Steve Blank

MARCH 31, 2014

Companies horde cash and squeeze the most revenue and margin from the money they use. Metrics like Return on Net Assets, Return on Capital and Internal Rate of Return are the guiding stars of the board and CEO. The stock market clearly values companies that can deliver disruptive innovation.

Private Equity 330

Private Equity Metrics China Intellectual Property 330

Berkonomics

AUGUST 3, 2023

Some businesses require very little capital and the founder can self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). And even with the significant cost of credit card debt, many entrepreneurs aggressively use existing cards to finance a startup.

Private Equity 118

Private Equity Valuation Cap Table Accredited Investor 118

Up and Running

JUNE 17, 2019

It breaks down the revenue your business generated and the expenses incurred. It’s a good indicator of company stability and liquidity, which are both important factors in determining your business’s ability to sustain itself without outside financing. Liabilities: “ What do we owe?”

Balance Sheet 120

Balance Sheet Small Business Finance .Net 120

Steve Blank

JUNE 23, 2016

Here are four reasons: First, companies bought into the false premise that they exist to maximize shareholder value – which said “keep the stock price high.” As a consequence, corporations used metrics like return on net assets (RONA), return on capital deployed, and internal rate of return (IRR) to measure efficiency.

Architecture 227

Architecture IRR Balance Sheet Liquidity Event 227

Up and Running

AUGUST 29, 2014

Many people who want to start a business believe they will be able to get grants or loans to help them finance the venture. CPA’s also can represent clients in case of an Internal Revenue Service (IRS) audit. If not, the business idea is not feasible. Often this is not true. How can a business owner assess their company culture?

Small Business 87

Small Business CPA Government North America 87

The Startup Magazine

APRIL 24, 2020

While it might sound like something from a stock broker’s library, SDE is actually a pretty simple concept. You basically take the overall revenue from your business (i.e. gross revenue) and then subtract your business’s operating expenses and cost of goods sold from that number. What you’re left with is your business’s SDE.

eCommerce 91

eCommerce Valuation B2C Revenue 91

YoungUpstarts

APRIL 2, 2013

Economic success is never guaranteed, but when you’re equipped with a strong understanding of finances, there is a better chance for your business to succeed. A pro forma statement is a method of calculating financial results of a business over a three- to five-year period that projects revenue and estimates future expenses and profit.

Small Business 149

Small Business Limited Liability Company Balance Sheet Finance 149

Up and Running

JULY 20, 2015

Most simply, cash flow statements very quickly tell the story of how much revenue a company has coming in (inflows), and how much it has going out (outflows). Your organization’s operating activities include everything that relates to how you generate revenue. Financing activities. Operating activities.

Dividend 60

Dividend Balance Sheet .Net Merger 60

Berkonomics

JUNE 8, 2017

Some businesses require very little capital and the founder can self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). And even with the significant cost of credit card debt, many entrepreneurs aggressively use existing cards to finance a startup.

Private Equity 106

Private Equity Valuation Cap Table Accredited Investor 106

Up and Running

FEBRUARY 12, 2014

The business income statement, also referred to as a profit and loss (P&L) statement, is a useful tool for providing an overview of how your business is doing over time and breaks down the revenue generated by your business and the expenses incurred. whether you should focus on more profitable product lines or curb unnecessary expenses).

Balance Sheet 136

Balance Sheet Small Business .Net Finance 136

Up and Running

SEPTEMBER 23, 2013

Previously, businesses seeking to raise capital were required to either pitch their plans exclusively to so-called accredited investors—individuals with at least $1 million in net worth (excluding their primary residence) or $200,000 in annual income—or offer a regulated security (such as stocks or corporate bonds).

Securities and Exchange Commission 77

Securities and Exchange Commission Accredited Investor United States .Net 77

www.mint.com

MARCH 9, 2010

Go there now » Sign up or log in to mint.com Updates Drop Your Debt to Win 2 comments How To The Top 5 Customer Complaint Letters — And What You Can Learn From Them 5 comments Investing In Graphics: What Is a Stock? What is your net outflow per month? These days revenue is the best source of capital. Live your life.

Software Review 68

Software Review Startup Post-Money Valuation Technical Review 68

Feld Thoughts

JULY 13, 2011

And more and more entrepreneurs who I’m exposed to who are presenting their companies for financing have a complete lack of understanding of their financials – both current and projected. If you understand how to read the financial statements, then you can start to solve for the GAAP challenges.

