Startup Professionals Musings

SEPTEMBER 6, 2010

Once you have a potential investor excited about your team, your product, and your company, the investor will inevitably ask “What is your company’s valuation?” This time I’ll use a hypothetical health-care web site company named NewCo as an example to illustrate the points. Assign real value to intellectual property.

Valuation 234

Valuation Pre-Money Valuation NPV Startup 234

Gust

NOVEMBER 18, 2012

Once you have a potential investor excited about your team, your product, and your company, the investor will inevitably ask “What is your company’s valuation?” This time I’ll use a hypothetical health-care web site company named NewCo as an example to illustrate the points. Assign real value to intellectual property.

Valuation 187

Valuation Pre-Money Valuation NPV Intellectual Property 187

Startup Professionals Musings

MARCH 25, 2023

Should they focus on increasing revenues and profitability, or entice more and more users with “free” services, to increase their valuation. Unfortunately, the Internet and heavily funded startups have nurtured a customer expectation of free web services and free smartphone apps. Most are still confused about the right priority.

Valuation 235

Valuation Revenue Viral Retention 235

Version One Ventures

DECEMBER 14, 2021

Round sizes increased significantly across all stages, as did valuations. Start-up funding hit an all-time high as did fundraising for new VC funds (coincidentally, we also raised two new funds for a total of $100m in fresh capital ). And we’re excited that we will be investing aggressively against all four!

Technical Review 87

Technical Review North America Portfolio IPO 87

The Next Web

SEPTEMBER 16, 2012

It’s crazy how much web traffic is being served to mobile phones now. It’s changing the landscape of web development, design, apps, business, and everything in between. You can’t ignore mobile, and yet most of the web isn’t optimized. I’m excited to see the web move towards responsive design!

API 157

API Social Media Mobile Valuation 157

Startup Professionals Musings

OCTOBER 17, 2022

Mobile and web software apps may cost even less. Super angels sometimes drive up valuations. Perhaps because of their focus on building a large portfolio, or their competitiveness, these angels sometimes accept valuations that cause later friction while moving to VCs, or even other angel groups.

Angel Investor 342

Angel Investor Venture Capital Silicon Valley Portfolio 342

VC Cafe

APRIL 4, 2024

The MAD 2024 landscape A final example, is this list of the 50 most popular consumer AI web products , recently published by A16Z. Despite being less than 2 years old, Mistral is now looking to raise funding at a $2 billion valuation in December 2023. How can startups even compete against big tech, scale ups and other startups?

Generative AI 78

Generative AI Artificial Inteligence Technical Review ChatGPT 78

Start Up Blog

DECEMBER 30, 2013

Anonymity is the new black: You may remember in the early commercial web era – post 1993, we all had alias names and emails before we felt comfortable enough to convert to our actual human self on line. As privacy gets eroded through government activity we can expect a lot more anonymous forums to emerge as powerful web platforms.

Technical Review 100

Technical Review Valuation Software Review Social Media 100

crowdSPRING Blog

NOVEMBER 21, 2013

These posts and videos are about logo design , web design , startups, entrepreneurship, small business, leadership, social media, marketing, and more! Demystifying 409A Valuations - crowdspring.co/18IYhky. … Dropbox Could Be A Bargain At An $8 Billion Valuation | TechCrunch - crowdspring.co/1gZjkaE. Complete nonsense?

Social Media 96

Social Media Small Business Design Media 96

Startup Professionals Musings

JUNE 21, 2020

Should they focus on increasing revenues and profitability, or entice more and more users with “free” services, to increase their valuation. Unfortunately, the Internet and heavily funded startups have nurtured a customer expectation of free web services and free smartphone apps. Most are still confused about the right priority.

Revenue 434

Revenue Valuation Viral Retention 434

View from Seed

APRIL 5, 2016

Rachael is enrolled at the Startup Institute , an eight-week program that teaches its pupils the nuances of web development, web design, technical marketing, or sales and account management. She is a student on the web development track—and based on her background, that might seem a little hard to believe.

Founder 120

Founder Web Development Web Community 120

Both Sides of the Table

JUNE 22, 2011

I spoke about how Amazon Web Services deserves far more credit for the last 5 years of innovation than it gets credit for and how I believe they spawned the micro-VC category. million pre-money valuation is now raising $1 million at a $12 million valuation the next investor has nowhere to go but up (or sit out the investment).

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

Up and Running

SEPTEMBER 19, 2017

That’s because obtaining a pre-money valuation for a concept level technology company in excess of $1 million is difficult, particularly for a startup founder without a proven track record. By contrast, obtaining a pre-money valuation of $5 million for a business with a new viable product and even very minimal sales is somewhat reasonable.

