Both Sides of the Table

SEPTEMBER 15, 2022

IRRs work really well in a 12-year bull market but VCs have to make money in good markets and bad. It’s just math. No blog post about how Tiger is crushing everybody because it’s deploying all its capital in 1-year while “suckers” are investing over 3-years can change this reality.

Technical Review 416

Technical Review Pre-Money Valuation San Francisco Valuation 416

David Teten

JANUARY 19, 2021

This causes the cost of capital for Flexible VC, often calculated through IRR (similar to an interest rate), can be higher than that of venture debt or traditional RBI. 20-30% is a common target IRR for investors. Flexible VC offers you this. If a company exceeds projected revenues, the effective rate increases.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Both Sides of the Table

OCTOBER 17, 2019

An example was that while we were in the seed round at Ring and followed in the A, B, C and D … we were also able to lean into the E round when Jamie really wanted to scale up his funding and the final check was still > 420% IRR! Defensible IP becomes insanely valuable?—?particularly Over the past 2.5

IP 223

IP Intellectual Property IRR Cofounder 223

Tim Keane

JANUARY 12, 2010

If you look at the spreadsheet, you will see that the “Required Rate of Return” is expressed as an IRR.   Internal Rates of Return naturally compound, so a 50% IRR is 7.59   (If you plug in an IRR of 58.5%   Internal Rates of Return naturally compound, so a 50% IRR is 7.59 times at 5 years and 11.39

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Feld Thoughts

JULY 31, 2013

Instead, we sought to provide raw fiber, wavelengths, ethernet, IP, and technical space to those entities that needed a whole lot of bandwidth. Our equity IRR has averaged around 50% since inception. Third, we developed a thesis around “Bandwidth Infrastructure”, a term we coined. We raised $2.7B

Bandwidth 147

Bandwidth Colorado Startup IRR 147