Startup Professionals Musings

MAY 25, 2020

The last thing a new entrepreneur wants to think about for a new startup is how it will end. Yet one of the first things a potential equity investor asks about is your exit strategy. Equity investments are not loans, so there is no loan payback period or interest payments. Find a private equity firm or friendly individual.

Exit Strategy 376

Exit Strategy Startup Private Equity Equity 376

A Smart Bear: Startups and Marketing for Geeks

JANUARY 4, 2018

Late last year we passed $100M in annual recurring revenue. That revenue is in on 75,000 customers, earned through the hard work of 500 employees across six offices on three continents. This week we closed $250M in financing from Silver Lake , the premier technology private equity firm. We just announced a few more things.

Engineer 152

Engineer Revenue San Francisco Security 152

Startup Professionals Musings

JANUARY 18, 2020

In addition to being the startup entrepreneur, there are other key roles where Boomers can be a force in driving successful startups, in concert with leaders from Gen-X and Gen-Y: Early-stage angel investors. Often the Boomer is more willing to work for equity, and easily convinced to step aside when revenues reach that next threshold.

Advisory Board 312

Advisory Board Startup Dividend Angel Investor 312

YoungUpstarts

JANUARY 10, 2020

by Zain Jaffer, serial entrepreneur and the Founder and CEO of Zain Ventures. When it occurs, the consequences can be swift and devastating, wreaking potential havoc on a once steady stream of revenue. When it occurs, the consequences can be swift and devastating, wreaking potential havoc on a once steady stream of revenue.

Customer 347

Customer Development Team Review Advisory Board Private Equity 347

Startup Professionals Musings

FEBRUARY 21, 2012

The cost of giving up more equity early is often more than offset by the increased flexibility to recover from mistakes. Pay people with equity or future revenue. Another one to avoid cash burn for software development is a contract for percent of future revenue. Great strategy. Do it yourself and barter for services.

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Burn Rate Startup Salary Equity 232

ReadWriteStart

JUNE 1, 2020

I have often been asked about Startup Funding by entrepreneurs. Here is Startup Funding, a Comprehensive Guide for Entrepreneurs. The primary source of your funds should be your paying customers, i.e., your business should generate enough revenues and profits to fund the growth and expansion. Pre-Requisites of Funding.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

Startup Professionals Musings

AUGUST 31, 2012

I hear a lot of entrepreneurs contemplating their great “idea” for several years with little discernable progress, and looking for money to start. 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.

Intellectual Property 260

Intellectual Property Sweat Equity CTO Hire Fractional CTO 260

Startup Professionals Musings

FEBRUARY 25, 2023

The last thing a new entrepreneur wants to think about for a new startup is how it will end. Yet one of the first things a potential equity investor asks about is your exit strategy. Equity investments are not loans, so there is no loan payback period or interest payments. Find a private equity firm or friendly individual.

Exit Strategy 264

Exit Strategy Private Equity Equity Technical Review 264

Startup Professionals Musings

JUNE 17, 2011

I hear a lot of entrepreneurs contemplating their great “idea” for several years with little discernable progress, and looking for money to start. 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.

Intellectual Property 253

Intellectual Property Sweat Equity CTO Hire Fractional CTO 253

ConversionXL

JANUARY 18, 2022

Coca-Cola has brand equity that makes people gravitate towards it. In this article, you’ll understand what brand equity is and how to build it so your audience reaches for your product, service, or solution over the rest. Why brand equity matters now more than ever. Brand equity. It’s the safer bet. Every day in the U.S.,

Equity 94

Equity Marketing Social Media Software Review 94

ReadWriteStart

DECEMBER 15, 2022

But I recommend entrepreneurs and prospective business builders consider the Agency Builder model. So an entrepreneur forming a startup studio benefits from having experience in the industry sector they hope to serve. Client work serves as an additional source of revenue to form new startups.

Incubator 188

Incubator Startup Software Developers Software Development 188

Startup Professionals Musings

JUNE 2, 2013

How do you as an entrepreneur with a new idea get to be one of those choices? That means there are far more entrepreneurs looking for money than there are investors, and entrepreneur entitlement is not a realistic expectation. This requires a visible focus on the company’s revenue model, the costs to get there, and cash on hand.

Angel Investor 269

Angel Investor Cram Down Intellectual Property Venture Capital 269

Startup Professionals Musings

JUNE 25, 2012

Just don’t quit your day job before your new company is producing revenue. A startup incubator is a company, university, or other organization which provides resources for equity to nurture young companies, helping them to survive and grow during the startup period when they are most vulnerable. Bartering services for equity.

