The Shift from FOMO to FOLD in Early Stage Investing

View from Seed

For the last several years, the early stage investing market was driven largely by the F ear O f M issing O ut, AKA FOMO. My prediction is that FOLD will permeate through the early stage investing landscape and have some pretty broad effects. Stage.

Grant Applications Often Provide Early-Stage Funding

Startup Professionals Musings

A critical stage for most first-time entrepreneurs is getting their idea developed into at least a prototype to validate their technology. Acquiring seed-stage funding is admittedly tough, but a source that I find often overlooked is government grant funding, accessible in the U.S.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

New Early Stage Financing Options for Entrepreneurs

Startup Professionals Musings

If you are new to the entrepreneurial world of startups, you are likely confused by the terminology of seed-stage, lean startups, micro-VCs, and Super Angels. The good news is that he is all about helping early-stage startups. These are emerging group of professional investors (venture capitalists, ala VCs), who are investing from a fund of other people’s money, with a particular focus on seed-stage startup opportunities. Early-stage startup.

The Road Less Traveled: Non-Standard Early Stage Funding Paths

View from Seed

As the seed stage that atomized and series A rounds have become larger and more traction based, the paths to series A have changed. This is the logical path that one would think is pretty “standard” for early stage companies. So your net dilution may end up worse and you may miss out on working with a really hands-on pre-seed partner early in your company’s life.

Timing Is Everything: How To Secure Early-Stage Funding

YoungUpstarts

Given that mindset, it’s only natural that most entrepreneurs jump at the first chance they get to secure early-stage startup funding. Most startups will need a viable product and proof of credibility before they can expect early-stage investors to really bite. The most common fundraising mistake I see is when early stage entrepreneurs focus all their attention on trying to secure a $1 million check from a lead investor.

Financial modeling for early stage startups

Eric Friedman

Many early stage investors look for financial models for 3+ years from founders to make an investment. Even if it’s too early, you are pre-revenue, or just at the idea stage I think its ok to hold your nose and go through the OpEx exercise. I can’t remember an early stage team putting together a model that has been accurate for 3 years. In fact, for early stage companies you are usually wildly wrong.

Early Stage VCs – Be Careful Out There

Feld Thoughts

In addition to our own funds, we are investors in a number of other early-stage VC funds as part of our Foundry Group Next strategy. “Historically, the $10 million valuation mark has been somewhat of a ceiling for seed stage startups. The post Early Stage VCs – Be Careful Out There appeared first on Feld Thoughts. Venture Capital cycles early state valuations

Vulture Capital: Why Early Stage VC Could Kill Your Startup

The Startup Magazine

While the rewards may be a boon to their company in the short term, the consequences of accepting outside funding too early can be debilitating. There’s a reason why I refer to early-stage VC funding as vulture capital, and to be honest it’s pretty accurate. While self-funding may not be right for everybody, early-stage companies should consider taking this route if they want to keep their company on a controlled course. .

Great Early Stage Startup Behaviors Limit Scaling

Startup Professionals Musings

Investors often say that successfully navigating the early stages of a startup requires lots of street smarts, guts, and luck. Several years ago, John Hamm published some early work on this subject in " Why Entrepreneurs Don''t Scale " in the Harvard Business Review. This is generally a required quality for a successful entrepreneur, but it can turn into an unhealthy stubbornness during the scaling stage. Trusting your gut at this stage isn’t good enough.

Put A Coin In It! Invest In Early Stage Startups To See Maximum ROI

YoungUpstarts

Investing has always (and will always) come with a long laundry list of liabilities that can deter even the most experienced investors from making a generous contribution to a startup or early-stage company they believe in. by Emmanuel de Watteville, co-founder of Blue Ocean Ventures.

