ReadWriteStart

JANUARY 13, 2024

In a progressively saturated market, these startups need to reevaluate their strategies and wisely distribute resources to remain competitive and sustainable amidst the demands of investors and well-established competitors.

Down Round 154

Down Round Marketing Artificial Inteligence Startup 154

Lightspeed Venture Partners

SEPTEMBER 16, 2012

The founder wanted to take the offer, but he called his advisor (his business school professor) who told him it was too much dilution for this stage, so he turned it down. The founders clearly believed in the upside of the company and that is why they were willing to take a lower valuation but wanted minimal dilution.

Silicon Valley 167

Silicon Valley Salary Dilution Indiana 167

Startup Professionals Musings

AUGUST 1, 2016

Founder insistence on non-dilute clauses, arms-length relationships, and quick closure without due diligence will short-circuit active interest. Undefined business model or very low gross margins. Naïve expectations on funding terms and process. Dysfunctional or non-functional team members.

Due Diligence 120

Due Diligence Intellectual Property Preferred Stock Seed Stage 120

Reid Hoffman

AUGUST 17, 2021

But also think about it in terms of business model. It’s a massive distribution advantage. One is purely at the level of a business model that Neeva has tried to do. Just a dramatically different model, dramatically different starting point that you can see just leads to a different place.

Cofounder 69

Cofounder Differentiation Search Advertising 69

Reid Hoffman

AUGUST 17, 2021

But also think about it in terms of business model. It’s a massive distribution advantage. One is purely at the level of a business model that Neeva has tried to do. Just a dramatically different model, dramatically different starting point that you can see just leads to a different place.

Cofounder 69

Cofounder Differentiation Search Advertising 69

Duct Tape Marketing

MAY 6, 2013

In recent years others have entered the digital marketplace business and the model, including eBay’s model, has evolved to the point where it represents a significant distribution channel for businesses large and small, B2B and B2C and is no longer limited to physical products. Advantages of digital marketplaces.

Channel 76

Channel Small Business Distribution B2C 76

Lightspeed Venture Partners

OCTOBER 22, 2012

The pre money valuations on the two deals were close enough to be a wash, but the ability to accelerate the business at twice the speed would have been a real differentiator. The founders focused too much on dilution and on Barbara’s clever ideas on a dimension (marketing) that was not critical to the business.

Pre-Money Valuation 101

Pre-Money Valuation Valuation Dilution Differentiation 101

Austin Startup

MARCH 23, 2017

Priced equity financings make sense as they provide clarity around valuation and ownership dilution, while creating alignment between the investors and founders. Given that the rumors of this venture bubble popping are now several years old, it’s become clear that founders can succeed with different business models.

Dilution 54

Dilution Equity Warrant Distribution 54

Up and Running

APRIL 24, 2018

If you’ve never written a business plan before, take a look at these sample medical startup business plans. At first, you need to focus on developing your business model and validating it. Usually, these investors have the resources and the medical expertise to validate your business model.

SBIR 73

SBIR Startup Artificial Inteligence Intellectual Property 73

Startup Professionals Musings

AUGUST 31, 2018

I’m sure you can all think of several examples of businesses that popped up quickly, with great business models, but then faded just as quickly. Totally new and risky products will dilute your focus, and may confuse existing customers. For example, you may have a product, but not a strong distribution channel.

Angel Investor 167

Angel Investor Dilution Software Review Distribution 167

Professor VC

DECEMBER 8, 2015

one company running out of cash and another with cash but searching for a business model). Not surprisingly, the merger was highly dilutive, particularly to Confinity/PayPal shareholders. Luckily, Google was one of the 150 and did ultimately return the fund assuming the LP was smart enough to hold the stock after distribution.

Merger 28

Merger LP IPO Redemption 28

View from Seed

AUGUST 17, 2021

at exit due to dilution. It creates dilution, and investing in these rounds increases your effective post-money. I remember when I first started NextView and I was giving a talk to an audience in Boston about innovative new consumer businesses and internet business models. in a mid stage round at a $100M post.

IRR 205

IRR Dilution Founder Portfolio 205

Professor VC

JUNE 20, 2011

I took a look back at our original financial model we presented to VCs in 2004. The business model (OEM through broadband and home security companies for mass distribution) if not specific product functionality has remained largely the same. So what does this all mean.

San Jose 28

San Jose Angel Investor Term Sheet Venture Capital 28

View from Seed

AUGUST 17, 2021

at exit due to dilution. It creates dilution, and investing in these rounds increases your effective post-money. I remember when I first started NextView and I was giving a talk to an audience in Boston about innovative new consumer businesses and internet business models. in a mid stage round at a $100M post.

IRR 156

IRR Dilution Founder Portfolio 156

View from Seed

AUGUST 17, 2021

at exit due to dilution. It creates dilution, and investing in these rounds increases your effective post-money. I remember when I first started NextView and I was giving a talk to an audience in Boston about innovative new consumer businesses and internet business models. in a mid stage round at a $100M post.

IRR 136

IRR Dilution Founder Portfolio 136

Occam's Razor

MAY 2, 2017

The very best analysts distill, rather than dilute. We are a better humanity thanks to the work of journalists, I hope the industry finds a sustainable business model. Continuing the obsession with deeper relationships… TBT is a newspaper that’s updated 80k times a day, how does the Recency distribution look like?

Metrics 143

Metrics Acquisition eCommerce Analytics 143

maplebutter.com

JANUARY 8, 2013

I’m not afraid to pick up the phone, cold call someone, use LinkedIn to find someone who’s recently left a company that might be considered competitive and ask them for advise around the business model and marketplace. Co-founders are the highest form of dilution to a business. Now our biz model is lighter, more flexible.

Technical Review 44

Technical Review Startup Cofounder Software Review 44

Up and Running

DECEMBER 9, 2014

You have to focus on for the nuts and bolts, what is the business model, how are we going to make money. Get as many leads as possible, bring in more money, prove that you’ve got a good model and then you can go out and raise money or get a loan and more easily actually get that money. Bates: Fantastic.

Small Business 95

Small Business Finance Forecast Metrics 95