Venture Capital is About Human Capital

Both Sides of the Table

Most VCs did well academically and had enough career success that a venture firm was willing to give them an investment role or they were able to raise their own fund. We then help surround founders with other talent who want to join important causes but don’t have the startup idea themselves.

From Accelerators to Venture Capital: What is best for your startup?

Gust

With startup growth up 61% since 2014 and more investment programs emerging, it can be overwhelming for founders to know just where to jump in. The post From Accelerators to Venture Capital: What is best for your startup?

Trending Sources

Pioneering Women in Venture Capital: Kathryn Gould

Steve Blank

Kathryn has been the founding VP of Marketing of Oracle , a successful recruiter, a world class Venture Capitalist, a co-founder of a Venture Capital firm, a great board member, one of my mentors and most importantly a wonderful friend.

How to Build a Startup & Understanding Venture Capital

Both Sides of the Table

Many first-time founders seek advice when thinking about what ideas would be great for a startup company and receive the wrong advice that you need to focus on a billion-dollar idea. But you need to understand venture economics.

Bad Notes on Venture Capital

Both Sides of the Table

On the phone … Me: So, you raised venture capital? I know how to structure around that to protect the founders from getting screwed on a multiple liquidation preference. But most VCs don’t bother so many convertible note founders get screwed and never know it until they sell their companies. But founders these days seem strangely unfocused on finance and on terms that could hurt them even though we fought to the death about these same terms 10 years ago.

A Venture Capital History Perspective From Jack Tankersley

Feld Thoughts

In January, Jerry Neumann wrote a long and detailed analysis of his view of the VC industry in the 1980’s titled Heat Death: Venture Capital in the 1980’s. Jack Tankersley, a long time mentor of mine, co-founder of Centennial Funds, and co-founder of Meritage Funds, wrote me a very long response. So contrary to the piece, it wasn’t VC were good at early stage technology, it was that they had newfound capital and a big exit window.

Where Do Venture Capital Dollars Actually Come From? This Visual Explains

Agile VC

Most folks reading this will know that many startups were built in part with the help of venture capital. So I wanted to dive a little deeper into what I call the startup capital supply chain. Google, Intel Capital).

Something Ventured: The Founding of the Venture Capital Industry

Feld Thoughts

Last night Amy and I watched the movie Something Ventured: Risk, Reward, and the Original Venture Capitalists. I figured Amy would veto Something Ventured after 15 minutes. If you are a VC, or aspire to be a VC, do yourself a favor and watch Something Ventured right now.

Got "Founder Fit?" If You Want Venture Capital, You Need It

Up and Running

A few weeks ago I spoke with Boris Wertz, founder of JustBooks, COO of AbeBooks and founding-partner of Version One Ventures. In ” At present, Version One Ventures portfolio includes startups from all over the United States and Canada. The founder drives the culture.

6 Steps to Raising Venture Capital in 6 Months

Gust

A founder with a startup focused on selling groceries online should begin their pitch by describing the total money projected to be spent on groceries online over the coming years. A woman you don’t know tells you that she’s going to run a marathon of 7-minute miles.

It’s Not Easy applied to Venture Capital

K9 Ventures

Note: If you’re a founder, stop reading this post now. If you’re even remotely connected to the “industry” of Venture Capital, you need to read Howard Marks’ It’s Not Easy memo. These investors are often looking for non-venture returns.

Silverton Partners Plans to Raise $100 Million Venture Capital Fund

SiliconHills

Silverton Partners, a venture capital firm founded in 2005, is raising a $100 million Silverton Partners V fund, according to documents filed with the Securities and Exchange Commission. The Austin-based venture capital firm lists Adam Chibib, Michael Dodd, Morgan Flagler and Kip McClanahan as its general partners.

Myth Busters: Debunking Seven Conventional Wisdom Maxims of Venture Capital

Genuine VC

Compared to most other areas of finance, venture capital is practiced as more of an art, as opposed to a science. The art of venture capital also means that for entrepreneurs raising it, there isn’t one definitive playbook which can be used as a guide. Otherwise, what I’d call a “credible introduction” is sufficient provided there’s also an additional piece of information (key founder background, specific space, etc.) MYTH: The venture capital model is broken.

Why I Look for High Conviction, not Consensus, in Venture Capital Decisions

Both Sides of the Table

One of the least understood parts of the venture capital industry and venture capital firms is how investment decisions actually get made. The beauty of venture capital is that on any given deal I can only lose one times my money.

