Startup Professionals Musings

JUNE 5, 2016

VCs tend to demand more control of your spending and strategic decisions, with required board seats and lower valuations. Both Angel and VC investors are looking for solutions that scale easily (product versus service businesses), and both expect revenue growth that can reach the $20M mark by year five.

Angel Investor 120

Angel Investor IRR Valuation Startup 120

Tim Keane

JANUARY 12, 2010

If you look at the spreadsheet, you will see that the “Required Rate of Return” is expressed as an IRR.   Internal Rates of Return naturally compound, so a 50% IRR is 7.59   (If you plug in an IRR of 58.5%   Internal Rates of Return naturally compound, so a 50% IRR is 7.59 times at 5 years and 11.39

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Feld Thoughts

JULY 31, 2013

Today, Zayo has eclipsed $1.1Bin revenue and $600M in EBITDA, leading to an estimated Enterprise Value in the vicinity of $6B. The balance between supply and demand of bandwidth was rapidly improving. Our equity IRR has averaged around 50% since inception. You know that feeling? Our ICG experience gave us different perspectives.

Bandwidth 147

Bandwidth Colorado Startup IRR 147

crowdSPRING Blog

AUGUST 7, 2011

Businesses large and small will continue to struggle as long as demand is soft and business budgets are constrained. The deal made in Washington creates a “super-committee&# which will make recommendations that may include a mix of more budget cuts and additional revenue. Cost of capital may increase. Uncertainty may abate.

Small Business 86

Small Business IRR Government United States 86

abovethecrowd.com

APRIL 20, 2016

A high performing, high-growth SAAS company that may have been worth 10 or more times revenue was suddenly worth 4-7 times revenue. Do you feel the need to raise more capital quickly before the prices erode further and bring down your IRR? The same thing happened to many Internet stocks. LIMITED PARTNERS (LPS).

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Seeing Both Sides

APRIL 10, 2011

million in revenue the year before. . Matrix had a fund in 1998 that yielded an eye-popping 514+% IRR. Demand from these, now larger, economies are having a very positive effect on the US tech market. This powerful source of economic demand didn't exist 15 years ago. . ??. billion market capitalization.

IPO 48

IPO IRR Brazil Government 48

David Teten

NOVEMBER 23, 2020

In light of COVID-19, demand for their safe, contactless technology has boomed. In an article you wrote for Techcrunch in 2019 about Revenue Based Investing you mentioned that “ traditional equity VC is biased structurally against some women and underrepresented founders”. Firm revenues. Why is that?

Venture Capital 60

Venture Capital Partner Technical Review Cofounder 60