth and professionalism, to reduce the risk to entrepreneurs. Most share expertise as well as money.

Search 317

Search Accredited Investor Angel Investor Venture Capital 317

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

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. Remember to aim the content of both of these at investors, not customers. Close at least one initial customer.

Angel Investor 224

Angel Investor Intellectual Property Technical Review Elevator Pitch 224

Up and Running

MAY 4, 2015

Tips from entrepreneurs who successfully pitched their businesses for funding. The winning entrepreneur offers some important advice: avoid unrealistic financial projections (you’ll look like an amateur), and always copy edit your pitch deck. Explain your plan for customer acquisition. State your exit strategy.

Technical Review 60

Technical Review Entrepreneur Software Review Houston 60

Austin Startup

OCTOBER 23, 2019

In his book, Secrets of Sand Hill Road, he explains exactly how VC’s decide where and how much to invest, and how entrepreneurs can get the best possible deal while making the most of their relationships with VC’s. Instead of stressing about frazzled customers, use that passion to reflect on your work and continue modifying and improving.

Fractional VPE 49

Fractional VPE Austin Artificial Inteligence Fractional CTO 49

Berkonomics

JUNE 22, 2023

Test yourself as to whether you can identify the size of your market niche, and whether you can overcome the many barriers to access customers within your niche. A strategic relationship with one or more of the largest customers? Some great ideas just cannot be made into a product at a reasonable enough price to attract customers.

Exit Strategy 114

Exit Strategy Technology Revenue Conversion 114

mashable.com

MARCH 20, 2014

Thats why I asked 10 entrepreneurs from the Young Entrepreneur Council (YEC) what questions they would pose for an interviewer at a startup. Whats your exit strategy? Before accepting an offer with a startup, ask what their exit strategy is, and make sure youre on board. Heres what they had to say: 1.

Technical Review 103

Technical Review Software Review Exit Strategy San Francisco 103

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

Up and Running

AUGUST 28, 2018

Then you’ll think through your ideal customer , your competition , and your opportunities for growth. Your funding ask and exit strategy, if applicable. Positioning : Describe how you will present your company to your customers with your positioning statement. Problem and solution. Your operations plan. Financial plan.

Business Plan 72

Business Plan Technical Review Exit Strategy Oregon 72

Berkonomics

MAY 9, 2024

Test yourself as to whether you can identify the size of your market niche, and whether you can overcome the many barriers to access customers within your niche. A strategic relationship with one or more of the largest customers? Some great ideas just cannot be made into a product at a reasonable enough price to attract customers.

Exit Strategy 62

Exit Strategy Technology Revenue Conversion 62

Growthink Blog

APRIL 13, 2011

Interestingly, I'm a Tiny Prints customer. So, I became a customer. As an entrepreneur, I want you to understand just why Shutterfly paid $333 MILLION to buy Tiny Prints. The process of preparing your company for sale is called "exit strategy planning." On the bottom, my daughter Isabella. read more.

Exit Strategy 69

Exit Strategy Intellectual Property Acquisition Stock 69

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. Of course, I understand and don’t condone bad actors who get greedy, and exploit ways to unjustly squeeze customers and employees. Solve a painful problem for customers who have money to spend.

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

YoungUpstarts

MAY 6, 2019

These people exist and they are called ‘Serial entrepreneurs.’. Serial entrepreneurs are those who understand the complete concept of a startup lifecycle and benefit from that. Here is what you should do: You market and try to acquire initial customers, enough to get you going. Next, get better at learning from customers.

Startup 113

Startup Technical Cofounder Merger Early Stage 113

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

Reid Hoffman

JULY 23, 2020

Recently, my fellow Greylock investor Saam Motamedi and I examined the question of how the Covid-19 pandemic has affected venture investing, and what entrepreneurs should do in response. This week, I’d like to turn to the question of how current market conditions affect the approach entrepreneurs should take towards their exit strategy.

IPO 36

IPO Exit Strategy Acquisition Technical Review 36

Startup Professionals Musings

SEPTEMBER 30, 2015

Once an entrepreneur, always an entrepreneur. Although many won’t admit it, true entrepreneurs can’t wait to exit their current startup, and build a new and better one with their next great idea. For these reasons, I always look for an overt exit strategy in every startup I might consider for an angel investment.

Exit Strategy 120

Exit Strategy Startup Valuation Acquisition 120

Up and Running

SEPTEMBER 10, 2014

Entrepreneurs need to find a way to get traction (sales) without funding. If entrepreneurs are only pitching to angel groups, they’re only pitching to 6% of the active angels, and 0.4% However, entrepreneurs still need to approach angel investors offline for larger amounts of capital. Customer References.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

Up and Running

FEBRUARY 22, 2013

I was expecting to be asked about my team, market segments, financial projections, go-to market strategy, exit strategy, etc. 2 : What entrepreneurs do you admire and why? 4 : Can you tell me a story about a customer using your product? What the investor are looking for here is who are your mentors and advisers.

Software Review 147

Software Review Technical Review Due Diligence Exit Strategy 147

Steve Blank

SEPTEMBER 14, 2009

One of the biggest mistakes entrepreneurs make is misunderstanding the role of venture capital investors. There’s lots of lore, emotion, and misconceptions of what VC’s do or don’t do for entrepreneurs. In this time, building a successful business meant building a company that had paying customers quarter after quarter.

Silicon Valley 237

Silicon Valley IPO Technical Review Venture Capital 237

SoCal CTO

APRIL 8, 2010

Death By Competitive Analysis - Steve Blank , March 1, 2010 Trading emails with a startup CEO building an iPhone app, I asked him why potential customers would buy his product. The Exit Disconnect - Ask the Angels , March 25, 2010 I’ll admit to having a bias towards exits and focus my review of a potential investment on the exit potential.

Software Review 150

Software Review Startup PR Exit Strategy 150

Gust

SEPTEMBER 12, 2011

Respect for the exit. I don’t care that much about the specifics of the exit strategy, because things change too fast and exits are 3-5 years in the future. I don’t want to hear “we don’t care about an exit strategy because we want to do this forever.” A great market story. Scalability.

Technical Review 70

Technical Review Software Review Angel Investor Exit Strategy 70

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. Unfortunately, customers look for value in solving their problem, and new technologies alone scare them, so these solutions don’t get bought by customers, or funded.

Product 145

Product Intellectual Property Liquidity Event Valuation 145