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Why Startups Should Raise Money at the Top End of Normal

Both Sides of the Table

Early-stage investors in technology startups are only looking for growth-oriented companies that can achieve an “exit&# someday – either via selling your company to a larger company or via an IPO. The former is much more likely than the latter. The risk wouldn’t be appropriate.

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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

The fact that today’s Internet bubble does not represent all companies does not disprove its existence. Ah, but today’s Internet companies have real revenue! And this is happening in mezzanine (pre-IPO) deals as well. And post IPO deals, although these tend to correct more quickly. and profits!

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On the Road to Recap:

abovethecrowd.com

The pressures of lofty paper valuations, massive burn rates (and the subsequent need for more cash), and unprecedented low levels of IPOs and M&A, have created a complex and unique circumstance which many Unicorn CEOs and investors are ill-prepared to navigate. The same thing happened to many Internet stocks.

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The Second VC Round – A True Test of Scalability

Scalable Startup

The current phenomenon of Internet multi-millionaires recycling their money back into the startup markets is creating “super” angels like Ron Conway. It’s no longer based on a hunch, unless the company is in trouble and needs money to finish what the first round started. Facebook is a great example of this.

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People-First Capitalism

Reid Hoffman

Airbnb was preparing for an IPO right when the pandemic hit, and everything changed in a matter of days. Airbnb got scrutiny before we were big, because Airbnb meant the internet moving into your neighborhood. If we’re making a consumer internet company, it should be good for people consuming it. So we’re going to do debt.

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People-First Capitalism

Reid Hoffman

Airbnb was preparing for an IPO right when the pandemic hit, and everything changed in a matter of days. Airbnb got scrutiny before we were big, because Airbnb meant the internet moving into your neighborhood. If we’re making a consumer internet company, it should be good for people consuming it. So we’re going to do debt.

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An Inside Scoop on the Funding Environment and What it Might Mean for You

Both Sides of the Table

Many had started IPO’ing and we started to think about our future. Luckily we were never a unicorn so we didn’t have to have a destructive massive down-round that makes it harder (but not impossible) to get done. forward sales with some as high as 12x sales. Did he want to see if Invoca could be public some day?