Startup Professionals Musings

AUGUST 8, 2020

Most equity investors tend to avoid truly disruptive technology startups, since they take longer and more money to scale. The auto industry and others have used this model for generations, so business processes and metrics for innovation are well documented. Imitation with continuous innovation predictably drives progress.

Startup 393

Startup Social Media Business Model Equity 393

ReadWriteStart

JULY 18, 2011

He says that one is too lonely, two is good and three is a great number if they can combine their skills to cover design, development and distribution. He believes that equity need not be distributed equally, as long as everyone involved is happy with their arrangement. How to Hack the Investment World.

Investment Bankers 153

Investment Bankers Technical Review Cofounder Due Diligence 153

View from Seed

SEPTEMBER 14, 2021

Warning – this assumes some basic knowledge of VC performance metrics. That’s a bit of a cautionary tale to VC investors today who might think it’s inevitable that the private value they are enjoying in their portfolios will certainly translate to distributions in the near future. Ok, let’s jump in. So, what does the future hold?

Valuation 319

Valuation Pre-Money Valuation Distribution Early Stage 319

Hunter Walker

JANUARY 2, 2017

The total value of these deals might look higher than when a tech company makes an acquihire but the premium tends to go to retention rather than the cap table (especially since (a) the acquirer might not be seen as an ‘attractive’ place to work and (b) there’s assumption of less equity upside post-acquisition).

Technical Review 115

Technical Review Cap Table Acquisition Startup 115

View from Seed

SEPTEMBER 14, 2021

Warning – this assumes some basic knowledge of VC performance metrics. That’s a bit of a cautionary tale to VC investors today who might think it’s inevitable that the private value they are enjoying in their portfolios will certainly translate to distributions in the near future. Ok, let’s jump in. So, what does the future hold?

Valuation 295

Valuation Pre-Money Valuation Distribution Early Stage 295

Startup Professionals Musings

JUNE 8, 2019

For a successful launch and scalable growth, they need to establish many checkpoints, with metrics to assess their progress and alignment with the vision. The problem is that you may not have the experience or connections to jump into new customer segments, manufacturing, and distribution. Don’t let that communication fade post-launch.

Angel Investor 220

Angel Investor Equity Leadership Demand 220

Duct Tape Marketing

AUGUST 23, 2023

This community of practice, in fact, our investors who bought half the company, the growth equity firm, they came to attraction community event. (04:51): It's as simple as that, and that is what metrics are to me. Meaning events, magazines, blogs, they read, so you could distribute your content there. So that is the third thing.

Community 53

Community Kuwait Cofounder Bootstrapping 53

View from Seed

SEPTEMBER 14, 2021

Warning – this assumes some basic knowledge of VC performance metrics. That’s a bit of a cautionary tale to VC investors today who might think it’s inevitable that the private value they are enjoying in their portfolios will certainly translate to distributions in the near future. Ok, let’s jump in. So, what does the future hold?

Valuation 156

Valuation Pre-Money Valuation Distribution Early Stage 156

Up and Running

MARCH 9, 2022

Debt-to-equity ratio. Banks, financial institutions, and investors typically use the debt-to-equity ratio to determine the risk of loaning money to an organization. Knowing your debt to capital ratio is essential for a business owner to see the distribution of resources and adjust spending and borrowing as needed.

Equity 136

Equity .Net Balance Sheet Operations 136

Startup Professionals Musings

SEPTEMBER 3, 2018

Most equity investors tend to avoid truly disruptive technology startups, since they take longer and more money to scale. The auto industry and others have used this model for generations, so business processes and metrics for innovation are well documented. Imitation with continuous innovation predictably drives progress.

Startup 162

Startup Social Media Business Model Equity 162

Startup Professionals Musings

JULY 30, 2014

Most equity investors tend to avoid truly disruptive technology startups, since they take longer and more money to scale. The auto industry and others have used this model for generations, so business processes and metrics for innovation are well documented. Imitation with continuous innovation predictably drives progress.

Technology 259

Technology Entrepreneur Business Model Social Media 259

The Startup Magazine

AUGUST 6, 2021

Once the product or service has withstood this period of stress testing, your business can put more resources into making it work and distributing it to the broader market. . You can search for co-founders who will contribute with capital, or skills, and share profits and equity with them. Many startups recruit employees in this way.