How To Empower Early-Stage Entrepreneurs In Developing Countries

YFS Magazine

Despite entrepreneurship's importance to economic growth, the developing world still faces enormous challenges in order to unleashing its full potential. Economy economy Global Business global voices

Top 5 Realities Of Being An Early-Stage Entrepreneur

YFS Magazine

There are five realities about being an early-stage entrepreneur that no one can escape. Lead personal development starting a business startup advice startup lessons success

Beyond VC: Funding Options for Early-Stage Startups

Gust

The post Beyond VC: Funding Options for Early-Stage Startups appeared first on The Gust Blog It’s that time of year when we’re all staring down the end of the December, wondering where the months have gone. This is also the time when a lot of entrepreneurs wrestle with their plans for the next year, asking themselves: Where should I bet big? Are the growth targets right? How am I going to pay for all these. Read more >.

7 Benefits Startups get From HR in the Early Stages

ReadWriteStart

The post 7 Benefits Startups get From HR in the Early Stages appeared first on ReadWrite. When you are the founder of the start-up, you have no roles to perform, aside from being the CEO to doing the basics. You have to be a marketer, IT head and even customer care at times. Managing a start-up is quite perilous and chaotic both. Things become a little flexible for you only when […]. Entrepreneurs Small Business Startups benefits of HR company culture HR HR ready HR teams

Funding early-stage resources?—?how to help underrepresented founders

Austin Startup

Funding early-stage resources?—?how For early-stage, we raise 77 cents on the dollar to men. Without these things, how are we supposed to get more women past early-stage!? It’s well worth your time to read, but there is this one paragraph that hits home the most with me - “In the meantime, Austin has 80+ accelerators but for founders without access to early capital?—?in Funding early-stage resources?—?how

4 Ways Early Stage CTOs Can Learn to Roll With the Punches

ReadWriteStart

There’s always a tinge of “TBD” that accompanies the role of an early stage startup CTO. Early stage companies can’t immediately hire someone with the tech and executive know-how needed to handle the job. The post 4 Ways Early Stage CTOs Can Learn to Roll With the Punches appeared first on ReadWrite. There’s a reason the position comes with that “up in the air” feeling.

The Importance of Proprietary Deal Flow in Early-Stage VC

Both Sides of the Table

What stage? I sorted out pretty early that lawyers were a great source of deal flow. Because entrepreneurs often went to lawyers at their earliest stages to get their company registration done. I’m not saying that lawyers were my screening process – simply that they knew about deals early on and they had voted with their time and pocketbooks so I knew I had a degree of filtering. We are judging how well you are coached on stage.

Equity for Early Employees in Early Stage Startups

SoCal CTO

I was asked by a reader how much equity he should give out to early employees and to service providers in a very early stage startup. Founders vs. Early Employees To help with this discussion, let me start with a definition of "early employee." The first few people into a startup are on a spectrum of founder vs. early employee. Early Employee Equity is an Art I somewhat agree with Fred Wilson in Employee Equity: How Much?

10 Marketing Lessons for Early-Stage Tech Startups

Both Sides of the Table

The following are some lessons I learned about early-stage startup marketing. My general rule is that it’s good to be stealth in the early days while you’re building your product and testing your market. In the early days you don’t really want 3 extra teams hearing your ideas and gearing up to compete before you feel you’ve got a solid head start. For early-stage consumer companies I would be careful not to market futures at all.

How do you pay an early stage board?

Berkonomics

Many early stage CEOs and board members have asked for some guidance regarding pay and time commitments for board members. Pay early stage board members of companies that are not lifestyle businesses one percent of the fully diluted equity in the form of an option that vests over four years of service. Email readers, continue here…] For lifestyle companies or later stage companies, board members should be paid on a per-meeting basis in cash.

SoftBank’s renewed focus on early-stage companies in India

Our Own Start-up

In India, SoftBank with its $100 Bn Vision Fund has led to several new entries in the unicorn club in the past few years. Growth Strategies indian startup indian startups SenseTime Softbank Softbank funds SoftBank investment in Indian startups Softbank investments SoftBank Vision Fund softbank's investments softbanks strategy Swiggy Zomato

The most important lesson learned in early-stage investing

Version One Ventures

It is a well-written piece with many great quotes and anecdotes and included the most important lesson about early-stage investing that I learned over the past 8 years: “If the fail rate of our companies is not high enough, it’s not because we are exceptional investors, it’s probably because we’re not taking enough risks. Every day I remind myself that there is no such thing as a stupid idea, as a market that is too early, or a company that has too many missing pieces.

