VC Cafe

OCTOBER 16, 2024

Sierra AI , founded by Bret Taylor (former co-CEO of Salesforce, CTO of Facebook and current chairman of OpenAI) is currently raising hundreds of millions of dollars at $4 billion valuation, just a year or so from launch after unlocking AI voice agents for companies. Another component of this technical challenge is accuracy.

Vertical 169

Vertical Generative AI B2C CTO Hire 169

ReadWriteStart

JANUARY 28, 2022

This article will assist you in gaining a fundamental understanding of equity valuation, kinds of equity, and other related topics. The market regards equity as an ownership “share” in a corporation’s income revenue stream. They need to ensure that the shares are distributed productively. Equity for Investors.

Valuation 108

Valuation Equity Warrant Common Stock 108

YoungUpstarts

JUNE 29, 2020

So, what are the in demand products during this time of pandemic that both budding and seasoned entrepreneurs may want to consider manufacturing or distributing? estimates in their recent report that medical products will have a very high global market valuation, crossing 30 billion US dollars by 2026. These are some of those: 1.

Demand 173

Demand Product Artificial Inteligence Software Review 173

Steve Blank

APRIL 23, 2014

buy out an entire company for its revenue and profits. VCs like acquisitions as much as IPOs because the acquiring companies often can rationalize paying large multiples over the current valuation of the startup. However, these nosebleed valuations make it even more important in getting the acquired company integrated correctly.

Acquisition 334

Acquisition Intellectual Property Silicon Valley Startup 334

Startup Professionals Musings

SEPTEMBER 30, 2013

Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. It doesn’t prove your business model of pricing, distribution, and support. Without revenue, your investors are largely limited to friends, family and fools.

Intellectual Property 281

Intellectual Property Entrepreneur Sweat Equity Fractional CTO 281

Agile VC

JANUARY 13, 2016

A realignment of valuations by late stage investors? Potential for instant global distribution (mobile app stores, Facebook, etc). It used to take 5-10 years for a great startup to go from $0 to $75-100M+ in annual revenue. Revenue is revenue, right? What happened? The beginning of a tech downturn?

Technical Review 157

Technical Review .Net Revenue Software Review 157

Agile VC

APRIL 17, 2011

How They Make Money: Majority of Kayak’s revenue actually comes from advertising on their site (55%), not lead generation or referral fees to travel suppliers as you might think (more on this below). Financial Snapshot: 2010 Revenue: $170 million. Revenue growth: 51% YoY (2010), 1% YoY (2009), 131% YoY (2008).

Pre-Money Valuation 113

Pre-Money Valuation Liquidation Preference Dividend Common Stock 113

Startup Professionals Musings

DECEMBER 11, 2022

Getting investors to trust you with their money is always a challenge, and it’s even more difficult in the early stages, where you don’t have a significant revenue stream, a few customers, or maybe even a product yet. Non-credible funding request or unreasonable valuation. Future unproven projections don’t set today’s valuation.

Due Diligence 271

Due Diligence Intellectual Property Entrepreneur Preferred Stock 271

A Smart Bear: Startups and Marketing for Geeks

AUGUST 18, 2015

They have everything: money, brand, momentum, existing customers, press, product teams, distribution channels, expertise, market insight, analysts, sales offices, product features, and, by definition, a working business model. The insight is: The profitable revenue stream is a prison. But David has a clear path to slaying Goliath.

Technical Review 120

Technical Review Valuation Flash Revenue 120

Both Sides of the Table

MARCH 1, 2016

LPs have been feeling great about venture capital due to holding valuable paper positions in companies like Uber, Lyft, Airbnb, Dropbox, all of which they feel confident will drive large cash distributions in the future. LPs See The Over-Valuations and Don’t Like It. The Biggest Area of Concern is Late Stage Investments.

Venture Capital 150

Venture Capital LP Silicon Valley Marketing 150

Startup Professionals Musings

AUGUST 31, 2012

Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. It doesn’t prove your business model of pricing, distribution, and support. Without revenue, your investors are largely limited to friends, family and fools.

Intellectual Property 260

Intellectual Property Sweat Equity Fractional CTO CTO Hire 260

Both Sides of the Table

NOVEMBER 14, 2017

We realized that operating a business in distributed markets presented multi-city coordination efforts that we weren’t prepared for. were more distributed. An example of the systems companies build are pricing & revenue management tools to best help to optimize yield.

