Should Every Entrepreneur Expect or Aim for "Hockey Stick Growth?"

Small Business Force

Virtually, every business plan that's ever been presented to the investor community, invariably, has that fabled "hockey stick growth" period where suddenly revenue jumps exponentially. Hockey stick growth" is like going viral � good luck with that!

4 Ways to Achieve Hockey-Stick Growth in Your Business This Year

Inc Startups

Has your business growth hit a plateau? Try these tips

NY Gaming Meetup: A Study in Iteration and Hockey Sticks

Brad Hargreaves

I’ve been running it for over a year, but only recently has it begun to “hockey stick&# , in industry parlance. The Hockey Stick: As you can see from my chart of RSVPs, I’ve started to figure this thing out.

Estonian Taxify Releases Hockey Stick Growth Stats, Launches in Latvia, Aims for US

ArcticStartup

Those of us who live in Finland will be familiar with the more than exaggerated prices associated with taxis, but on the southern side of the Gulf of Finland thrives another kind of taxi culture, one that is so casual that it has a strong demand for taxi applications.

The 10 Worst Industries for Starting a Business

Inc Startups

Note to entrepreneurs: if you're looking for hockey-stick like growth, steer clear of these sectors

Forecasting Models: What You Need to Know

Up and Running

Why do entrepreneurs sometimes resort to the “hockey stick forecast,” especially when they pitch to investors? I first heard the term in the 1980s, at lunch with a venture capitalist friend, when he said he was “tired of all those hockey stick forecasts” he was getting from startups.

How design thinking transformed Airbnb from a failing startup to a billion dollar business

Redeye VC

As everyone knows, venture investors look for companies that show hockey stick graphs, and according to co-founder Joe Gebbia, his company had a horizontal drumstick graph. In 2009, Airbnb was close to going bust. Like so many startups, they had launched but barely anyone noticed.

How Typeform became the world’s most popular online form creator

The Next Web

We asked these companies to tell us the data backed story on how key decisions were made, which growth hacks led to the much loved hockey stick curve, and how this impacted their company.

How MAG created the ‘Good Times Factory’ and reached over 100 million players

The Next Web

We asked these companies to tell us the data backed story on how key decisions were made, which growth hacks led to the much loved hockey stick curve, and how this impacted their company.

Localmind Acquired by Airbnb – Year One Labs has its First Exit

Instigator Blog

Their showing hockey stick curve growth with incredible potential and opportunity going forward. Today, I’m pleased to announce that Localmind has been acquired by Airbnb. See Techcrunch’s story and Airbnb’s blog post for more info.

How Typeform became the world’s most popular online form creator

The Next Web

We asked these companies to tell us the data backed story on how key decisions were made, which growth hacks led to the much loved hockey stick curve, and how this impacted their company.

Launch: The 2-Hour Audio Documentary of a Startup

Software By Rob

There is no champagne-popping, no hockey stick growth, and no overnight success. I’ve just released a 2-hour audio documentary chronicling the story of building and launching my latest startup, Drip. Launch.

Audio 67

How to hustle your way to growth

The Next Web

With the advent and proliferation of “growth hacking”, many products are launching with hopes of leveraging data, A/B tests, and viral loops to manufacture a hockey stick growth curve.

Desirable growth from a startup: AirBnB case study

The Equity Kicker

AirBnB has delivered on the proverbial hockey stick growth that I imagine they had in their pitch deck back in 2010. The chart above shows the number of guests AirBnB has hosted each summer for the last five years. It was on Techcrunch this morning. It’s an amazing chart.

What Makes a Sales Forecast Credible?

Up and Running

So if your numbers are here, going up in a hockey stick—and let’s just say this is your hockey stick—and your marketing expenses go up, and how do I do? So for me, what makes a sales forecast credible? It starts with product market fit.

How Much Traction is Enough for Investors?

Startup Professionals Musings

Traction is evidence that your product or service has started that “hockey- stick” adoption rate which implies a large market, a valid business model, and sustainable growth.

