Startup Professionals Musings

NOVEMBER 25, 2020

Unreasonably high early valuations hurt the entrepreneurs, as well as professional investors, later when a second round becomes a down round or can’t be negotiated. Investors cannot verify accountability or governance. Later funding rounds can’t deal with a thousand shareholders. Risk is increased.

Equity 411

Equity Angel Groups Accredited Investor Due Diligence 411

Startup Professionals Musings

AUGUST 6, 2023

Unreasonably high early valuations hurt the entrepreneurs, as well as professional investors, later when a second round becomes a down round or can’t be negotiated. Investors cannot verify accountability or governance. Later funding rounds can’t deal with a thousand shareholders. Risk is increased.

Angel Groups 201

Angel Groups Accredited Investor Due Diligence Equity 201

VC Cafe

JANUARY 2, 2023

The ten biggest exits of the year included a mix of IPOs and acquisitions. As growth investments (and valuations) go down, unicorns might struggle to survive, according to Globes. Down rounds, especially for growth stage companies, and bridge rounds galore. Total deal value this year was $16.9 ” Fred Wilson.

Valuation 158

Valuation Down Round Israel Venture Capital 158

Startup Professionals Musings

MAY 20, 2016

Unreasonably high early valuations hurt the entrepreneurs, as well as professional investors, later when a second round becomes a down round or can’t be negotiated. Investors cannot verify accountability or governance. Later funding rounds can’t deal with a thousand shareholders. Risk is increased.

Angel Groups 136

Angel Groups Accredited Investor Equity Due Diligence 136

www.paulgraham.com

APRIL 28, 2010

In an IPO, it might not merely addexpense, but change the outcome. Those remedial actions can delay, stall or even kill the IPO. Of course the odds of any given startup doing an IPO are small.But not as small as they might seem. 6 ]Ive omitted one source: government grants. Thats where the name"incubator" comes from.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

abovethecrowd.com

APRIL 20, 2016

The pressures of lofty paper valuations, massive burn rates (and the subsequent need for more cash), and unprecedented low levels of IPOs and M&A, have created a complex and unique circumstance which many Unicorn CEOs and investors are ill-prepared to navigate. In Q1 of 2016 there were zero VC-backed technology IPOs.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Reid Hoffman

JUNE 8, 2021

Airbnb was preparing for an IPO right when the pandemic hit, and everything changed in a matter of days. Most boards have an audit committee, a nominating governance committee and a comp committee. And I made a decision not to do an equity round, because I thought it would be a down round. Let’s go with debt.

Silicon Valley 69

Silicon Valley Hosting Rhode Island Design 69