Operations 286

Operations New York City Technical Review Startup 286

David Teten

JANUARY 19, 2021

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Flexible VC: Revenue -based. Of the Inc.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

VC Cafe

JANUARY 27, 2021

As teams become increasingly distributed, video communication is important for both internal alignment and external business development. But within two weeks its Israeli founders managed to pivot their product into the virtual events world and have concluded 2020 with 100% growth and tens of millions of dollars in revenue.

Vertical 148

Vertical Video Technical Review Europe 148

Startup Professionals Musings

JUNE 17, 2011

Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. It doesn’t prove your business model of pricing, distribution, and support. Without revenue, your investors are largely limited to friends, family and fools.

Intellectual Property 253

Intellectual Property Sweat Equity Fractional CTO CTO Hire 253

Tim Keane

JANUARY 12, 2010

Term-sheets and Valuations: Thinking about Negotiations.   I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.] The Valuation Question.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Startup Professionals Musings

MARCH 14, 2020

Getting investors to trust you with their money is always a challenge, and it’s even more difficult in the early stages, where you don’t have a significant revenue stream, a few customers, or maybe even a product yet. Non-credible funding request or unreasonable valuation. Future unproven projections don’t set today’s valuation.

Due Diligence 308

Due Diligence Intellectual Property Preferred Stock Startup 308

Gust

DECEMBER 6, 2011

This graphic shows that the distribution of funding is not uniform across the spectrum of rounds size in dollars. Milestones are accomplishments that demonstrate the viability of the business; hence, they increase the valuation of the company. So, generally, these three major sources of capital are complementary, not competitive.

Angel Investor 179

Angel Investor Venture Capital Valuation Software Engineering 179

YoungUpstarts

FEBRUARY 1, 2020

You are sure to be happy when your business reaches a Series B financing round because it usually means your company has a higher valuation. Before your financial statements can be filed with the SEC or distributed outside of your business, an external auditor must ensure your records adhere to GAAP. Revenue Recognition.

CPA 165

CPA Stock Options Valuation Stock 165

Startup Professionals Musings

MAY 22, 2010

Don’t expect them to believe your $100M revenue projection, if you are still waiting for the first revenue dollar. Get a real customer and real revenue. It doesn’t prove your business model of pricing, distribution, and support. Without revenue, your investors are largely limited to friends, family and fools.

Intellectual Property 222

Intellectual Property Sweat Equity Fractional CTO CTO Hire 222

YoungUpstarts

OCTOBER 23, 2017

PC and mobile interfaces dynamically display portfolio valuations and exposures, along with system-generated investment recommendations tailored to a specific client’s financial goals and risk appetite. According to research from JP Morgan, revenues from investment banking peaked in 2009 at $207.7 Transaction Processing.

Technical Review 154

Technical Review Artificial Inteligence Software Review IPO 154

VC Cafe

JANUARY 2, 2023

There are 85 Israeli unicorns, but only about 50% them justify a billion Dollar valuation, according to Viola’s report. As growth investments (and valuations) go down, unicorns might struggle to survive, according to Globes. Sector funding distribution according to Greenfield Partners. ” Fred Wilson.

Valuation 159

Valuation Down Round Israel Venture Capital 159

Lightspeed Venture Partners

OCTOBER 29, 2012

The company sought to raise $125,000 for 25% of the comapny, implying a $375,000 pre money valuation. Unsurprisingly, all the sharks passed, based on market size and valuation expectations. The company was started six weeks ago, had no sales and no retail distribution yet.

Pre-Money Valuation 97

Pre-Money Valuation Offshore Valuation Cofounder 97

Steve Blank

MARCH 31, 2014

Companies horde cash and squeeze the most revenue and margin from the money they use. Look at the valuations of companies like Tesla, Illumina, and Twitter. The companies that can show “startup-like” growth rates of 50% plus per year will get stratospheric market valuations.

Private Equity 330

Private Equity Metrics China Intellectual Property 330

Lightspeed Venture Partners

OCTOBER 7, 2012

He had been at it for 6 months and had no sales or distribution lined up yet. They won a design award at a trade show, but have no revenue and no orders. They are seeking $40k for a 33% stake and want investors who can provide introductions for distribution and licensing on their behalf. The last company was a bit of a puzzler.

