Hunter Walker

AUGUST 8, 2023

At the time, this is last quarter and the stock market has trended upwards nicely since then (a potential leading indicator of private tech valuations), we all agreed venture portfolios were probably still 25-40% overvalued. Restructures, Down Rounds, and Pay to Plays. Whatever gets reported is just the tip of the iceberg.

Portfolio 99

Portfolio Cap Table LP Valuation 99

Startup Company Lawyer

MARCH 14, 2010

Founders Institute Plain Preferred Term Sheet (by WSGR – disclaimer, I represent the Founders Institute and was involved in drafting this document). I think that the Series Seed documents are probably most appropriate in a friends and family equity seed financing, as opposed to a round led by a professional investor.

Finance 70

Finance Software Review Term Sheet Liquidation Preference 70

David Teten

AUGUST 7, 2019

The second strategy is Value Investing , a strategy which “seeks to maximize returns by finding stocks that are undervalued by the market…Investors assess a stock’s intrinsic value…and compare that value with the stock price. LTV / CAC, revenue growth, etc.) Sense of victory. Requires less analysis.

Venture Capital 60

Venture Capital Valuation Stock NDA 60

Berkonomics

JUNE 8, 2017

Some businesses require very little capital and the founder can self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). For you who fit that description, nice work. There is a lot to say about retaining control.

Private Equity 106

Private Equity Valuation Cap Table Accredited Investor 106

Both Sides of the Table

FEBRUARY 8, 2016

We do this in our consumer lives with everything ranging from housing purchases to public stocks. But I would point out that raising money is an existential event and I think in the coming 12-18 months you may see loss ratios (companies going out of business or selling in fire sales) go up. Down rounds are corrosive.

Burn Rate 150

Burn Rate Cap Table Balance Sheet Dilution 150

Hippoland

NOVEMBER 13, 2016

Companies that exit are valued at whatever the sale is. If a company raises a good round, it gets marked up to the new value. And if a company takes a down-round, it gets marked down. But what if a company is growing revenues but hasn’t raised a round in a while? These founders are really selling.

IRR 48

IRR Valuation Portfolio Due Diligence 48

Berkonomics

JANUARY 20, 2010

Some businesses require very little capital and the founder is able to self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). For you who fit that description, nice work. There is a lot to say about retaining control.

Private Equity 69

Private Equity Valuation Cap Table Accredited Investor 69

www.paulgraham.com

APRIL 28, 2010

A typical startup goes throughseveral rounds of funding, and at each round you want to take justenough money to reach the speed where you can shift into the nextgear. I think it would help founders to understand funding better—notjust the mechanics of it, but what investors are thinking. Few startups get it quite right.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

abovethecrowd.com

APRIL 20, 2016

All Unicorn participants — founders, company employees, venture investors and their limited partners (LPs) — are seeing their fortunes put at risk from the very nature of the Unicorn phenomenon itself. The same thing happened to many Internet stocks. Their own ego is also a factor – will a down round signal weakness?

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Scalable Startup

FEBRUARY 1, 2013

All you need is for one of the new enterprise companies to completely whiff a quarter and their stock will collapse and then everybody will get all freaked out. We are already invested in these companies; we can’t sell our stock. We don’t have to sell our stock. Marc Andreessen: Yeah. It’s unpredictable.

Software Review 22

Software Review Startup Venture Capital Stock 22

Both Sides of the Table

MARCH 30, 2016

forward sales with some as high as 12x sales. Investors sat with the founder & CEO, Jason Spievak, and asked him what he wanted to do about the future. forward sales, we hinted at a range north of 5x but “we’d be flexible” and we meant it. forward revenue for public comps (comparable stocks).

Balance Sheet 150

Balance Sheet Burn Rate Valuation Forecast 150

Reid Hoffman

JUNE 8, 2021

While many travel industry leaders chose to “go dark,” as Airbnb CEO and co-founder Brian Chesky put it , while they decided how to navigate next steps, Chesky took a different approach: He got candid. Today, we are thrilled to have Airbnb CEO and co-founder Brian Chesky with us. Well, that same thing can be said for any product.

Silicon Valley 69

Silicon Valley Hosting Rhode Island Design 69

Reid Hoffman

JUNE 8, 2021

While many travel industry leaders chose to “go dark,” as Airbnb CEO and co-founder Brian Chesky put it , while they decided how to navigate next steps, Chesky took a different approach: He got candid. Today, we are thrilled to have Airbnb CEO and co-founder Brian Chesky with us. Well, that same thing can be said for any product.

Silicon Valley 36

Silicon Valley Hosting Rhode Island Design 36

VC Cafe

MAY 18, 2022

After a 13 year bull market run, anywhere you look in the stock market these days, it’s mostly RED. The tech companies that have been stock market darlings, breaking new records, are struggling, many missing analysts expectations. Down rounds are coming. Advice for startup founders (consolidated).

Term Sheet 190

Term Sheet Startup Valuation Ukraine 190