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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

We’re going to start aggressively spend money on marketing our product. but that’s our firm’s money on your balance sheet. Gross margin (GM) is the amount of profit you make per sale of your product or service taking into account your total costs of selling that product or service.

Burn Rate 383
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NextView’s Greatest Hits

View from Seed

At NextView Ventures we have written many pieces about venture capital — how to raise it, build your business, engage with investors, iterate your product, navigate expanding industries, etc. What Are Your Valuation Expectations? Rethinking the Standard Fundraising Deck “I’d make it crystal clear what your product actually does.

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Shark Tank Season 4 week 4 breakdown

Lightspeed Venture Partners

The first company started as a BBQ catering business, and eventually focused in on their most popular product, a dip made of blended up chicken plus various sauces. The company has done $400k in sales in less than two years and had an early test deal with a local supermarket chain that they were massively overperforming on.

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Why Startups Should Raise Money at the Top End of Normal

Both Sides of the Table

Then you can do a little bit of research and find out that very few companies ever achieve this valuation in a trade sale so you’re clearly gunning for an IPO. You’re unlikely to want to make this sort of investment with the product or the market not yet validated. million post-money valuation with no revenue.

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Want to Know How VC’s Calculate Valuation Differently from Founders?

Both Sides of the Table

How VC’s Calculate Valuation : We walked through a standard deal where you raise $1 million at a $3 million pre-money valuation leading to a $4 million post money valuation. Industry standard post your first round of funding will be 15-20%. Those options need to come from somewhere.

Valuation 405
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A Guide to Using Authority & Social Proof in Fund Raising

Both Sides of the Table

Because I built two SaaS companies and sold my second one to Salesforce.com (where I then took on the role of VP Products) I am often asked to look at SaaS and/or sales-oriented deals for others. Obviously I’m assuming that you have a great product and/or strategy.

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Notion the all in one workplace scratchpad

VC Cafe

I love trying new products. I enjoy the process of trying new products like a kid opening a birthday present. Perhaps it’s the product manager in me that gets a kick out of figuring out how do they do onboarding? On the other hand, it’s really hard for a product to stand out in the crowd.

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