www.entrepreneur.com

SEPTEMBER 22, 2011

Franchises Franchises Home Franchise 500 Home-Based Low Cost Top New Fast Growing Top Global Biz Opportunities Franchises for Sale Franchises A Bright Forecast for a Solar Panel Installation Franchise. What is Sweat Equity Worth? Determining how to value sweat equity is key when negotiating with investors and employees.

Sweat Equity 55

Sweat Equity Equity Fractional CTO CTO 55

David Teten

JANUARY 19, 2021

From traditional equity VC, Flexible VC borrows the option to pursue and reap the rewards of an outsized exit. Flexible VC 101: Equity Meets Revenue Share. Equity Ownership. Yes, typically preferred equity. On average, founders own just 43% of equity by Series B , declining thereafter. Flexible VC 102: Variations.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Startup Professionals Musings

JANUARY 4, 2015

Most aspiring entrepreneurs understand that you can’t build a business if you won’t commit to delivering a product or service, but many are hesitant or refuse to commit to any financial forecasts. External investors will demand a financial forecast, but it’s equally valuable to you, even if bootstrapping.

Forecast 120

Forecast Entrepreneur Burn Rate Widget 120

YoungUpstarts

OCTOBER 12, 2017

For many startups this results in a need to raise additional financing through debt or equity arrangements. Company growth and future forecasts are a critical component of going concern analysis. Company growth and future forecasts are a critical component of going concern analysis.

San Francisco 114

San Francisco Forecast Early Stage Term Sheet 114

genylabs.typepad.com

SEPTEMBER 24, 2011

Tracking and Forecasting the Trends Impacting the Future of Small Business. Working for Equity Instead of Cash. has an article on service firms waiving their fees and instead taking equity in their clients. At the same time I had equity in a company that was in horrible shape with no hope of survival. Small Business Labs.

Equity 40

Equity Technical Review San Jose Stock 40

Both Sides of the Table

SEPTEMBER 30, 2011

how do you forecast? How much to compensate them? how to structure the comp plan. How do you get access to customers? getting past the assistant. when to call. is it OK to call an exec on his mobile phone. how to handle intros. What is your sales process? call high or call low? how do you do pipeline reviews? agile sales process?

Software Review 300

Software Review Sales Due Diligence Startup 300

Up and Running

JULY 1, 2020

Financial projections: You’ll need to forecast how the expansion will improve future profitability. Lenders and equity investors are less emotionally involved in the plan as people within the company. This will also be the roadmap for your existing employees to execute that plan.

Business Plan 152

Business Plan Forecast Operations Dilution 152

Up and Running

JUNE 23, 2022

Where you borrow money from angel investors or venture capitalists willing to lend money to startups for more interest and usually an equity kicker as well. Giving a small percentage of ownership is called giving an equity kicker. Start by adjusting your milestones and forecasts.

SBA 163

SBA Finance Balance Sheet Technical Review 163

Feld Thoughts

OCTOBER 28, 2011

Before building his projections, Dick needs to make three main decisions: Should he build a simple cash forecast or a set of projected financial statements? Cash Forecast vs. Projected Financials – What’s the difference? A simple cash forecast is just that – it is a model that helps anticipate cash balances over time.

Revenue 127

Revenue Balance Sheet Forecast Software Review 127

Both Sides of the Table

SEPTEMBER 17, 2011

This person can do budgeting, forecasting, strategic planning, legal, HR, office moves, etc. Dilute your cash, equity or both. I think people understand this title to mean more somebody who handles operational issues rather than somebody who is more like a “chief of staff&# as a COO often is. But they aren’t the COO.

Operations 292

Operations CTO Hire Startup Early Stage 292

Startup Professionals Musings

MAY 27, 2016

Who would have forecast that entrepreneur Gary Ross Dahl would make millions by starting a “ pet rock ” business way back in 1975? Giving the wrong people money doesn’t help at the idea level. Thus I would assert that build a great solution is only half the task faced by every entrepreneur.

Technical Review 134

Technical Review Intellectual Property Due Diligence Angel Investor 134

The Equity Kicker

MAY 6, 2016

Good VCs need to be good forecasters. Deloitte have just published an interesting synopsis of Tetlock’s Superforecasting which gives us some insights into the types of people we need to recruit and the habits we need to cultivate to be good at the forecasting game. cautious in their forecasts. cautious in their forecasts.

Forecast 60

Forecast Venture Capital Open Source eCommerce 60

The Equity Kicker

MAY 13, 2014

New forecasts out from Forrester predict that online retail sales in the US will be $294bn this year, rising to $414bn by 2018. The growth rate from 2013-2018 is forecast to be 9.5%. Better still, even after this growth online retail in the US will only be 11% of total retail sales, up from 9% this year. That leaves miles to go.