Technical Review 110

Technical Review Technical Cofounder Valuation Pre-Money Valuation 110

VC Cafe

APRIL 28, 2021

And elsewhere creator monetisation tools and revenue streams continue to expand: Ads and bran deals – Youtube reported $6 billion in revenue for Q1 2021 , a 50% growth rate from the equivalent period last year. The sum is equivalent to the combined annual revenue of Snap and Twitter for 2020. — ??????

Audio 168

Audio Valuation Stealth B2C 168

YoungUpstarts

NOVEMBER 20, 2019

You may be able to generate revenue, but VCs want exponential growth. The market for our product was global, and we had unique advantages in terms of our product and how we distributed it to customers. Have a reasonable attitude about your early-stage valuation, and don’t get too hung up on it. Be ready when it counts.

Technical Review 140

Technical Review Due Diligence Early Stage Differentiation 140

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

Austin Startup

OCTOBER 15, 2017

What seems to be the best way to create customers and revenue may result in a business model that is out of vogue with the investment world and shortchanges you on enterprise valuation. A good example is the marketing technology sector. You don’t normally get to dictate the decision as to how your customers want to buy.

Technical Review 48

Technical Review Software Review Nevada Silicon Valley 48

ReadWriteStart

JULY 17, 2023

In the financial year ending in March this year, the startup generated a revenue of $18.5 For Furlenco, the acquisition will provide access to Sheela Foam’s extensive distribution network and marketing expertise. For Furlenco, it provides access to Sheela Foam’s extensive distribution network and marketing expertise.

India 104

India Acquisition Merger Curation 104

VC Adventure

MAY 5, 2022

How many of those valuations will hold remains to be seen, but that kind of market clearly advantaged funds that deployed capital very quickly. Both were valued at greater than 50x revenue (one was, I think, 70x revenue). But in any event, the life of a fund is at least 10 years, and increasingly 15 years or more. But not now.

IRR 116

IRR Metrics Valuation LP 116

Both Sides of the Table

MAY 19, 2010

Founded in November 2007 in New York City by Alexis Maybank and Kevin Ryan (co-founder of DoubleClick); CEO is Susan Lyne (ex-CEO Marta Stewart Living Omnimedia) Revenue estimates: $50mm in 2008; $170mm in 2009 (versus budget of $150mm); $450mm forecasted for 2010. Note that these are “gross” revenue numbers. OTHER DEALS: 1.

Partner 240

Partner New York City Cofounder Syndicate 240

Up and Running

JUNE 14, 2017

Then, about two weeks before launch, I distributed a survey to those 256 partners. But when I ran the numbers, the revenue from just the first three months from the 150 who were interested in premium would cover the investment and more. It wasn’t a scalable solution, but it was a start. 60 percent of respondents chose premium!

Technical Review 96

Technical Review Distribution Redemption Demand 96

SoCal CTO

OCTOBER 5, 2010

5 great viral marketing campaigns (and what small businesses can learn from them!) - crowdSPRING Blog , September 13, 2010 At crowdSPRING we talk a great deal about how we can leverage our limited marketing resources to drive traffic and revenues and build strong community. Except they won’t be called Product Managers. That crazy chicken.

Technology 191

Technology Product San Francisco CTO Hire 191

Startup Professionals Musings

JULY 27, 2018

Potential investors love to see gross margins in the fifty percent range or greater, with recurring revenue through subscriptions, follow-on sales, or services. Five-year financial projections of revenue and expenses. Of course, you wouldn’t include this data in your customer product pitch.

Product 145

Product Intellectual Property Liquidity Event Valuation 145

Steve Blank

SEPTEMBER 14, 2009

Five Quarters of Profitability During the 1980’s and through the mid 1990’s startups going public had to do something that most companies today never heard of – they had to show a track record of increasing revenue and consistent profitability. There was now a public market for companies with no revenue, no profit and big claims.

Silicon Valley 237

Silicon Valley IPO Technical Review Venture Capital 237

ConversionXL

OCTOBER 22, 2018

To get marketing a seat at the table and prove that it can drive revenue and pipeline, we’ve become borderline obsessed with numbers. To reframe marketing as an investment rather than a cost center, we must connect all the dots to revenue—but it’s hard to do without the right tools and models to get started. form fills).

B2B 131

B2B Marketing Analytics Campaign 131