What are the regulatory barriers preventing the emergence of a liquid market for equity in seed stage startups?

Gust

And there are others that people think are teeny little wannabes with a dozen or so employees…that have $25 million in highly profitable revenues with hockey stick growth and zero debt! Parts of the answer are that (a) there are enormous regulatory requirements relating to secondary markets, and (b) there are no analysts tracking private company stocks.

Top Startup Mistake: Unrealistic Forecasts

Up and Running

When I asked the standard “How are you,” he answered: “If I see another hockey stick forecast this week, I’m going to throw something at somebody.”. That was so long ago that I had to ask him to explain the hockey stick metaphor.

The consistency of Amazon’s revenue growth is amazing

The Equity Kicker

As you can see from the chart below Amazon has delivered on the proverbial hockey stick that startups put in their business plans, and they’ve done it at serious scale. Amazon just posted strong Q1 results and investors sent their share price up 11%.

Lean Startup Versus Raising Capital

Instigator Blog

It’s also about proof and hockey stick traction. Lean Startup is about experimentation and learning. It’s about being intellectually honest and methodical in your approach. It’s about going slow before going fast. It’s about moving backward before moving forward. Investing on the other hand is about storytelling and big vision. So when raising money how do you balance this dichotomy?

Lean 200

5 Steps To Maximizing Your Startup Cash Flow Runway

Startup Professionals Musings

Your goal is that magical breakeven point and hockey-stick profit-growth curve. Cash flow is a basic survival metric for every startup. Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall.

Giving up the ghost early

David Cohen

The hockey stick doesn’t emerge quite like you thought it would. There is four times as much seed capital in the venture market this year as there was 1 year ago. Because of this, it’s easier to attract seed funding than it has been in the past. I’ve noticed a disturbing new trend and I think it’s related. Startups are “quitting” when the first year doesn’t go as planned.

5 Sure-fire Ways to Bomb Your Investor Pitch

Up and Running

Present a “hockey-stick” financial growth model without sharing your numbers behind your numbers (a.k.a. If I had a nickel for every pitch I saw where the financial projections grow in the shape of a hockey stick, I could have funded my last startup!

Product Hunt is Everywhere - This is How It Got There

Redeye VC

Kicked off in November 2013, Product Hunt has seen rapid hockey-stick growth. Last year at this time, Product Hunt didn’t exist. Its founder, Ryan Hoover, was the Director of Product at gaming company PlayHaven and an active blogger, attracting a loyal but modest following. He couldn’t have anticipated what was to come. It’s become a known quantity in the media and among influencers.

6 Growth Barriers Most Startups Don’t See Coming

Startup Professionals Musings

Every entrepreneur thinks he can relax a bit after his business model is proven, funding is in place, and revenues are scaling as projected up that hockey-stick curve.

Launch: The 2-Hour Audio Documentary of a Startup

Software By Rob

There is no champagne-popping, no hockey stick growth, and no overnight success. I’ve just released a 2-hour audio documentary chronicling the story of building and launching my latest startup, Drip. Launch.

Audio 36

6 Growth Slowdowns That Can Quickly Lead To Disaster

Startup Professionals Musings

Every entrepreneur thinks he can relax a bit after his business model is proven, funding is in place, and revenues are scaling as projected up that hockey-stick curve.

8 Common Business Plan Mistakes

Up and Running

Hockey stick” shaped growth projections. This article is part of our Business Planning Guide —a curated list of our articles that will help you with the planning process! What are the most common mistakes when writing a business plan ? Here is my list of the ones to make sure you avoid.

Sales Forecasting: A Curated List of Our Best Resources

Up and Running

Here, you’ll learn what not to do when forecasting sales, and how to build a forecast on realistic sales projections—rather than the dreaded “hockey stick” forecast. When it comes to starting and managing a business, forecasting your sales is essential.

10 Common Dilemmas That Derail Many Entrepreneurs

Startup Professionals Musings

If you take investor money, expect a push for hockey-stick growth and a liquidity event, like going public (IPO) or sale (M&A), to get the payback.