Limited Liability Company 165

Limited Liability Company Silicon Valley Business Model Stock Options 165

ConversionXL

MAY 27, 2022

Stage 1: Target the right metrics for an effective long game. Metrics for your demand generation funnel. Your number one metric for any marketing initiative should be revenue. Build a picture over time that tells you which metrics lead to revenue versus those that just make you feel good (i.e.

Demand 124

Demand B2B Distribution Channel 124

Startup Professionals Musings

AUGUST 21, 2016

Most equity investors tend to avoid truly disruptive technology startups, since they take longer and more money to scale. The auto industry and others have used this model for generations, so business processes and metrics for innovation are well documented. Imitation with continuous innovation predictably drives progress.

Technology 120

Technology Startup Business Model Social Media 120

YoungUpstarts

MARCH 31, 2016

Here are tips to recognize and short-circuit seven behaviors that are sure to jeopardize your equity funding later on. How else can you define a sales process or know what to look for when you hire a sales manager or seek distribution partnerships? Set out goals and metrics for your business. Get a different job. They aren’t.

United Kingdom 100

United Kingdom Entrepreneur Oklahoma Ohio 100

Startup Professionals Musings

AUGUST 7, 2015

Of course, these should never be in a customer pitch, but investors expect an overall strategy with specific budgets, milestones and metrics. Partnerships, distribution channels and pricing models should be included. “If Specific elements of your marketing and sales plans. Projected revenues and expenses over the strategic period.

Product 120

Product Intellectual Property Liquidity Event Burn Rate 120

David Teten

DECEMBER 3, 2019

Private equity and venture capital investors are copying our sisters in the hedge fund world: we’re trying to automate more of our job. . In the private equity universe, most Partners have primary training as deal-makers, not as managers. (To see the video above, please click the image, and then click on the Play button.).

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Occam's Razor

JANUARY 20, 2010

End of a minor web analytics lesson on going beyond obvious metrics and never, ever, never forgetting context. Does the distribution match your goals? Of course look at our favorite metric bounce rate by keyword (that tells you if you can get people to give you one solitary click , the most primitive measure of SEO success).

Analytics 90

Analytics Search SEO Metrics 90

Steve Blank

JULY 19, 2010

I’ll offer that both entrepreneurs and VC’s have the wrong model for founding CEO equity compensation. The fallacy is believing that a founders value is evenly distributed over four years. Specifying what the metrics are for a repeatable business model is what the board and founders should be doing in the first place.

Vesting 251

Vesting Liquidity Event Venture Capital Founder Vesting 251

Steve Blank

SEPTEMBER 14, 2009

3) invest in and take equity stakes in exchange for capital. My own metric is that you need experience >= 1.5 Each VC firm/partner has a different spin on what to weigh more.) 4) help nurture and grow the companies they invest in. 5) liquidate their investment in each company at the highest possible price. Warning sign? At best. ~

Silicon Valley 217

Silicon Valley IPO Technical Review Venture Capital 217

ReadWriteStart

AUGUST 26, 2022

Do you have other efficiency metrics that you look at when you evaluate businesses to check the quality of growth and the quality of the revenues? . You can break that down to revenue retention because different types of models, whether subscription, usage-based, or transactional, will have different retention metrics. . Yeah, yeah.

Partner 132

Partner Cofounder Retention Acquisition 132

K9 Ventures

APRIL 9, 2014

Top engineering talent today has a bimodal distribution. They’re starting to use similar metrics and structures as what the old Series A folks used to. For example, doing equity rounds only, no convertible notes, leading rounds and taking on board seats. The seed round is bigger.

Mezzanine 134

Mezzanine Seed Stage Early Stage IPO 134

Up and Running

MAY 1, 2014

Milestones and Metrics. Distribution. For product companies, a distribution plan is an important part of the complete business plan. Distribution is how you will get your product into the hands of your customers. Here are a few common distribution models that you may consider for your business: Direct.

Business Plan 163

Business Plan Forecast Balance Sheet Distribution 163

Haystack

DECEMBER 26, 2018

There are many reasons for that, such as private equity and crossover investors investing earlier, or the fact that LPs in VC funds are affected by public market swings and could, theoretically, hit some VC firms to feel the pinch. Much of this can trickle down into the startup ecosystem.

IPO 76

IPO Private Equity Valuation Acquisition 76

ConversionXL

JANUARY 14, 2020

It’s more than just a distribution channel. Crawl your site on a staging environment with freshly deployed features and compare metrics like crawl depth and internal links to similar pages on the live version of your site. For inventory-driven sites, the website is a big part of the product. A crawl depth report in Screaming Frog.

