article thumbnail

Covid-19 is a marathon, not a sprint, for startups in US, UK and Israel

VC Cafe

The $349 billion aid package issued by the US Government and distributed in the form of SBA loans was quickly gobbled up by a large number of applications, many of which were from venture-backed or PE-backed startups. But as the world is starting to flatten the curves, the economic impact is just beginning. Help is not exactly on the way.

SBA 124
article thumbnail

Why GE’s Jeff Immelt Lost His Job – Disruption and Activist Investors

Steve Blank

The firm wrote a white paper, “Transformation Underway… But Nobody Cares” which essentially said that GE stock was undervalued because investors didn’t believe that Immelt and GE management would do the things needed to deliver a higher stock price and dividends. In 2015 Trian Partners, an activist investor, bought $2.5

Insiders

Sign Up for our Newsletter

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

article thumbnail

Why Some Startups Win

Steve Blank

When organizations are small (startups, small teams in companies and government agencies) early employees share a mission (why they come to work, what they need to do while they are at work, and how they will know they have succeeded). And it was going to mention the two words that marketing needed to live and breathe: revenue and profit.

Startup 326
article thumbnail

Flexible VC, a New Model for Companies Targeting Profitability

David Teten

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Flexible VC: Revenue -based. Of the Inc.

article thumbnail

Someone Stole My Startup Idea – Part 3: The Best Defense is a Good IP Strategy

Steve Blank

A patent is a government granted monopoly to prevent others from making, using or selling your invention – even if the other parties infringement was innocent or accidental. Your intellectual property may be an additional revenue stream or may add substantial value to your company. In the U.S. Offer for sale in the U.S.:Red

article thumbnail

Unintended Consequences: When SAFE and Convertible Notes Go Awry

Pascal's View

The easiest way to do so is via SAFE notes, due to their simplicity, “available online” documentation, no major covenants established to protect the investors, no governance implications at the board level, etc. All of these items are postponed until the elusive priced equity round. It’s going to be great!”.

article thumbnail

Startups: It’s not Thelma & Louise

Austin Startup

You might notice what’s not on that list above: revenue, investors. No revenue isn’t always a problem for venture-style businesses; no investors + no revenue = challenges for most founders without tremendous self-funding. However, we also discovered key challenges we could not overcome with the capital and window of our team.