Balance Sheet 147

Balance Sheet Stock Options .Net Equity 147

Agile VC

FEBRUARY 2, 2012

I’ll focus for now on the business itself, there’s plenty of other info on the web if you care to understand the equity ownership or financing history of Facebook and frankly this has been fairly well known for awhile. ==. Financial Snapshot : 2011 Revenue: $3.71 2011 YoY Revenue Growth: 88%. 2011 Net Income: $1.00

IPO 100

IPO South Korea Venezuela Revenue 100

BeyondVC

AUGUST 9, 2006

Ultimately what will give you the best chance for success is focusing on the things that you can control – building a real business with a real economic model that can generate cash from internal operations vs. through external financing. The state of the stock market for an IPO is as uncertain as it could be. The Quiet Period 3.

Technical Review 60

Technical Review IPO SEC Stock 60

The Startup Magazine

MARCH 1, 2022

According to SEMrush, there are around 500 million blogs on the net today. Not every one of these blogs is receiving large amounts of traffic or generating revenue. Would personal finance be a good blogging niche? Finance in general is always a good subject for a blog. Day trading and stocks. Source: Pexels.

Finance 137

Finance Reputation Social Media Audience 137

Both Sides of the Table

MAY 24, 2021

It has historically been the case that VCs would rather fund the promise of 100x in a company with almost no revenue than the reality of a company growing at 50% but doing $20+ million in sales. This “overnight success” was first financed in 2004. This is true in consumer but it’s also true in enterprise software.

Venture Capital 363

Venture Capital LP Valuation Later Stage 363

Berkonomics

JANUARY 20, 2010

Some businesses require very little capital and the founder is able to self-finance the enterprise and retain 100% of its ownership and control from ignition through liquidity event (startup through sale). And even with the significant cost of credit card debt, many entrepreneurs aggressively use existing cards to finance a startup.

Private Equity 69

Private Equity Valuation Cap Table Accredited Investor 69

Eric Friedman

AUGUST 18, 2021

But then again, I’m not a gold bug, I don’t trade stocks, I don’t go to casinos. They talk about] businesses which are not contractually recurring revenue in the parlance of recurring revenue run rates. This doesn’t concern any specific industry, but that kind of behavioral finance. That scares me.

Silicon Valley 88

Silicon Valley Venture Capital Cofounder Africa 88

Austin Startup

FEBRUARY 1, 2018

Or, put another way, great product managers are often the “weird kids” in the MBA program who, while sitting in a finance class, wonder if they should have enrolled in a design school or coding bootcamp instead. (I I know, yes, it seems obtuse and unrealistic to pair “fiercely ambitious” with “deeply empathetic.”

Management 85

Management Product Technical Review Software Review 85

Reid Hoffman

MARCH 19, 2019

And from a financial perspective, any investor would be better off buying stock in Amazon than buying and share of a corner bookshop; if you invested $100 in Amazon’s 1997 initial public offering (IPO), those shares would have been worth about $120,000 in 2018. Publishers and authors (like O’Reilly and us) also benefit from Amazon’s success.

Cofounder 28

Cofounder Business Model IPO Non-Compete 28

Steve Blank

FEBRUARY 26, 2020

There are two reasons to raise money: You have a killer idea that is only partially validated, that you think can get to $50M+ of revenue in 5 years with 80%+ gross margins (if margins are lower, you need a lot more revenue)and you need money to get to product-market fit, or. Not all startups need outside investment to grow.

Cofounder 433

Cofounder Seed Stage Valuation Metrics 433

abovethecrowd.com

FEBRUARY 24, 2015

Historically, different financial institutions specialized in different stages, because the assessment of risk and opportunity was considered unique at each stage — for example, a seed investor was unlikely to do late-stage financing, and vice versa. You must subtract it from your top-line revenue.

IPO 40

IPO Liquidation Preference Valuation Technical Review 40

blog.simeonov.com

FEBRUARY 22, 2010

If such individuals do not form a business entity to conduct business in the Field of Interest, but instead sell or assign their developments and technology in the Field of Interest to an unrelated party, I shall be entitled to [ this will vary based on the type of founder ] of the net consideration received by reason of such sale or assignment.

Founder 44

Founder Vesting Agile Startup 44

The Startup Magazine

MAY 2, 2019

In this article, we are going to delve into what exactly the earnings per share formula is, why it exists, as well as how it is used by investors and traders in the stock market today. Performance Measure Over Time. Later on in the article, we will have a look at the different types of earnings per share evaluations that exist.