Technical Review 257

Technical Review Bootstrapping Venture Capital Incubator 257

Startup Professionals Musings

APRIL 27, 2016

The last thing a new entrepreneur wants to think about for a new startup is how it will end. Yet one of the first things a potential equity investor asks about is your exit strategy. Equity investments are not loans, so there is no loan payback period or interest payments. Find a private equity firm or friendly individual.

Equity 120

Equity Exit Strategy Private Equity Startup 120

Steve Blank

MARCH 12, 2014

. — Teaching students to think like entrepreneurs not accountants. We realized that past K-12 Entrepreneurial classes taught students “the lemonade stand” version of how to start a company: 1) come up with an idea, 2) execute the idea, 3) do the accounting (revenue, costs, etc.).

Lean 335

Lean Customer Development Startup Silicon Valley 335

David Teten

JANUARY 21, 2021

This essay is part of a series on alternative VC: I: Revenue-Based Investing: a new option for founders who care about control. II: Who are the major Revenue-Based Investing VCs? III: Why are Revenue-Based VCs investing in so many women and underrepresented founders? IV: Should your new VC fund use Revenue-Based Investing?

Equity 78

Equity Revenue Cofounder Colorado 78

Both Sides of the Table

AUGUST 3, 2010

There is a telltale sign of an inexperienced startup entrepreneur. I can save tons of development time and I think I can buy it for all equity. How much dilution should I take for it?&# My friend’s company was pre-revenue. I’m not saying there are never reasons to buy another company for cash and/or equity.

Merger 276

Merger Technical Review Early Stage Dilution 276

Both Sides of the Table

SEPTEMBER 17, 2011

I’d say about 80% of the experienced entrepreneurs & VCs I know privately agreed with me. I know it’s much sexier to race around talking about buying up companies than it is tweaking your business operations to accelerate revenue, reduce churn and grow faster. Dilute your cash, equity or both. What will it do?

Operations 292

Operations CTO Hire Startup Early Stage 292

Both Sides of the Table

MAY 5, 2011

I’m an entrepreneur at heart so I’m always inspired when I hear stories about innovation. It’s why my investment philosophy is called, “ the entrepreneur thesis.&#. Passionate Entrepreneurs & Ambassadors. You need to have passionate tech entrepreneurs who want to build businesses locally.

Seattle 317

Seattle Silicon Valley Technical Review Los Angeles 317

Both Sides of the Table

JULY 16, 2010

So even within the “alternative class&# our LPs are looking at other asset investment choices such as distressed buyout funds, private equity or hedge funds. I have never seen a fund that spends so much time building relationships with every other VC (in addition to many entrepreneurs.) VC will shrink. Oh yes it will.

LP 311

LP Technical Review Early Stage Silicon Valley 311

Both Sides of the Table

JANUARY 4, 2014

Equity for the future? If you are the person staying how resentful will you become working your arse off for equity that your co-founder who leaves will get value from. He felt the CEO was willing to “sell his soul” for revenue and wanted things to be more pure. CEO thought, “This is just the first hurdle!

Founder 340

Founder Cofounder Sacramento Technical Review 340

Hearpreneur

MARCH 4, 2022

Being in love with your business, when you’re an entrepreneur, is even better. Although there are days when tossing in your hat seems like a viable option, remembering how much you love your “job” can quickly snap an entrepreneur out of that mentality. When you're an entrepreneur, you have to make a lot of compromises.

Entrepreneur 133

Entrepreneur Technical Review Restful Colorado 133

Both Sides of the Table

JUNE 22, 2011

This was an audience of mostly first-time entrepreneurs. It is great for entrepreneurs and great for VCs. So here is what I have been telling entrepreneurs privately for the past 6 months. Ah, but today’s Internet companies have real revenue! What a bubble means for each entrepreneur. I believe that.

Saudi Arabia 309

Saudi Arabia Valuation IPO Technical Review 309

YoungUpstarts

AUGUST 17, 2020

Majeed says that while most entrepreneurs launch companies with great ideas, lots of ambition and the most sincere of intentions, it’s equally important to have a strong handle on their finances. . an entrepreneur should have about 6 months worth of fixed costs on hand at the beginning. For starters, rising debt-to-equity ratio.

Finance 217

Finance Forecast Balance Sheet Angel Investor 217

Startup Professionals Musings

NOVEMBER 4, 2011

The corporate entity lends itself best to the concept of “sharing” equity required by investors, and unincorporated entities don’t get funding. Every entrepreneur needs a professional business plan for their own use, whether they intend to seek investor funding or not. Line up an experienced team. Build a prototype product.