SEO 159

SEO Framework SCRUM Search 159

500hats.com

AUGUST 2, 2012

Or, as my friend Marc Andreessen might say, Software Eats the Private Equity World. Hell, there are still plenty of VCs who don’t even have a blog or use twitter, and many more who have no idea on how to use data services to analyze and collect metrics on their own portfolio. Ok, let’s dive in and discuss in more detail.

Silicon Valley 74

Silicon Valley Early Stage Venture Capital Valuation 74

Tim Keane

JANUARY 12, 2010

The investors and the entrepreneurs are – or should be – aware that the price of the company’s equity is set by the market – in simplest terms, what an informed buyer is willing to pay.   Note that this applies only to earl stage Series A-type equity financings and assumes no cash dividends are paid to investors.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Startup Lessons Learned

JULY 6, 2011

Inspired by lessons from lean manufacturing, it relies on “validated learning,” rapid scientific experimentation, as well as a number of counter-intuitive practices that shorten product development cycles, measure actual progress without resorting to vanity metrics, and learn what customers really want.

Lean 167

Lean Startup Metrics Private Equity 167

Growthink Blog

MAY 23, 2011

An entrepreneur starts a company in classic " bootstrap " fashion - with a combination of sweat equity and their own financial resources. It is driven by the following: • The Best Metric for the Health of a Company is Cash Flow. The typical wisdom regarding the appropriate financing course for a new company goes as follows: 1.

Angel Investor 112

Angel Investor Venture Capital Sweat Equity Cram Down 112

Up and Running

MAY 23, 2016

If you’re working closely with partners who are helping you distribute your product, it’s especially important to make sure they understand who you are, how you speak, and who you serve. You might also be giving investors too much equity early on, as the risk is extremely high for them in the beginning stages of growing a SaaS company.”.

Software Review 74

Software Review Software Delaware Forecast 74

Austin Startup

SEPTEMBER 17, 2017

Further, you demonstrate on your spreadsheet that a venture return to early investors is plausible at a valuation that gives you enough equity to get the job done and to take care of you and your team at exit time. Maybe a desired distribution channel was more costly or less productive than expected.

Valuation 48

Valuation Forecast Seed Money Business Model 48

Steve Blank

FEBRUARY 26, 2020

What most founders don’t realize is: Every stage of a startup requires a different set of metrics and milestones and founder skills. What is some of the critical metrics that matter? Note that each market – web/SAAS/physical products – and channel – online/direct sales – has different metrics and a different funnel steps.)For

Cofounder 429

Cofounder Seed Stage Valuation Metrics 429

ConversionXL

FEBRUARY 9, 2016

. “Growth hackers have a passion for tracking and moving a metric. Without metrics or data, a growth hacker can feel out of place and uncomfortably exposed. This strong bias towards data drives a growth hacker away from vanity metrics towards metrics that will make or break the business.” ” Creativity.

Retention 48

Retention Metrics Acquisition Conversion 48

maplebutter.com

JANUARY 8, 2013

Written By Dan Martell on February 2nd, 2012 | Category: Hiring LeanStartup Marketing Metrics Startup Life | 6 Comments. Building Metrics / Usage Reports / KPI 3. Product/Metrics (70%/30% time) * Get your product activation (sign-up + meaningful action) to 60% * then, Get your product retention to 20% weekly. 10) Metrics.

Technical Review 44

Technical Review Startup Cofounder Software Review 44

Berkonomics

JANUARY 16, 2014

Open doors to new distribution channels. Example: salary, equity, joint venture, etc… Can the business afford it? Clarify operation responsibilities and metrics used to measure performance. Most of the important benefits for partnering include: Combining of complimentary skill sets. Access to new markets.

Technical Review 81

Technical Review Due Diligence Exit Strategy Partner 81

Startup Company Lawyer

FEBRUARY 21, 2010

Alternatives include position, time of service, current equity holdings or other metrics as determined by the company’s board of directors. The company must determine whether the stock or cash distributed will be fully vested at the time of grant or will vest over time. Last Man Standing.

Retention 31

Retention Liquidation Preference Employee Common Stock 31

Austin Startup

JUNE 26, 2019

I recruited a top-flight engineer and serial entrepreneur to build our MVP, on equity?—?and As we self-funded on a tiny amount of cash, sweat equity and vision, we also worked in a methodical manner, moving the ball down the field week by week. and every other team member the same way. We boot-strapped some more. We side-hustled.

Silicon Valley 54

Silicon Valley Startup B2C Sweat Equity 54