Both Sides of the Table

MAY 30, 2018

I thought I’d write a post about how to talk about valuation at a startup and give you some sense of what might be on the mind of the person considering funding you. It’s not uncommon for a VC to ask you how much capital you’ve raised and what the post-money valuation was on your last round. is to start with just the data.

Valuation 324

Valuation Post-Money Valuation Pre-Money Valuation Cofounder 324

YoungUpstarts

APRIL 12, 2019

The emotional side of the distribution of the property raises issues like confidence in the future, desire to defend personal interests, the clash of different points of view on what justice is, and so on. Generally, all the US states can be defined as community property states and equitable distribution states.

Small Business 104

Small Business Valuation .Net Balance Sheet 104

View from Seed

AUGUST 17, 2021

It’s by far the longest time I’ve spent working on any one thing, and I feel very blessed to have been able to work with my partners, colleagues, founders, and collaborators. My partners will tell you that I am an incredibly impatient person. Effective post money is the effective valuation of an investor’s dollars at any one time.

IRR 205

IRR Dilution Founder Portfolio 205

Steve Blank

APRIL 23, 2014

Companies manage these three types of innovation with an innovation portfolio – they build innovation internally, they buy it or they partner with resources outside their company. Corporate business development and strategic partner executives are flocking to Silicon Valley to find these five types of innovation.

Acquisition 332

Acquisition Intellectual Property Silicon Valley Startup 332

Both Sides of the Table

MARCH 1, 2016

At the Upfront Summit in early February, we had a chance to have many off-the-record conversations with Limited Partners (LPs) who fund Venture Capital (VC) funds about their views of the market. However, they have been sending VCs far more investment checks in the last ten years than they’ve gotten back as distributions.

Venture Capital 150

Venture Capital LP Silicon Valley Marketing 150

View from Seed

AUGUST 17, 2021

It’s by far the longest time I’ve spent working on any one thing, and I feel very blessed to have been able to work with my partners, colleagues, founders, and collaborators. My partners will tell you that I am an incredibly impatient person. Effective post money is the effective valuation of an investor’s dollars at any one time.

IRR 156

IRR Dilution Founder Portfolio 156

ReadWriteStart

JANUARY 13, 2024

Startups in the cybersecurity sector are facing a daunting market environment , contending with decreased valuations and increasing pressure to sell while competing for vital funding and collaborations. This collaborative environment plays a crucial role in staying ahead of cyber criminals to protect valuable data and systems.

Down Round 154

Down Round Marketing Artificial Inteligence Startup 154

View from Seed

AUGUST 17, 2021

It’s by far the longest time I’ve spent working on any one thing, and I feel very blessed to have been able to work with my partners, colleagues, founders, and collaborators. My partners will tell you that I am an incredibly impatient person. Effective post money is the effective valuation of an investor’s dollars at any one time.

IRR 136

IRR Dilution Founder Portfolio 136

Startup Professionals Musings

SEPTEMBER 30, 2013

Make sure your plan answers every relevant question that you could possibly imagine from your business partners, spouse, and potential investors. It doesn’t prove your business model of pricing, distribution, and support. Forcing yourself to write down a plan is actually the only way to make sure you actually have a plan.

Intellectual Property 281

Intellectual Property Entrepreneur Sweat Equity CTO Hire 281

Agile VC

APRIL 17, 2011

Distribution revenue is CPC and CPA. . Historically more revenue came from distribution/lead-gen (57% in 2007), but this tipped in 2008 though appears to be steady from 2009 to 2010 at about 58% advertising and 42% distribution. Kayak generates both distribution (i.e. Pre-money valuation was approx.

Pre-Money Valuation 113

Pre-Money Valuation Liquidation Preference Dividend Common Stock 113

VC Cafe

JANUARY 27, 2021

As teams become increasingly distributed, video communication is important for both internal alignment and external business development. Next47 and American Insight Partners VC, demonstrates growing trust in its current and future business model. Their latest round of 138 millions dollars, led by Viola Growth ?-Next47

Vertical 148

Vertical Video Technical Review Europe 148

Startup Professionals Musings

AUGUST 31, 2012

Make sure your plan answers every relevant question that you could possibly imagine from your business partners, spouse, and potential investors. It doesn’t prove your business model of pricing, distribution, and support. Forcing yourself to write down a plan is actually the only way to make sure you actually have a plan.

Intellectual Property 260

Intellectual Property Sweat Equity CTO Hire Fractional CTO 260

Both Sides of the Table

FEBRUARY 9, 2014

My partner Steven Dietz is an auto enthusiast and more than just an admirer of amazing cars he has worked around the auto industry for 20 years and backed a couple of billion-dollar startups in the category. His blog is even called SaaStr (a bit too close to Suster if you ask me ;-)).