Private Equity 94

Private Equity Pre-Money Valuation Equity Startup 94

Startup Professionals Musings

FEBRUARY 21, 2012

For example, a web-based startup should be able to operate for a year if they raise $500,000 from the founders or angels. That will position the startup to raise a venture round at a favorable valuation. Be humble and offer to clean all the offices, if you can use one for free.

Burn Rate 232

Burn Rate Startup Salary Equity 232

YoungUpstarts

JUNE 29, 2020

estimates in their recent report that medical products will have a very high global market valuation, crossing 30 billion US dollars by 2026. Web developers and IT companies can offer e-learning tools to supply the digital needs that private organizations and governments immensely need. Assistive Devices : Global Market Insights, Inc.

Demand 173

Demand Product Artificial Inteligence Software Review 173

YoungUpstarts

OCTOBER 28, 2020

The only way to get an accurate value estimation is to hire a business broker to perform a business valuation. Whether you’ve gotten an official valuation or not, here’s how you can increase the value of your ecommerce business. This detailed information will be important to potential buyers. Are you selling your business?

eCommerce 264

eCommerce Database Social Media Valuation 264

YoungUpstarts

JUNE 26, 2020

To do that you have to show how your market is big enough (a multi-billion dollar market) to support that kind of valuation. Going all the way back to Yahoo or Microsoft, the initial products (a directory for a nascent tech called the World Wide Web, and Microsoft BASIC,) didn’t look like billion dollar products at all. I was wrong.

Finance 205

Finance Silicon Valley Valuation Startup 205

SoCal CTO

JANUARY 18, 2011

During all this time, valuation pitched to the investors was in the $1M – $3M range. When finally, I sat down and started talking, they basically tallied up the hours I spent and gave a choice to get equity at current $3 mil valuation or get full cash for my time or blend of both cash/equity.

CTO 167

CTO CTO Hire Equity Vesting 167

VC Cafe

JANUARY 27, 2021

Similarly, Grapevine strives to eliminate scheduling issues and cheekily open its landing web page with the sentence “Schedule fewer Zoom meetings.” billion dollar valuation and has raised 170 million dollars in total merely eight months after its launch — making the British company arguably the fastest-growing startup in Europe.

Vertical 148

Vertical Video Technical Review Europe 148

Haystack

DECEMBER 29, 2018

Also during this time, the underlying metrics in that business can change positively, potentially trapping companies to accept the initially-agreed upon valuation. by a mile, continued to soar in volume and valuation. Yet, we as a planet are beginning to understand just how much of the web is not true.

Technical Review 165

Technical Review Venture Capital Russia China 165

Startup Professionals Musings

JANUARY 28, 2011

For example, a web-based startup should be able to operate for a year if they raise $500,000 from the founders or angels. That will position the startup to raise a venture round at a favorable valuation. Be humble and offer to clean all the offices, if you can use one for free.

Burn Rate 231

Burn Rate Startup Salary Equity 231

SoCal CTO

JANUARY 18, 2011

During all this time, valuation pitched to the investors was in the $1M – $3M range. When finally, I sat down and started talking, they basically tallied up the hours I spent and gave a choice to get equity at current $3 mil valuation or get full cash for my time or blend of both cash/equity.

CTO 150

CTO CTO Hire Equity Vesting 150

Startup Professionals Musings

JANUARY 19, 2020

Mobile and web software apps may cost even less. Super angels sometimes drive up valuations. Perhaps because of their focus on building a large portfolio, or their competitiveness, these angels sometimes accept valuations that cause later friction while moving to VCs, or even other angel groups.

Angel Investor 314

Angel Investor Venture Capital Silicon Valley Startup 314

The Next Web

MARCH 26, 2015

Setting a valuation for an early-stage startup looking to raise money is tough. To help, I asked eight founders from YEC the following: What is one thing I should be thinking about as I come up with a valuation… This story continues at The Next Web. For starters, do you know where you stand in relation to other companies?

Valuation 60

Valuation Early Stage Startup Video 60

crowdSPRING Blog

AUGUST 22, 2014

These posts and videos are about logo design , web design , startups, entrepreneurship, small business, leadership, social media, marketing, and more! Mobile and Web UI/UX Tips to Retain Customers | SpyreStudios - crowdspring.co/1uNIDDB. Mobile and Web UI/UX Tips to Retain Customers | SpyreStudios - crowdspring.co/1uNIDDB.