Twitter Link Roundup #308 – Terrific Reads for Small Business, Entrepreneurs, Marketers, and Designers!

crowdSPRING Blog

Good insight … Navigating The Make-Or-Break Years As You Create Hockey Stick Growth [link]. For hundreds of years, people have been worried that technology will replace people. Yet at every step, technology has also helped to create jobs.

Twitter Link Roundup #308 – Terrific Reads for Small Business, Entrepreneurs, Marketers, and Designers!

crowdSPRING Blog

Good insight … Navigating The Make-Or-Break Years As You Create Hockey Stick Growth [link]. For hundreds of years, people have been worried that technology will replace people. Yet at every step, technology has also helped to create jobs.

When Employees Misinterpret Managers

Ben's Blog

When I ran Opsware, we had the non-linear quarter problem also known affectionately as the hockey stick. The hockey stick refers to the shape of the revenue graph over the course of a quarter. Our hockey stick was so bad that one quarter, we booked 90% of our new bookings on the last day of the quarter. Naturally, I was determined to straighten out the hockey stick and bring some sanity to the business.

10 Tough Quandaries That Lead Entrepreneurs Astray

Startup Professionals Musings

If you take investor money, expect a push for hockey-stick growth and a liquidity event, like going public (IPO) or sale (M&A), to get the payback.

10 Actions To Make Sure Your New Business Will Scale

Startup Professionals Musings

Organic growth (reinvesting profits only) will not allow you to build the “hockey stick” growth curve desired by premium buyers at exit, or financial analysts positioning you for public stock sale.

How to Pitch to Investors in 10 Minutes and Get Funded

Up and Running

If your financial chart shows “hockey-stick growth,” be sure to explain what happens to cause those inflection points. Image via WOCinTechChat. I know what it’s like to pitch to investors—both angels and venture capitalists.

Investors Measure Entrepreneurs By Cashflow Mileage

Startup Professionals Musings

Your goal is that magical break even point and hockey-stick profit-growth curve. Cashflow is a basic survival metric for every startup. Investors check your burn rate to assess your efficiency, and project your remaining runway before you run out of money and into a brick wall.

Is Your Business Ready For Curves In The Road Ahead?

Startup Professionals Musings

Every entrepreneur thinks he can relax a bit after his business model is proven, funding is in place, and revenues are scaling as projected up that hockey-stick curve.

Silicon Valley (and ProfessorVC) is Lazy

Professor VC

However, a 4-slide demo day pitch deck showing the market (Venn diagram with giant TAM), team (4 pictures with logos of universities and unicorn startups), product (3 screenshots), and traction (hockey stick chart showing 11 days of growth) has gone way too far the other way. I taught a class yesterday afternoon to a group of 25 Italian executives, managers, and entrepreneurs participating in the TVLP Institute of Technology Entrepreneurship and Innovation.

Investors Love To Fund Solutions That Are Scalable

Startup Professionals Musings

Organic growth (reinvesting profits only) will not allow you to build the “hockey stick” growth curve desired by premium buyers at exit, or financial analysts positioning you for public stock sale.

Angel Investment Criteria

SoCal CTO

More likely, you'll be back for more money in less than 2 years, saying what everyone says: "it's taking longer than we thought" Investors won't believe your numbers anyway, so your over-sized hockey stick betrays your naiveté. I’m planning on going to a Tech Coast Angels mixer tomorrow and the topic for me is whether there is angel funding out there for startups that don’t meet classic VC models.

NPV 182

10 Tips For Building The Most Scalable Startup

Startup Professionals Musings

Organic growth (reinvesting profits only) will not allow you to build the “hockey stick” growth curve desired by premium buyers at exit, or financial analysts positioning you for public stock sale.

Bootstrapping Is Much More Fun Than Investors

Startup Professionals Musings

Investors have spread the word that you can’t get “hockey-stick” growth without a large cash infusion.