4 Popular Types Of Office Spaces For Early-Stage Startups

YFS Magazine

Before you obligate yourself to working in a space that doesn't meet your needs, consider these familiar workspace options and the pros and cons of each. Culture Workspaces commercial office coworking Office Space shared office space workspaces

Strategic Jujitsu: New Business Models for Early Stage Entrepreneurs

Up and Running

3 steps to take as an early stage entrepreneur. Jujitsu is the martial art whereby you use your opponent’s strengths or your own (oft-perceived) weakness to your advantage.

Careful about equity and options in early stage businesses

Berkonomics

And then there are options: [Email readers, continue here…] Stock options or phantom stock are the tools of early stage businesses used to attract great talent when there is not enough cash to pay market rates. Most early stage companies make the mistake of making option grants to new hires at all levels that are too aggressive and distort the capital structure of the company to a degree that damages future professional investment. Close.

Early-Stage Startups Need Friends, Family, and Fools

Startup Professionals Musings

In high technology, this is called “release early and iterate,” which allows you to make corrections as you go, as well as adjust for the market changes. It also shows progress to early backers. Most entrepreneurs have learned that it’s almost always quicker and easier to get cash from someone you know, rather than angel investors or professional investors (VCs).

Unusual Rounds of Early-Stage Funding & What to Know

Genuine VC

The standard seed round will buy the company 12 to 18 months of runway as it looks to prove out early-stage milestones to raise a Series A before running out of cash. Note that some institutional VC investors who invest at the seed stage may also make these investments: Continue reading this post on The View From Seed. The post Unusual Rounds of Early-Stage Funding & What to Know appeared first on GenuineVC

Where is the best source of early stage investment?

Berkonomics

It is now years later, and his mother along with other early investors are still in the passive game, not likely to see liquidity from this mistaken investment in an entrepreneur unwilling to take money in exchange for the eventual promise of liquidity.

Why Early-Stage VCs Should Be Careful About Intros from Bankers

Both Sides of the Table

What stage? I sorted out pretty early that lawyers were a great source of deal flow. Because entrepreneurs often went to lawyers at their earliest stages to get their company registration done. I’m not saying that lawyers were my screening process – simply that they knew about deals early on and they had voted with their time and pocketbooks so I knew I had a degree of filtering. We are judging how well you are coached on stage.

10 Online Business Tools For Early-Stage Entrepreneurs

YFS Magazine

These online business tools can help you get your business on track and keep it there. Back Office Grow back office collaboration online tools productivity project management

Texas Health Catalyst at UT Austin Showcases Early-Stage Projects at its Demo Day

SiliconHills

The Texas Health Catalyst held its Demo Day Tuesday afternoon with 13 early-stage ventures showcasing their new projects. These are really, really early innovations,” said Nishi Viswanathan, director, Texas Health Catalyst at Dell Medical School at the University of Texas at Austin.

Early Stage Marketing and Branding – Farida Fotouhi

SoCal CTO

She is a go to person for me when I have questions around technology or early stage marketing and branding. We do a lot of B2B and also have an "Early Stage Branding" practice for technology startups. I've known Farida for quite a while. Maybe ten years.

Early-stage Regional Venture Funds–part 2 of 3 of Bigger in Bend

Steve Blank

Part 2: Early-stage Regional Venture Funds. as a distribution channel have vastly reduced the amount of capital a startup needs at the early stage when the risk is greatest. What’s Missing Is Early Stage Capital. While the technology gap is closing, what’s still missing in local regions is early stage capital. Late stage large regionally based funds that invest in late stage or mezzanine deals.

New Early Stage Financing Options for Entrepreneurs

Gust

If you are new to the entrepreneurial world of startups, you are likely confused by the terminology of seed-stage, lean startups, micro-VCs, and Super Angels. The good news is that he is all about helping early-stage startups. These are emerging group of professional investors (venture capitalists, ala VCs), who are investing from a fund of other people’s money, with a particular focus on seed-stage startup opportunities. Early-stage startup.