Video 373

Video Differentiation Valuation Distribution 373

David Teten

JANUARY 19, 2021

(co-written with Jamie Finney, Founding Partner at Greater Colorado Venture Fund. Similar to the explosion of seed funds in the past decade, we (and some limited partners too ) believe these Flexible VCs are on the forefront of what will become a major segment of the venture ecosystem. Yes, via conversion rights at a valuation cap.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Up and Running

JUNE 14, 2017

Those partners paid for a membership with Recycler Spotter. There were two main benefits for partners who joined the platform: their brand became associated with an eco-friendly company, and their exposure to college students and households in the region helped boost their businesses. 60 percent of respondents chose premium!

Technical Review 96

Technical Review Distribution Demand Redemption 96

Startup Professionals Musings

JUNE 17, 2011

Make sure your plan answers every relevant question that you could possibly imagine from your business partners, spouse, and potential investors. It doesn’t prove your business model of pricing, distribution, and support. Forcing yourself to write down a plan is actually the only way to make sure you actually have a plan.

Intellectual Property 253

Intellectual Property Sweat Equity CTO Hire Fractional CTO 253

ReadWriteStart

AUGUST 26, 2022

How to Scale Unicorns With Partner David Zhang, TVC. Joining us for this episode is our partner David Zhang, Partner at TCV (( Technology Crossover Ventures ). I’m a partner at TCV, which we founded in 1996. That’s a valuation number and pricing number. Jonathan Siddharth . David Zhang.

Partner 132

Partner Cofounder Retention Acquisition 132

Steve Blank

MARCH 31, 2014

Look at the valuations of companies like Tesla, Illumina, and Twitter. The companies that can show “startup-like” growth rates of 50% plus per year will get stratospheric market valuations. For example, Coke added snack foods, which could be distributed through its existing distribution channels.

Private Equity 325

Private Equity Metrics China Business Model 325

YoungUpstarts

NOVEMBER 20, 2019

by Lu Zhang, founder and managing partner of Fusion Fund. The market for our product was global, and we had unique advantages in terms of our product and how we distributed it to customers. Instead, find the VCs that would make the most sense to partner with from a strategic perspective and explain why you want them to take the lead.

Technical Review 118

Technical Review Due Diligence Early Stage Differentiation 118

Both Sides of the Table

APRIL 15, 2010

In fact, their affiliate partners dissuaded them from doing so. They bought distribution and engineering talent. billion valuation. They only recently raised $30 million at around a $300 million valuation and THAT raised eyebrows. That said I worry that V1 of the strategy isn’t a home run. No big surprise.

Venture Capital 271

Venture Capital Affiliate Valuation San Francisco 271

Genuine VC

JULY 19, 2010

Micro VCs will continue to come in many flavors with slightly different strategies, but there are a few distinctive defining characteristics: On a per partner basis, each investor is investing less than $25M in any given fund. The capital deployment velocity is notably higher than a traditional 1-2 investment per partner per year.

Seed Stage 175

Seed Stage Technical Review Dilution Offshore 175

Startup Professionals Musings

MAY 22, 2010

Make sure your plan answers every relevant question that you could possibly imagine from your business partners, spouse, and potential investors. It doesn’t prove your business model of pricing, distribution, and support. Forcing yourself to write down a plan is actually the only way to make sure you actually have a plan.

Intellectual Property 222

Intellectual Property Sweat Equity CTO Hire Fractional CTO 222

YoungUpstarts

JUNE 20, 2016

The switch from PDRs to VDRs resulted in deal cycles and increased valuations. These services have been used by companies to share information with outsiders like lawyers, auditors, partners or even customers. In the last 10 years, Virtual data rooms have steadily replaced paper-heavy and laborious Physical data rooms.

Software Review 100

Software Review Technical Review Due Diligence Security 100

Both Sides of the Table

FEBRUARY 6, 2019

Valuations are out of control” is the mantra of others. Yes, VC / Startup Funding is up Massively If you look at how much VC firms have raised from Limited Partners (LPs) over the past 2 decades you’ll see that we’ve returned to a level that we haven’t seen since 1999. We’re in a new tech bubble!” some have pronounced.

Venture Capital 292

Venture Capital IPO Mezzanine Early Stage 292

Both Sides of the Table

APRIL 21, 2020

A seed deal hasn’t already been “priced up” to a range where a new investor might be concerned about the valuation relative to performance. Food production and distribution, group collaboration, remote training or education, sensor technology (tracking people movement, temperatures, etc), certain biotech deals. Raise when you can.

