Startup Professionals Musings

MAY 4, 2016

Before you bring on partners, develop intellectual property, raise capital, or generate revenues, you need to establish an official business entity. With the Internet and modern video communication tools, including Skype and Google Hangout, you can find the people you need, from anywhere in the world, and sign them up quickly.

Intellectual Property 120

Intellectual Property Startup Angel Groups Social Media 120

Startup Professionals Musings

MAY 18, 2020

With the advent of the Internet, the size and address of your office is irrelevant. Most new teams are geographically dispersed these days anyway, so paying rent for an office should be differed to later stages when revenue is plentiful. Favor profitability over revenue and user growth.

Hockey Stick 423

Hockey Stick Bootstrapping Sweat Equity Intellectual Property 423

Startup Lessons Learned

FEBRUARY 20, 2009

The sooner you pass your work on to a later stage, the sooner you can find out how they will receive it. If you can start getting ROI on a feature in month one of a twelve month project versus waiting until the end, youve comparatively reduced the cost of development by the revenue generated by that feature over 11 months.

San Francisco 161

San Francisco Software Review Continuous Deployment Development Team Review 161

Startup Professionals Musings

FEBRUARY 15, 2023

With the advent of the Internet, the size and address of your office is irrelevant. Most new teams are geographically dispersed these days anyway, so paying rent for an office should be differed to later stages when revenue is plentiful. Favor profitability over revenue and user growth.

Equity 349

Equity Hockey Stick Bootstrapping Sweat Equity 349

Steve Blank

JUNE 11, 2013

The test is: If you add one more sales person or spend more marketing dollars, does your sales revenue go up by more than your expenses? What are revenue strategy and pricing tactics? These sources are a lot more forgiving of iterations and pivots than later-stage venture-capital funds. When to raise money.

Venture Capital 335

Venture Capital IRR Liquidity Event Business Model 335

Gust

DECEMBER 25, 2013

To start with, a pre-revenue mobile company cannot expect to raise anything from “the VCs” Venture capital funds invest in only one out of every 400 companies seeking funding, so the odds of your particular startup getting funded are astronomically against you. Good luck with your venture!

Revenue 136

Revenue Angel Investor Mobile Venture Capital 136

Both Sides of the Table

DECEMBER 3, 2013

I’m super proud to announce that DataSift has just completed a $42 million financing round coming at the end of a year where its revenue grew several hundred percent year-over-year. Considering our revenue is SaaS revenue this achievement is even more remarkable. I’m an early-stage investor. Predictive Data.

Iran 358

Iran API San Francisco Nigeria 358

Steve Blank

JUNE 15, 2011

Long before others, they saw that these applications could have hundreds of millions of users with “off the chart&# revenue and profits. The awareness phase is where other later-stage investors start to notice the momentum, bringing additional money in and pushing prices higher. billion at the end of the first day (on $58.9

Silicon Valley 331

Silicon Valley Stealth Valuation Mississippi 331

Startup Professionals Musings

JUNE 13, 2020

Angels are more likely to fund new entrepreneurs, and early-stage or seed rounds, while VCs tend to focus on entrepreneurs with a successful track record, and later stage rounds. Sending unsolicited business pitches to every angel and VC investor you can find on the Internet is a waste of your time as well as theirs.

Angel Investor 314

Angel Investor Entrepreneur IRR Valuation 314

Startup Professionals Musings

JANUARY 12, 2013

This is a term indicating the use of “crowd appeal” to get money from interested people on the Internet for a share of your company. This is the use of game-thinking and game mechanics in business applications for marketing, to enhance user engagement, accelerate revenue flow, and expedite application learning. Startup accelerator.

Entrepreneur 274

Entrepreneur Accredited Investor Silicon Valley Angel Investor 274

Startup Professionals Musings

AUGUST 2, 2014

Angels are more likely to fund new entrepreneurs, and early-stage or seed rounds, while VCs tend to focus on entrepreneurs with a successful track record, and later stage rounds. Sending unsolicited business pitches to every Angel and VC investor you can find on the Internet is a waste of your time as well as theirs.

Angel Investor 266

Angel Investor Entrepreneur Venture Capital IRR 266

David Teten

SEPTEMBER 23, 2017

Even for later-stage companies with predictable financials, the lack of liquidity, audited financials, and standardized metrics creates real challenges to scaling quantitative investing. Meyler Capital is taking the analytical rigor of modern internet marketing and applying it to fund marketing. 2) Raise capital.

Private Equity 60

Private Equity Venture Capital Equity Technical Review 60

David Teten

DECEMBER 3, 2019

Meyler Capital is taking the analytical rigor of modern internet marketing and applying it to fund marketing. . Data companies focused on early-stage startups include Aingel , fundsUP , Preseries , PredictLeads , and Sploda. Lighter Capital, a Revenue Based Investing VC, offers a Cost of Capital Calculator.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Steve Blank

JUNE 11, 2013

The test is: If you add one more sales person or spend more marketing dollars, does your sales revenue go up by more than your expenses? What are revenue strategy and pricing tactics? These sources are a lot more forgiving of iterations and pivots than later-stage venture-capital funds. When to raise money.

Venture Capital 227

Venture Capital IRR Liquidity Event Business Model 227

Both Sides of the Table

JUNE 19, 2017

Gross burn is your cost base and net burn is the difference between your revenue and costs. In general you should allow yourself 4–6 months of time to fund raise (longer if you’re later stage and require a much bigger round) so calculating anticipated burn rate is pretty easy. You start from the basics, which is if you raise $2.5

Burn Rate 212

Burn Rate Startup .Net Venture Capital 212

Startup Professionals Musings

MARCH 12, 2023

Angels are more likely to fund new entrepreneurs, and early-stage or seed rounds, while VCs tend to focus on entrepreneurs with a successful track record, and later stage rounds. Sending unsolicited business pitches to every angel and VC investor you can find on the Internet is a waste of your time as well as theirs.

