VC Cafe

JANUARY 2, 2023

Sector funding distribution according to Greenfield Partners. Down rounds, especially for growth stage companies, and bridge rounds galore. We started to see down rounds taking place especially in growth stage. Israeli public tech companies saw market cap decline of 65% in 2022. ” Fred Wilson.

Valuation 158

Valuation Down Round Israel Venture Capital 158

Growthink Blog

MAY 23, 2011

At the end of the period, all profits and proceeds are distributed to the various partners on a pre-determined split. Venture capital funds are usually 7 - 10 year partnerships whereby the general partners - the “VC” - manage the capital of the limited partners, usually institutions (endowments, pension funds, etc.).

Angel Investor 112

Angel Investor Venture Capital Sweat Equity Cram Down 112

Feld Thoughts

APRIL 21, 2016

Also, they have a strong belief that any sign of weakness (such as a down round) will have a catastrophic impact on their culture, hiring process, and ability to retain employees. Their own ego is also a factor – will a down round signal weakness? However, the DPI is the interesting number from a real perspective.

Marketing 70

Marketing Down Round Startup IRR 70

This is going to be BIG.

MARCH 3, 2019

It doesn’t take into consideration options, down rounds, or recaps. It’s just a model of the share price of a company going up and to the right smoothly until it exits for $300mm, and the outcomes for the shares purchased in each round of financing. Here’s a very plain vanilla model. How much do they hold back?

Portfolio 110

Portfolio Burn Rate LP Distribution 110

NZ Entrepreneur

SEPTEMBER 16, 2020

A much better analysis would be ‘if we do not secure this distribution agreement, the market share we can achieve by this date will be halved.’. If a startup expects $1M in sales revenue but only gets $100k and they haven’t got a backup plan, they may face a down round or in the worst case liquidity concerns.

Startup 86

Startup Sales Cycle Down Round Revenue 86

NZ Entrepreneur

JULY 8, 2019

I waited for the ‘casino-like’ world of startup investing until I was 28 years old, putting $10,000 into a friend’s software distribution company – a tidy sum for me at that age. So I splashed out and bought a gigantic pack of pick ‘n’ mix. Seven years later, I exited for $220,000. Holy s**t,” I thought, there’s something in this!

New Zealand 49

New Zealand Entrepreneur Valuation Dilution 49

abovethecrowd.com

APRIL 20, 2016

Also, they have a strong belief that any sign of weakness (such as a down round) will have a catastrophic impact on their culture, hiring process, and ability to retain employees. Their own ego is also a factor – will a down round signal weakness? A down round is nothing. Get over it and move on.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Scalable Startup

FEBRUARY 1, 2013

So these companies that are kind of for — in the sort of mechanical term, distributed workforces and outsource work being run online. Alexia Tsotsis: Are you seeing down rounds because the NASDAQ is down? Marc Andreessen: No, we have not seen down rounds yet.

Software Review 22

Software Review Startup Venture Capital Stock 22

Business Plan Blog

OCTOBER 8, 2013

In order to launch a successful business and raise the capital needed to do so, a startup needs to consider several aspects of the business including the management team , the size of the opportunity, the product/service/technology, the market/sales/distribution channels, the competitive environment and several other factors.

Business Plan 67

Business Plan NDA Exit Strategy Valuation 67