.Net 95

.Net Stock Dividend Revenue 95

David Teten

DECEMBER 3, 2019

Some notable metrics are revenue growth rates, free cashflow, leverage ratios, historical financing amounts, returns on marketing spend, customer acquisition costs, lifetime value of customers, customer churn rates, and team social scores. Lighter Capital, a Revenue Based Investing VC, offers a Cost of Capital Calculator.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

abovethecrowd.com

APRIL 20, 2016

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. A high performing, high-growth SAAS company that may have been worth 10 or more times revenue was suddenly worth 4-7 times revenue. The same thing happened to many Internet stocks. By January of 2016, that number had ballooned to 229.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Up and Running

JUNE 19, 2015

They have resources as a person and so they use those resources in their business so they start to mix their personal finance and their business finance. It’s just raise them basically so that they can stand on their own and then watch them flourish. That’s my dream. Great guest to have around, really excited.

Cloud 60

Cloud Small Business Silicon Valley Media 60

maplebutter.com

JANUARY 8, 2013

I would focus on one product and set a goal to generate $1M in yearly revenue from it. Do that – nothing else but one product / company / focus and get to $1M in sales with atleast $15% net profit. Outsourcing is something a big company, with a known customer / problem (that has revenue & traction) does to save cost.

Technical Review 44

Technical Review Startup Cofounder Software Review 44

Entrepreneurs-Journey.com by Yaro Starak

APRIL 15, 2011

I have worked in the finance field since my graduation from college and started my own investment advisory firm five years ago. I have always had a passion for investing from the first time that I heard about a stock and a mutual fund. I wrote about some of my personal stock purchases and my stock sales.

Affiliate 78

Affiliate Stock Networking Finance 78

A Smart Bear: Startups and Marketing for Geeks

JUNE 27, 2011

Or what if we have another stock market collapse or if they shoot down a plane over California? ME: Of course getting tied up with that might distract you from other growth opportunities, and sometimes buyers don’t like that you’re dependent on another company for revenue. “Net net,&# some people say.

Sales 235

Sales Term Sheet Stock Deal Structure 235

www.currentlyobsessed.com

MAY 28, 2010

The net effect was more money raised, higher valuation and the same percentage of equity sold. i never thought about it like investing in stocks before. I know this sounds crazy, but it’s not. That’s a nice way of putting it. You can read more about this on Josh Kopelman’s post. You alluded to this in your post.

Valuation 42

Valuation Channel Pre-Money Valuation Term Sheet 42

Start Up Blog

APRIL 29, 2013

While non bank business financing is currently miniscule by comparison, the numbers from kickstarter.com tell us something is brewing. The art of activating idle assets to bring in new revenue is occurring for both the service provider and the service creator. What if a retailer had no stock in the store?

Uruguay 123

Uruguay Technical Review Vertical Las Vegas 123

Up and Running

OCTOBER 31, 2017

Or simply not having to worry about your finances in general? Buffett made his first stock purchase when he was just 11 years old. He has read many books on investing, personal finance, and business. For example, taking out a mortgage to pay for a home that you’d rent out for monthly recurring revenue. Jeff Bezos.

Entrepreneur 121

Entrepreneur Affiliate Finance United States 121

abovethecrowd.com

JUNE 2, 2021

Would that help retention and NPS (Net Promote Score)? He then argues Squarespace, as a result of choosing a Direct Listing, ended up with a valuation multiple of 6.7X, which he says compares unfavorably to its public peer $WIX (which has an 8X forward revenue multiple). Their proceeds are delivered net of the banker fee of 5-7%!

IPO 82

IPO Customer Matching Silicon Valley 82

Agile VC

NOVEMBER 9, 2015

There’s been ample coverage in the popular press of course highlighting everything from the company’s revenue growth, lack of profitability, and the well-publicized fact that founder/CEO Jack Dorsey is also CEO of Twitter so would theoretically be running two public companies simultaneously. Revenue Composition. Starbucks Deal.

IPO 165

IPO .Net Revenue Acquisition 165

Both Sides of the Table

SEPTEMBER 17, 2017

Our own government in the US regularly looks for cases of racketeering, crack down on the drug trade, try to prevent illegal sex trafficking, looks out for insider trading on stocks, tries to stop child pornography and so forth. I understand why people are turned off by regulation and of course undue regulation can stifle business.

Government 280

Government Distribution Stock United States 280