Angel Investor 246

Angel Investor IRR Venture Capital Valuation 246

Startup Professionals Musings

APRIL 6, 2016

With the advent of the Internet, the size and address of your office is irrelevant. Most new teams are geographically dispersed these days anyway, so paying rent for an office should be differed to later stages when revenue is plentiful. Favor profitability over revenue and user growth.

Bootstrapping 120

Bootstrapping Hockey Stick Sweat Equity Intellectual Property 120

The Startup Magazine

OCTOBER 24, 2018

We can get evidence in the stats that say, “ Videos drive two-thirds of the whole internet traffic and is anticipated to grow to about 82% by 2020”. Multi bit-rate streaming for adapting to viewer’s device and internet bandwidth. Pay Per View model of Revenue generation. Watermarking feature for adapting to your brand identity.

Software 136

Software Bandwidth API Flash 136

cdixon.org

AUGUST 3, 2012

Entrepreneurs and investors have been enamored with consumer internet startups for the last few years. Some observations: - Thousands of early-stage consumer web/mobile companies were started and funded in last 24 months. Internet users have tens of thousands of services/apps to choose from but limited time and attention. .

Bridge Financing 86

Bridge Financing Early Stage Valuation Later Stage 86

Startup Professionals Musings

JUNE 5, 2016

Angels are more likely to fund new entrepreneurs, and early-stage or seed rounds, while VCs tend to focus on entrepreneurs with a successful track record, and later stage rounds. Sending unsolicited business pitches to every Angel and VC investor you can find on the Internet is a waste of your time as well as theirs.

Angel Investor 120

Angel Investor IRR Valuation Startup 120

This is going to be BIG.

MARCH 30, 2015

Most internet opportunities were of modest scale – often worth pursuing – but not usually worth taking public. Because most internet business concepts were not capable of productively employing tens of millions of dollars of venture capital does not mean they were bad ideas." And, they aren''t necessarily revenues from other dot coms.

Hockey Stick 60

Hockey Stick Valuation Startup Maryland 60

abovethecrowd.com

JULY 7, 2015

If you are post-revenue, it should unquestionably include a financial statement and forward forecast. You will raise more money at later stages. It may simply be an expense analysis, or a detailed pricing model, or a TAM (total available market) analysis. The one thing your presentation should not be is numberless.

Warrant 40

Warrant Later Stage IPO Forecast 40

pandodaily.com

NOVEMBER 29, 2012

But at a macro level, widespread failure this early is far less painful than if it came at later stages. Pandora begs Congress to lower Internet music licensing rates. As a result, Pandora is nowhere near profitable at more than $103 million in quarterly revenue, paying more than half of this sum to labels for content licenses.

Technical Review 93

Technical Review Silicon Valley Incubator Syria 93

Up and Running

DECEMBER 9, 2014

They cover funding for small businesses from the initial funding stage to later stages of growth, and other areas in between. Two, revenue. Many business owners today really think of financials as being about the past, how much revenue have we had, how much cost did we have. My name is John Bates. What do you do?

Small Business 95

Small Business Finance Forecast Metrics 95

www.mint.com

MARCH 9, 2010

If the answer to the question centers around “We will achieve revenue soon so our net will improve and give us more runway,” it means the company is in trouble because no product ever ships on time nor achieves the company’s “conservative forecast.” These days revenue is the best source of capital. Who is on your board of directors?

Software Review 68

Software Review Startup Post-Money Valuation Technical Review 68

Ben's Blog

MAY 24, 2021

Small” IPOs — companies with less than $50m in annual revenue at the time of IPO – have declined from more than 50% of all IPOs in the 1980-2000 timeframe to about 25% of IPOs from 2001-2016; Companies are staying private much longer — the median time to IPO from founding hovered around 6.5

SEC 36

SEC Accredited Investor IPO Technical Review 36

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. The same thing happened to many Internet stocks. Some later-stage investors may be tempted to become Sharks themselves and start including structured terms into their own term sheets.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

ReadWriteStart

AUGUST 26, 2022

He focuses on investments in fintech, the internet, and software. So first, we were much more sort of with a high growth rate, and we did not even care about how we got the revenue when we got it. And now we are much more careful about revenue quality revenues. The theme of this episode is how to scale unicorns.

Partner 132

Partner Cofounder Retention Acquisition 132

techcrunch.com

FEBRUARY 19, 2010

Respondents deemed between 12%-16% of companies generating revenues to be essentially “worthless” and deemed 20%-26% of their pre-revenue investments to be “worthless.” Spend the time raising money yourself, using oblique sources of revenue such as contract work or any one of a hundred others. Add to this that 72.7% Translation?

Venture Capital 62

Venture Capital Technical Review Sweat Equity Valuation 62

techcrunch.com

OCTOBER 23, 2010

One of the things I do as a founder of a later stage startup is to meet with early stage entrepreneurs to help them get their companies going. I can’t tell you how frequently teams of three business school students tell me they’re going to start the next great consumer Internet company. I don’t know any developers.

Technical Review 84

Technical Review Cofounder Technical Cofounder Software Review 84

David Teten

MARCH 18, 2021

Thirty-four VC firms in OpenVC call themselves “early-stage” Yet, 30% of those don’t actually invest in pre-revenue startups. Foundry Group, investing primarily in “ Software and Internet ”, follows six major themes, e.g., Human Computer Interaction (HCI) or Distribution. The phrase is quite ambiguous.

Technical Review 78

Technical Review Cofounder Venture Capital Deal Flow 78