How To Grow A Company Without Venture Capital

YoungUpstarts

by Keith Smith, co-founder and CEO of Payability. As an entrepreneur, though, you should look no further than Fab.com as a cautionary tale of venture capital. The Drawbacks of Venture Capital.

Deal Selection in Venture Capital

Rob Go

Investors that have been in the business for decades have a bit of a sixth sense when it comes to great founders. Source, Select, Win. Those are the three activities that all VC’s do.

Venture Capital Investors Look Beyond Your Startup

Startup Professionals Musings

Obviously, a key factor is always the state of the economy and the mood of the venture capital community. On the other hand, venture capital doesn’t get smoothly spread across the geographic and demographic landscape, and the number of active venture capital firms has dropped sharply.

10 Misperceptions About Venture Capital

This is going to be BIG.

Not every company raises venture capital—most don’t. In my own case, of the 7 deals I’ve sourced and/or led at First Round , the profiles of the founders look like this: Married, non-technical female, mid-30s, mom, white. Early 20’s technical + non technical single founders, white. Venture Capital & TechnologyTweet. 1) You need it.

OJO Labs Lands $5.8 Million in Venture Capital

SiliconHills

Austin-based LiveOak Venture Partners and Silverton Partners led the financing. John Berkowitz, co-founder of Yodle and David Rubin, founder and former CEO of ProfitFuel founded OJO Labs in February of […] The post OJO Labs Lands $5.8 Million in Venture Capital appeared first on SiliconHills. By LAURA LOREK Reporter with Silicon Hills News A new startup, OJO Labs just closed on $5.8 million in Series A funding from local investors.

How ff Venture Capital Works With Universities And Students

David Teten

I meet with a lot of people from the academic world, so I thought it would be helpful to summarize how ff Venture Capital works with universities. Look for opportunities to collaborate on new ventures. Education ff Venture Capital Startup

Dos and Don’ts When Raising Venture Capital For the First Time

VC Cafe

The post “ What I learned from raising venture capital ” by Gabriel Weinberg , the founder of DuckDuckGo is one of them. WHAT TO DO WHEN RAISING VENTURE CAPITAL. Choosing your VC essentially as choosing a co-founder.

Flybridge Recruits Female Founders to Run Women-Only Venture Capital Fund

Inc Startups

The new pre-seed fund looks to invest $100,000 in each of 30 women-led companies. Open Future

Growth Hacking Without Venture Capital

Software By Rob

Bronson is a co-founder and host of Growth Hacker TV , the only educational platform focused exclusively on helping startups grow by acquiring, retaining, and monetizing users. Founders sometimes assume that they need an influx of cash to truly grow a product.

What I learned from raising venture capital

www.gabrielweinberg.com

I recently raised venture capital for the first time. DuckDuckGo raised a series A round from Union Square Ventures and a handful of awesome angel investors. Your VC is essentially buying in as a co-founder. Would you chose a co-founder that sucks? Like a great co-founder, they can also help me in strategic ways at the right time. Takin' VC Money (Money Cash IPO's) by Smixx Forewarning Be forewarned, this post is long.

Austin-based Convey Raises $4.5 Million in Venture Capital

SiliconHills

Silverton Partners led the latest round with participation from Techstars Ventures, Capital Factory and Corsa Ventures. Rob Taylor is the CEO of Convey and Dan Bebout is the founder and vice […] The post Austin-based Convey Raises $4.5 Million in Venture Capital appeared first on SiliconHills. Convey, a Techstars Austin graduate, announced Wednesday it has raised $4.5 million in Series A funding. To date, the company has raised $6.9 million.

Why are some venture capital firms not funding women?

Gust

The facile answer to this assumptive question is “because some women are not seeking funding from venture capital firms” But there is actually quite a bit of truth in both statements. Women-led ventures definitely account for a smaller percentage of venture investments than do ventures led by men, but women-led ventures also account for a MUCH smaller percentage of ventures seeking funding in the first place!

The Experience of Being a Limited Partner in Venture Capital

This is going to be BIG.

You run X amount of capital and Y percentage of that is allocated to venture capital. That happens most when the LPs represent a diverse group of industries and perspectives who want to be helpful to portfolio companies and founders. LPs could represent meaningful co-investors on deals and great mentors to founders. Partnership investing is boring. You give someone your money and, once a quarter, they give you a report that says what they did with your money.