Intellectual Property 249

Intellectual Property Angel Investor Technical Review Elevator Pitch 249

YoungUpstarts

JUNE 16, 2020

This method branches off into two schools of thought: Past Earning Capitalization – this suggests that the expected revenue in the future can be predicted by a record of the company’s past earnings, once undue revenue or expenses are accounted for and multiplies the projected earnings by a capitalization factor.

Valuation 162

Valuation CPA Software Review .Net 162

Both Sides of the Table

AUGUST 9, 2011

Companies with less than $2 million in revenue were asking for $50-60 million valuations and getting them. I thought about things I never had to as an entrepreneur: check size, ownership percentage, deal stage, portfolio construction and risk. I have a young entrepreneur friend who IMs me a lot. Unemployment likely to rise.

Stock 305

Stock Technical Review Marketing Greece 305

Hearpreneur

SEPTEMBER 16, 2020

We asked entrepreneurs and business owners on their best business or entrepreneur turnaround story and here are the responses. #1- Unfortunately, he was fired and all of that potential equity disappeared. billion in annual revenue. I was an entrepreneur and I worked long hard hours to build my company.

Entrepreneur 137

Entrepreneur China Incubator Philippines 137

Hearpreneur

JUNE 14, 2017

We asked some entrepreneurs and business owners, why they started their businesses: #1 – Fell in Love. My advice for people making the switch from full-time worker to entrepreneur is to know your strengths. 9 – Always Wanted to be an Entrepreneur. Each story is different though the reasons may be the same.

Entrepreneur 129

Entrepreneur South Africa PR Thailand 129

Startup Professionals Musings

JUNE 13, 2016

It’s very fashionable these days to declare yourself a social entrepreneur, working for the good of society, the environment and a better life. Most social entrepreneurs don’t like to talk about making money, but often they still ask for help finding investors. federal income tax (Section 501(c) of the Internal Revenue Code).

Limited Liability Company 120

Limited Liability Company Entrepreneur Software Review LLC 120

YoungUpstarts

AUGUST 5, 2015

From that experience, I have grown as an entrepreneur, but that “growth” came at a tremendous expense, so I thought I would share the 5 lessons I learned throughout that experience that every entrepreneur should know. Lesson Learned: Equity is the ultimate power; don’t give it away without the appropriate compensation or plan.

CTO Hire 100

CTO Hire Fractional CTO Advisory Board Software Review 100

Hearpreneur

DECEMBER 10, 2023

Often entrepreneurs and business owners create their New Year’s Resolutions around their businesses. It could be more revenue, hiring clients, or launching a new product or service, but every new year is an exciting time because it’s ripe with opportunity. It’s almost new year and right after the ball drops, it’s time to go to work.

Technical Review 149

Technical Review Entrepreneur Artificial Inteligence Affiliate 149

YoungUpstarts

MARCH 4, 2019

Balancing Assets, Liabilities, and Owner’s Equity. Equity indicates what those with a stake in the company can claim as their own (even if your business “owns” a piece of equipment, for example, this is still considered an asset and not equity). Income Statement: Income = Revenues – Expenses. Making Choices.

Balance Sheet 172

Balance Sheet Software Review Equity Cofounder 172

Startup Professionals Musings

FEBRUARY 15, 2023

With one of the many new tools , and a dose of sweat equity, you can create a website for almost nothing -- and you are on your way to success with ecommerce, your latest invention or personal services. Here are the key principles I recommend as an advisor to many entrepreneurs: Start your business in your own home. Marty Zwilling

Equity 349

Equity Hockey Stick Bootstrapping Sweat Equity 349

David Teten

JANUARY 19, 2021

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. From traditional equity VC, Flexible VC borrows the option to pursue and reap the rewards of an outsized exit. Flexible VC 101: Equity Meets Revenue Share. Equity Ownership. Yes, typically preferred equity. Example VC.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Startup Professionals Musings

APRIL 22, 2023

Many entrepreneurs are convinced that banks are not worth the effort for startups, especially early-stage ones that still don’t have a revenue stream, or collateral to back up their financing needs. Bankers do not contribute equity. The short answer is that some banks will help, if you do your homework. Money from other sources.

Equity 303

Equity Silicon Valley Finance Early Stage 303

Startup Professionals Musings

MAY 27, 2016

As an angel investor, I’ve learned to believe in this approach, since I have seen great ideas go astray, due to poor execution and I have seen apparently marginal ideas make millions, managed by a savvy entrepreneur. Even social entrepreneurs need milestones, quantifiable results, and revenue to sustain their value.

Technical Review 134

Technical Review Intellectual Property Due Diligence Angel Investor 134