Startup Professionals Musings

MARCH 31, 2023

Selecting the right sales channels is one of the first strategic decisions that every startup faces. This area of demand analysis is also called the “sales funnel” or “sales pipeline,” used for tracking the overall process from initial prospect engagement to close. Don’t just use these in isolation. Lead management performance.

Demand 256

Demand Metrics NPV Net Present Value 256

Startup Professionals Musings

JULY 3, 2020

Selecting the right sales channels is one of the first strategic decisions that every startup faces. This area of demand analysis is also called the “sales funnel” or “sales pipeline,” used for tracking the overall process from initial prospect engagement to close. Don’t just use these in isolation. Lead management performance.

NPV 436

NPV Net Present Value Conversion Ratio Marketing 436

Startup Professionals Musings

JULY 9, 2018

Selecting the right sales channels is one of the first strategic decisions that every startup faces. This area of demand analysis is also called the “sales funnel” or “sales pipeline,” used for tracking the overall process from initial prospect engagement to close. Don’t just use these in isolation. Lead management performance.

Demand 144

Demand Metrics NPV Net Present Value 144

Startup Professionals Musings

OCTOBER 21, 2015

Selecting the right sales channels is one of the first strategic decisions that every startup faces. This area of demand analysis is also called the “sales funnel” or “sales pipeline,” used for tracking the overall process from initial prospect engagement to close. Don’t just use these in isolation. Lead management performance.

Metrics 120

Metrics NPV Net Present Value Conversion Ratio 120

Startup Professionals Musings

NOVEMBER 26, 2012

Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M. Early customers and contracts in progress add value.

Valuation 270

Valuation Pre-Money Valuation NPV Intellectual Property 270

SoCal CTO

MAY 19, 2010

The example he uses is: THE RAISE Investment $500,000 Pre Money $600,000 Post Money $1,100,000 OWNERSHIP Founders 55% Investors 45% EXIT Sale Price $5,000,000 Time 5 years INVESTOR RATIOS ROI 355% Multiple 4.55x IRR 35% NPV @ 10% $828,000 Admittedly that valuation and the resulting ownership causes me to wonder, but the most interesting aspect is that (..)

Hockey Stick 205

Hockey Stick NPV IRR Valuation 205

Startup Professionals Musings

SEPTEMBER 30, 2011

Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M. Early customers and contracts in progress add value.

Pre-Money Valuation 246

Pre-Money Valuation Valuation NPV Intellectual Property 246