Forecast 126

Forecast eCommerce Sales Marketing 126

Up and Running

SEPTEMBER 9, 2014

Assets = Liabilities + Equity. As Investopedia defines it, “a company has to pay for all the things it has (assets) by either borrowing money (liabilities) or getting it from shareholders (shareholders’ equity).”. This is actual money paid into the company as equity investments by owners.

Balance Sheet 115

Balance Sheet Equity .Net Business Plan 115

Hunter Walker

AUGUST 7, 2017

While you should expect these sorts of hires to take below market cash comp versus what Google is paying them, this tradeoff needs to be replaced with equity upside. Since Homebrew typically leads/co-leads seed rounds, we assist in helping founders design and manage their pool against their hiring forecast.

Equity 94

Equity Pre-Money Valuation Option Pool Founder 94

Both Sides of the Table

OCTOBER 1, 2009

We spent our future since the equity was artificial. The IMF just raised its global growth forecast from 2.5% It affects even B2B companies because ultimately most must sell to companies who sell to consumers and if they suffer they cut back on suppliers. Consumer spending is where I’m dubious. So why the ’09 bounce?

Technical Review 269

Technical Review Stock Hawaii Early Stage 269

The Equity Kicker

MARCH 28, 2013

Moreover, their star is rising, according to Forbes a year ago eMarketer was forecasting Twitter’s 2014 revenues at $540m, 43% less than the $950m they are now forecasting. As you can see from the chart above revenues have now reached a reasonable scale and continue to grow very fast.

Forecast 131

Forecast Revenue IPO Advertising 131

Up and Running

OCTOBER 12, 2017

Whether you’re simply trying to scale your business or seeking equity investment, having a plan is key. . Many business owners fail to see the value of regular planning and forecasting, and it hurts their businesses because they haven’t planned for potential challenges and don’t have any kind of strategy for dealing with them.

Metrics 128

Metrics Software Review Forecast Small Business 128

Board Effect

FEBRUARY 10, 2021

Perform a short-term and long-term debt equity analysis. Review financial controls using tools like ratio analysis, forecasting, cost and profit control, etc. Identify all sources of funds-shares, loans, bonds, etc. Review investments to determine if they’re profitable and prudent.

Technical Review 66

Technical Review Artificial Inteligence Software Review Government 66

ReadWriteStart

APRIL 26, 2011

MicroVentures does the due diligence for investors, running a variety of checks on financials, forecasts, use of funds, burn rate and so on. Everything is disclosed fully to potential investors, who make their investments in exchange for equity in the companies.

Software Review 122

Software Review Accredited Investor Due Diligence Burn Rate 122

The Equity Kicker

DECEMBER 2, 2015

revenues because growth is much lower – forecast at 5-7% next year, and their EBITDA margin is 8%. They reported 168% YoY revenue growth in the Q3 earnings report and their EBITDA margin is 19%. 1-800 Flowers, meanwhile is valued at 0.6x

Forecast 60

Forecast eCommerce Net Present Value Revenue 60

Both Sides of the Table

MAY 19, 2010

Founded in November 2007 in New York City by Alexis Maybank and Kevin Ryan (co-founder of DoubleClick); CEO is Susan Lyne (ex-CEO Marta Stewart Living Omnimedia) Revenue estimates: $50mm in 2008; $170mm in 2009 (versus budget of $150mm); $450mm forecasted for 2010. Note that these are “gross” revenue numbers.

Partner 240

Partner New York City Cofounder Syndicate 240

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. Debt-to-equity ratio = (total liabilities)/(shareholders’ equity). Debt-to-equity ratio = (total liabilities)/(shareholders’ equity).

Equity 136

Equity .Net Balance Sheet Operations 136

Both Sides of the Table

NOVEMBER 19, 2009

He would have found somebody technical and inspired that individual to work for equity or deferred payment. We had every chart every invented by man (or McKinsey) showing failure rates of our product, mean-times-to-repair, detailed sales forecast charts, etc. I said that was my point. Real entrepreneurs are contagious.

Entrepreneur 414

Entrepreneur Fractional CTO Technical Review CTO Hire 414

YoungUpstarts

APRIL 29, 2019

For startups with a limited amount of capital which they need to stretch out until profitability or be forced to enter a new funding round to give away another chunk of equity, it’s far better to do business smarter. How Data Can Be Useful to Entrepreneurs. Data Analysis is An Advanced Field. Data analysis has grown as a subject.