Sustainable startup growth and venture capital

The Equity Kicker

On Friday it seemed like everyone in the venture capital industry was again reading about market turmoil, this time the news is that angel investors are pulling back and valuations taking a hit. In his post The end of the big venture formula Danny Crichton put it like this: What’s needed is a sustainable approach to startup growth and venture capital.

Will Your Startup Get Venture Capital or IPO in 2013?

Startup Professionals Musings

Based on the final report for 2012 from Thomson Reuters and the National Venture Capital Association (NVCA), it may appear that IPOs are back as a viable startup exit strategy. For the full year 2012, venture-backed initial public offerings raised $21.5

The Thin Skin of the Venture Capital Market

This is going to be BIG.

The fact is, it''s just not cool to criticize the investing side of the venture capital market. That doesn''t mean I have anything against the founder or the investors. But in the private markets, we''ve got "Yay, founders! For the most part, journalists give startups a free pass when venture capital money is raised or when companies that clearly seem to have failed get "acquired". Venture Capital & Technology

Startups With Real Revenue Can Get Venture Capital

Startup Professionals Musings

I just read the Q1 2011 report from CB Insights , which shows venture capital is back. To me, this indicates that venture capitalists (VCs) are looking for business, but not from first-time startups. Back to VCs, Silicon Valley venture capital firms are still the most active.

Understanding Changes in the Software & Venture Capital Industries

Both Sides of the Table

In this three-part series I will explore the ways that the Venture Capital industry has changed over the past 5 years that I would argue are a direct result of changes in the software industry, not the other way around.

When, Where, and How to Raise Venture Capital

Startup Professionals Musings

By Dave Lavinsky, President and Co-Founder of Growthink At one point or another, most entrepreneurs find themselves in a place where they could use money. And as they sit and dream, most entrepreneurs think about venture capitalists. And then go back to venture capitalists later.

Venture Capital (VC) Blog Directory – 2011 Edition

Thinking About Thinking

This is the 4th edition of the Venture Capital Blog Directory ( 1st edition , 2nd edition , 3rd edition ). This directory includes 149 venture capital, microVC/seed, and growth equity blogs. Many thanks to my colleagues at Volition Capital for their assistance with this directory - we hope it’s a useful service for everyone. . Fred Wilson ( @fredwilson ), Union Square Ventures, A VC (81,483). Mike Speiser, SutterHill Ventures, Laserlike (490).

Why Venture Capital No Longer Defines Innovation

ReadWriteStart

Today’s venture capital deal flow to innovative new companies looks a lot like a fat man trying to squeeze into a slim Italian suit. In 2000, venture capitalists poured a staggering $112.2 Today, venture capital deal flow has slowed to a relative trickle, just $28.4

The Singularity hits Venture Capital (Wilson/Kauffman Redux)

Fred Destin

I mean, really, who still wants to be a venture capitalist ? And then we have Fred Wilson telling us that should venture capital die, there's always be blogging. I an now expecting Chris Dixon to say he is turning to Venture Capital , and then I will be officially confused. The schizophreny of the venture capitalist. Venture partnerships need to collectively find winners and drive as much cash at reasonable valuations as they can into these stars.

Six Reasons Not to Invest in a Venture Capital Fund

This is going to be BIG.

The last thing you want as either a founder or even a VC is to have an investor get stuck with you when you're not on the same page about expectations. You trust me with your money and I get to do the fun part--working with founders. Hopefully, the fund gets some nice wins early and you start to get your money back, but when you're in a venture fund, you're in for a really long haul.

A framework to think about pricing seed, angel, and venture capital rounds

This is going to be BIG.

2) Supply and demand of capital willing to invest in your company. Sometimes, this also relates to capital requirements of what the team needs. That means that founders as a group will be right around 50% ownership after two rounds. Venture Capital & Technology

Founder Dilution

A VC : Venture Capital and Technology

I saw a blog post this weekend that looked at the IPO filings of 79 tech companies and calculated the ownerships of the founders and the VCs at IPO. The result of that analysis is that the average founder ownership at IPO was 17% and the average VC ownership at IPO was 56%. I’ve written a bunch on this topic and here are two posts that address this exact issue: Founder Dilution – How Much Is “Normal”? Raising round after round of venture capital is expensive.

What Founders Need to Know: You Were Funded for a Liquidity Event – Start Looking

Steve Blank

To most founders a startup is not a job, but a calling. Luckily in the last quarter of the 20 th century a new source of money called risk capital emerged. Risk capital takes equity (stock ownership) in your company instead of debt (loans) in exchange for cash.