Silverton Partners Raises $144 Million Fund Focused on Investing in Early-Stage Startups Primarily in Austin and Texas

SiliconHills

The venture capital firm, founded in 2006, focuses on early-stage companies and just in the last two years, its seed-funded startups have exited for a combined $3.2 The post Silverton Partners Raises $144 Million Fund Focused on Investing in Early-Stage Startups Primarily in Austin and Texas appeared first on SiliconHills. Silverton Partners, based in Austin, announced this week that it has closed on Fund VI at $144 million, its largest fund to date.

LiveOak Venture Partners Closes a $105 Million Fund to Invest in Early-Stage Texas Startups

SiliconHills

Krishna Srinivasan, Venu Shamapant and Ben Scott founded Austin-based LiveOak in 2013 and raised a $100 million fund to invest in early-stage Texas startups. The post LiveOak Venture Partners Closes a $105 Million Fund to Invest in Early-Stage Texas Startups appeared first on SiliconHills. LiveOak Venture Partners announced Tuesday that it has closed a $105 million fund, its second fund. The fund was oversubscribed, according to a news release.

Business Development for Early Stage Startups

This is going to be BIG.

struck in the early days where newspapers would put a little “Tag this article” widget at the end of every story, and in return, they’d get a feed of the keywords used to take the articles, which helped them on search and ad targeting. If you’re a non-technical founder, while your team is building and refining your product, you’ve got to figure out what to do with your time. I find that first time CEOs often find themselves doing two things, neither of which is productive.

Early stage money: The problem with PPMs

Berkonomics

There should not be one version of terms for the early set of investors (the PPM terms) and a second version of terms for later investors in the same round. By Bill Payne. Bill Payne has been actively involved in angel investing since 1980, funding over 50 companies and mentoring over 100 more. He is the recipient of the coveted “Hans Severiens Award form the Angel Capital Association, its highest honor. .

How to Scale Early-Stage Investing

David Teten

Before making the decision to join ff Venture Capital , I did some research on early-stage tech investing as an asset class and how it’s evolving. Although any given early-stage company is quite risky, when aggregated across a large portfolio, returns are very attractive. Countless pension funds and other LPs need to get returns on billions in assets, and early-stage VC is inadequately large from their perspective.

The first question early stage startups should ask themselves

Start Up Blog

When we being our journey into a new startup we get excited by the possibilities of what we are about to build. Especially when it comes to raising capital to support the project. But in the moment there’s one question we should not forget to ask ourselves: Is this a technology push or a problem pull? The answer to this question changes the direction of the entire project. It changes who will care about what we are building.

Quansight Futures is Raising a $20 Million Fund to Invest in Early-Stage Open-Source Tech Startups

SiliconHills

Quansight Futures, based in Austin, announced the launch of a new $20 million early-stage investment fund focused on open-source technology. The post Quansight Futures is Raising a $20 Million Fund to Invest in Early-Stage Open-Source Tech Startups appeared first on SiliconHills.

UT at Austin Professors Present Early-Stage Pharmaceutical Startups

SiliconHills

Three professor-led startups presented a variety of ideas including a traumatic brain injury treatment drug, a peptide sequencing platform to combat bacteria […] The post UT at Austin Professors Present Early-Stage Pharmaceutical Startups appeared first on SiliconHills. By LAURA LOREK Founder of Silicon Hills News The StARTup Studio put on by the Innovation Center at the University of Texas at Austin had a decidedly pharmaceutical focus during its January presentations.

6 things I learned marketing for startups (and early stage companies)

The Next Web

The other day as I was putting new strings on my guitar, something interesting happened. As the sixth and final string slid up into tune, the other strings came alive; it’s a fairly normal occurrence called sympathetic resonance, and it made me think of the successful marketing teams that I’ve led or been on — those times when the team and marketing channels were working together in harmony, and the brand and product were resonating with consumers.