Social Media 92

Social Media Small Business Design Media 92

Startup Professionals Musings

NOVEMBER 4, 2011

In today’s world, if you don’t have a web site up and running, you will not be perceived as a real company. Investors routinely go to candidate web sites to get a feel for the tone and scope of the company, as well as its maturity and offerings. Get your Internet domain name and website. Finalize your financial model.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

Steve Blank

MARCH 12, 2014

For the second startup, we chose a year-old web/mobile startup whose market is college bound teens, with a founder who had skipped the initial customer validation process. For their first startup, we chose a 3-year old funded company that was working to refine its customer segment and channel for its physical product.

Lean 334

Lean Customer Development Startup Silicon Valley 334

Steve Blank

MARCH 31, 2014

Ask Sony about Samsung, ask any retailer about Amazon, any car company about Tesla, and any newspaper company about the web. Look at the valuations of companies like Tesla, Illumina, and Twitter. The companies that can show “startup-like” growth rates of 50% plus per year will get stratospheric market valuations.

Private Equity 325

Private Equity Metrics China Intellectual Property 325

Hearpreneur

AUGUST 20, 2023

And, over-fundraising can trigger a domino effect of complications, from cap-table issues to inflated valuations, which can ruin future fundraising. Specifically when fundraising, it isn't just about gathering a war chest – it's about finding the right relationships with the right investors who offer more than just capital.

Entrepreneur 81

Entrepreneur Cap Table Dividend Cofounder 81

Feld Thoughts

JANUARY 7, 2015

When I saw the proposal, I immediately thought of the web consulting rollups of 1999. Do you remember US Web, iXL, Scient, and Viant? Anyone remember the web hosting rollup? Companies were being bought (and valued) at 10x forward revenue only to be valued at between 0.5x revenue several years later. I’d argue the 0.5x

Stock Options 70

Stock Options Cofounder Revenue Hosting 70

Gust

DECEMBER 6, 2011

An experienced software engineer, for example, can develop a new mobile app with his or her own resources and market the product on the web with very little capital. Milestones are accomplishments that demonstrate the viability of the business; hence, they increase the valuation of the company. What might these milestones be?

Angel Investor 179

Angel Investor Venture Capital Valuation Software Engineering 179

Steve Blank

SEPTEMBER 21, 2012

While statistics are weak on startup success rates, the worst one I’ve seen suggests that 2 in 1000 venture backed startups will ever achieve $100-million or more in valuation. The “it” is a physical or web product they’ve often been locked-down, pounding away at, for many weeks. . ——————-.

Startup 332

Startup Cofounder Customer Development Viral 332

Both Sides of the Table

APRIL 15, 2010

Bill Gross is the man responsible for the overwhelming amount of monetization on the web. billion valuation. They only recently raised $30 million at around a $300 million valuation and THAT raised eyebrows. The question will be “at what price?&# And for investors, “at what valuation did they get in?&#. $10

Venture Capital 271

Venture Capital Affiliate Valuation San Francisco 271

Agile VC

MAY 26, 2011

The market size for online advertising, e-commerce, and web premium services are 1/10th to 1/3rd the size they are today. It’ll be nearly two years before the concept of “Web 2.0″ ″ is popularized by Tim O’Reilly (the first Web 2.0 It was a pretty good valuation for the time. It was a $4.7M

Term Sheet 178

Term Sheet Silicon Valley Technical Review Social Network 178

crowdSPRING Blog

FEBRUARY 7, 2013

These posts and videos are about logo design , web design , startups, entrepreneurship, small business, leadership, social media, marketing, and more! Valuations in the Series A and Series B Market are Booming – [link]. Answer to What are the best resources for learning bleeding-edge web, UI and UX design?

Social Media 106

Social Media Small Business Technical Review Design 106

The Equity Kicker

AUGUST 30, 2012

It’s good to see that some web companies are doing well and it’s not all bad news out there. In my Kernel column last week I wrote that the problems at Facebook, Groupon, and Zynga are real and will have a knock on effect on valuations at smaller companies, but don’t amount to a systemic crisis. LinkedIn is another good performer.

Web 94

Web Valuation Revenue Startup 94

VC Cafe

JANUARY 24, 2021

It’s enough to see the rapid adoption of new social platforms from Signal in messaging to Clubhouse’s $1 billion valuation in less than a year. In 2021, optimism on investing in social media has returned. Read A16Z’s social strikes back series to get a feel of just how much movement is in this space.

Technical Review 207

Technical Review Audio Forecast Social Media 207