Marketing 263

Marketing Valuation Churn Rate Balance Sheet 263

Austin Startup

JULY 18, 2018

It leads to better products, better strategy, better marketing, bigger valuations and faster growth. Talent may be evenly distributed but opportunity most definitely is not. Diversity in tech and in business leads to greater chances of success. It leads to better ideas and more creativity. systemic” and “institutional”?—?acknowledge

Technical Review 56

Technical Review San Antonio Houston Software Review 56

Gust

OCTOBER 20, 2011

In 2011, the valuation of pre-revenue, start-up companies is typically in the range of $1.5–$2.5 Scorecard Valuation Methodology. This method compares the target company to typical angel-funded startup ventures and adjusts the average valuation of recently funded companies in the region to establish a pre-money valuation of the target.

Valuation 146

Valuation Pre-Money Valuation Intellectual Property Technical Review 146

View from Seed

DECEMBER 11, 2019

“I’m thrilled to announce that I’m joining [New Firm] as a Partner where I will continue to invest in great Founders across the industries I care about.”. “I In any professional service industry, there is natural shuffling in the junior roles, as the race up the pyramid towards a Partner title is like musical chairs.

Venture Capital 204

Venture Capital Cap Table Partner LP 204

Up and Running

OCTOBER 13, 2014

One recent development has been that larger companies are now looking at small innovative companies in a new light — as potential partners in developing new products, processes and services. Either way, he says, these smaller firms gain major clients that fund further growth and drive their valuations higher. A Case in Point.

Intellectual Property 106

Intellectual Property Philadelphia Small Business California 106

www.paulgraham.com

OCTOBER 23, 2010

The distribution of investors should mirrorthe distribution of startups, which has the usual power law dropoff.So If we assumethe average startup runs for 6 years and a partner can bear to beon 12 boards at once, then a VC fund can do 2 series A deals perpartner per year. Butthere may not have to be just one valuation.

Startup 93

Startup Valuation Non-Compete Deal Flow 93

Both Sides of the Table

FEBRUARY 6, 2017

And it’s not just that VCs cut their investment pace but they also indicated overwhelmingly that valuations of investments had dropped with 76% of all VCs surveyed suggesting 2016 had lower valuations than 2015. So if funding from VCs slowed, valuations dropped and burn rates were slashed, WTF happened to winter again?

Venture Capital 150

Venture Capital Saudi Arabia Burn Rate LP 150

Steve Blank

SEPTEMBER 14, 2009

Each VC firm/partner has a different spin on what to weigh more.) Underwriters realized that as long as the public was happy snapping up shares, they could make huge profits on the inflated valuations (regardless of whether or not the company should have ever been public.) 3) invest in and take equity stakes in exchange for capital.

Silicon Valley 217

Silicon Valley IPO Technical Review Venture Capital 217

500hats.com

AUGUST 2, 2012

However after Sequoia and Ron Conway announced their investment in YC in 2009 , and after YC alumni DropBox and AirBnb raised capital on billion-dollar valuations in 2010-11, the program quickly became the gold standard among early-stage startup incubators. They are operators, through and through.

Silicon Valley 74

Silicon Valley Early Stage Venture Capital Valuation 74

VC Cafe

SEPTEMBER 16, 2021

The other half is more distributed, but consists on tools for content creation and distribution and finally a minority of tools focused on admin tools (fintech, managing the business, back office, etc). To understand the trends, follow the money. If you replace “SMB” with “Creator”, what needs do you see emerge?

Startup 207

Startup Social Media Venture Capital Audio 207

www.inc.com

SEPTEMBER 24, 2011

In the past few years, hundreds of small companies have been snatched up by private equity firms willing to agree to ever-rising valuations. One of the ways vendors and partners--whose behind-the-scenes assistance often is crucial to a start-ups success--can get a piece of the action is to exchange services for equity. Two trucks.

Arizona 40

Arizona Equity Iowa Venture Capital 40

Up and Running

JULY 22, 2019

Attracting investors in the early stages helps bring in new partners that are committed to your business. They can expand your network by introducing you to other investors, customers, or partners, helping you to continue accelerating your business plan. People love to “average up” by doubling down on winners. Start early.

Canada 78

Canada Early Stage Valuation Finance 78

ReadWriteStart

SEPTEMBER 6, 2019

While most companies focus on revenue and profitability, Silicon Valley leaders tend to view valuation as a success barometer. Despite its reputation as a publicly distributed solution, blockchain is a perfect way to securely share information without risking it getting into the wrong hands. Improving Sourcing With Customer Data.

Silicon Valley 103

Silicon Valley Artificial Inteligence Database SQL 103