Forecast 150

Forecast Startup Analytics Boston 150

OnlyOnce

JULY 9, 2013

Chapter 12: Compensation…General Guidelines for Determining Compensation, The Three Elements of Startup Compensation, Base Pay, Incentive Pay, Equity . Chapter 22: Forecasting and Budgeting…Rigorous Financial Modeling, Of Course You’re Wrong—But Wrong How?, Budgeting in a Context of Uncertainty, Forecast, Early and Often.

Startup 95

Startup Advisory Board Elevator Pitch Forecast 95

Steve Blank

MARCH 17, 2020

Next, take a look at your actual revenue each month – not forecast, but real revenue coming in each month. If so, whatever revenue forecast and sales cycle estimates you had are no longer valid. And how much are variable expenses (salaries, consultants, commission, travel, AWS/Azure charges, supplies, etc.?). Laying off people?

Burn Rate 436

Burn Rate Startup Valuation Sales Cycle 436

YoungUpstarts

MAY 17, 2019

For the good ones, challenge them to help grow the company and incentivize them to stay through promotions, profit sharing, or equity. Use the cash forecast in the report to secure better terms on your business loan or lock the owner into seller financing. Firing bad employees will make the good ones optimistic of a turnaround.

Due Diligence 163

Due Diligence Forecast Deal Structure Valuation 163

Both Sides of the Table

MAY 19, 2018

Investors love to be able to see what you told them in forecasts in prior years and then compare with how you actually performed. In this way investors can make some assessments of how well they should believe your future forecasts that you are showing them a year later. and then asking to take a brochure home with you.

Cap Table 336

Cap Table Due Diligence Forecast Churn Rate 336

Up and Running

NOVEMBER 20, 2018

For example, if you’re an aspiring entrepreneur who feels “mathematically challenged” (and many of us do), then you may feel intimidated by financial forecasting and fall into a pattern of prioritizing other tasks. Much has changed since Edison’s day, but sweat equity is still the most effective kind of startup capital.

Sweat Equity 93

Sweat Equity Startup Lean Italy 93

Up and Running

JULY 14, 2015

Now, if you only needed $2 million of new funding, the investor would receive 50 percent equity. If the new funding increases to $3 million, however, they would have a 60 percent equity stake on the same valuation.

Technical Review 60

Technical Review Valuation Due Diligence Finder 60

Growthink Blog

FEBRUARY 21, 2013

The JOBS Act makes equity-based crowdfunding much easier The JOBS Act makes it possible to raise funds from investors and donors through certain crowdfunding sites in exchange for equity in your company. As mentioned above, equity based crowdfunding was supposed to go live on January 1st 2013. more on this below).

Equity 74

Equity Securities and Exchange Commission SEC Accredited Investor 74

ReadWriteStart

JULY 18, 2011

He believes that equity need not be distributed equally, as long as everyone involved is happy with their arrangement. And as long as founders don't have an argument about equity shares in front of the investors they are pitching. You can also follow Kedrosky on Twitter. Are all co-founders equal, Clavier asked?

Investment Bankers 153

Investment Bankers Technical Review Cofounder Due Diligence 153

YoungUpstarts

MARCH 18, 2019

To simplify the balance sheet and its template, it follows a simple equation that can be equated as liabilities plus the owners equity = the total assets of the business. The final equity section will include the financed by details of the bank. Forecast and Budgeting. Cash Flow Statement.

Balance Sheet 104

Balance Sheet Small Business Equity Forecast 104

Startup Professionals Musings

DECEMBER 11, 2017

Be willing to give up 20 to 33 percent of your equity to support this. Financial forecasts for startups are assumed to be estimates that will be updated as more information is known. Adjust revenues quarterly or even monthly, and replace forecasts with actuals as soon as a period ends.

Burn Rate 144

Burn Rate Forecast Angel Investor Revenue 144

Startup Professionals Musings

FEBRUARY 13, 2016

How big is the funding request, and how much equity will you give? Quantify founder investments, both cash and sweat-equity. What are your forecasts for revenue, expenses and cash flow? What are your forecasts for revenue, expenses and cash flow? How much and when do you foresee investors getting a payout?

Sweat Equity 120

Sweat Equity Advisory Board Liquidity Event Startup 120

The Next Web

FEBRUARY 27, 2014

your equity in a hot new patented technology business), the higher the demand (e.g., a discounted cash flow analysis of forecasted cash flows from your business. Forecasted earnings growth is typically the #1 driver of your valuation (e.g., Supply and demand. The more scarce a supply (e.g.,

Valuation 167

Valuation Forecast Seed Stage .Net 167