Both Sides of the Table

MARCH 19, 2013

The more your product is integrated with other systems the lower your churn rate will be. But Salesforce knew how important this process is to their success so they actively encouraged the development of an ecosystem so much so that they even invested in these third-parties to make sure they were well-enough financed to survive.

Technical Review 403

Technical Review Software Review Startup API 403

Both Sides of the Table

MAY 9, 2018

I also had to negotiate a follow-on round at a portfolio company because new investors were trying to force a bit option-pool top-up that would dilute the founders and existing shareholders and existing investors were fighting over prorata rights. especially about churn rates and your high CACs last quarter relative to the previous year.

Software Review 381

Software Review Churn Rate Due Diligence New York 381

Seeing Both Sides

OCTOBER 24, 2015

Since I see a few common patterns of mistakes, I thought I'd add to the LTV literature and point out the top three reasons many investors roll their eyes when they see entrepreneurs present inflated, poorly constructed LTVs: 1) Your churn rate is understated. A monthly churn rate of 1%?

Churn Rate 20

Churn Rate Early Stage Revenue Metrics 20

maplebutter.com

JANUARY 8, 2013

If you believe in it – then finance whatever you can yourself. 2) Co-Founders are the largest form of dilution (if you’re raising) 3) Everything around LeanStartup / Customer Development 4) Understand the micro economics of your business early. Co-founders are the highest form of dilution to a business. Other sources of capital.

Technical Review 44

Technical Review Startup Cofounder Software Review 44