article thumbnail

Flexible VCs With Structures Between Equity and Revenue-Based Investing

David Teten

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
article thumbnail

Early-stage Regional Venture Funds–part 2 of 3 of Bigger in Bend

Steve Blank

Late stage large regionally based funds that invest in late stage or mezzanine deals. Today it’s dominated by capital efficient software, web and mobile startups whereas 10 years ago it was dominated by semiconductor and hardware startups that consumed huge amounts of capital before their first dollar in revenue.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

10 Steps To Second Stage Success For Your New Venture

Startup Professionals Musings

By definition, second-stage ventures generally have 10 to 99 employees and/or $750,000 to $50 million in revenue, and see that as just the beginning. They need a large infusion from venture capitalists, private equity, bank loans, or mezzanine financing. Of course, not every entrepreneur wants to tackle this challenge.

Mezzanine 368
article thumbnail

Flexible VC, a New Model for Companies Targeting Profitability

David Teten

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.

article thumbnail

10 Keys To Surviving From A Startup To An Enterprise

Startup Professionals Musings

By definition, second-stage ventures generally have 10 to 99 employees and/or $750,000 to $50 million in revenue, and see that as just the beginning. They need a large infusion from venture capitalists, private equity, bank loans, or mezzanine financing. Of course, not every entrepreneur wants to tackle this challenge.

Mezzanine 244
article thumbnail

On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

Ah, but today’s Internet companies have real revenue! And this is happening in mezzanine (pre-IPO) deals as well. I said that at the Founder Showcase, too. The fact that today’s Internet bubble does not represent all companies does not disprove its existence. and profits! Why does all this matter?

article thumbnail

Today’s Fun – Gnip, Twitter, Uncommon Stock, and Pre-Seed Rounds

Feld Thoughts

Seed is the new Series A. (~$2M used get for building product, establishing product-market fit and early revenue). 6M-$15M used to scale customer acquisition and revenue). Series C/D is the new Mezzanine. Series A is the new Series B. (~6M-$15M Series B is the new Series C.

Stock 114