Both Sides of the Table

APRIL 19, 2011

I recently sat down with Matt Coffin , the founder of LowerMyBills, which sold for $400 million but was very nearly a bankruptcy only a few years early, and talked “startups.&#. Matt is one of the most transparent, focused & honest startup guys you’ll meet. Mark: 10% warrant coverage is like stock options.

Acquisition 304

Acquisition Warrant Customer Term Sheet 304

SoCal CTO

JUNE 9, 2010

Continuing my series of posts that I’ve been collecting that live at the intersection of Startups and being a Startup CTO : Startup CTO Top 30 Posts for April 16 Great Startup Posts from March here are the top posts from May 2010. It is to out friend. Enjoyed this post? It's a great talk. Why Entrepreneurs Hate Lawyers.

Fractional CTO 248

Fractional CTO Startup Venture Capital Cofounder 248

Startup Professionals Musings

JUNE 11, 2014

In my years of advising startups and occasional investing, I’ve seen many great ideas start and fail, but the right team always seems to make good things happen, even without the ultimate idea. You need to have a technical genius on the team to get your startup product off the ground. Outsourcing your core competency does not work.

Technical Cofounder 245

Technical Cofounder Cofounder Advisory Board Startup 245

Both Sides of the Table

DECEMBER 2, 2010

If you’re a pure startup and haven’t raised any money – you might change the life of every person you hire. I always encourage people to allocate a few extra stock options to those that join super early when your company is risky and they just believed in you. “Mark, I’m an Associate Partner.

Europe 352

Europe France San Francisco Chicago 352

Both Sides of the Table

APRIL 27, 2010

I never implied that startups are all great and job hoppers are all at fault. Most of what I learned about operating startups I learned from the really tough years at my first company from 2001-2003. That is when no customers wanted to work with Internet startups because we as an industry had burned so many customers.

Venture Capital 285

Venture Capital Hiring Software Review Stock Options 285

Startup Professionals Musings

FEBRUARY 9, 2020

In my years of advising startups and occasional investing, I’ve seen many great ideas start and fail, but the right team always seems to make good things happen, even without the ultimate idea. You need to have a technical genius on the team to get your startup product off the ground. Outsourcing your core competency does not work.

Technical Cofounder 308

Technical Cofounder Cofounder Advisory Board Stock Options 308

Startup Professionals Musings

FEBRUARY 8, 2020

As a long-time mentor to entrepreneurs, here is my collection of smart risks that investors and I look for in new startups: Focus on a tough customer problem rather than a fun technology. Find a strategic partner to accelerate growth. Investors know that startups with too much money fail just as often as those with not enough.

Management 322

Management Entrepreneur Forecast Stock Options 322

Startup Professionals Musings

NOVEMBER 2, 2022

As a long-time mentor to entrepreneurs, here is my collection of smart risks that investors and I look for in new startups: Focus on a tough customer problem rather than a fun technology. Find a strategic partner to accelerate growth. Investors know that startups with too much money fail just as often as those with not enough.

Forecast 304

Forecast Stock Options Technical Review Metrics 304

Startup Professionals Musings

FEBRUARY 18, 2023

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Sweat Equity 207

Sweat Equity Burn Rate Technical Review Intellectual Property 207

Startup Professionals Musings

FEBRUARY 18, 2018

In my years of advising startups and occasional investing, I’ve seen many great ideas start and fail, but the right team always seems to make good things happen, even without the ultimate idea. You need to have a technical genius on the team to get your startup product off the ground. Outsourcing your core competency does not work.

Technical Cofounder 144

Technical Cofounder Cofounder Advisory Board Startup 144

Up and Running

SEPTEMBER 10, 2014

According to the Angel Capital Association: Angels (private money) invest in 55,000 startups each year versus 1,500 companies by VC (venture capital) funding. ” Yes, the JOBS Act (Jumpstart Our Business Startups) is exciting, and it will bring a lot more potential investors into the marketplace. Stock Option.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

Both Sides of the Table

AUGUST 14, 2017

Executives run the day-to-day so often the board is more involved as a sparring partner at key intervals. ICOs certainly have a place in startup financing. That’s true. The administrative work we actually do at board meetings?

Cofounder 217

Cofounder Stock Options Equity Technical Review 217

Startup Professionals Musings

APRIL 10, 2016

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

Startup Professionals Musings

APRIL 8, 2015

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Early stage burn rates over $50K per month, or a runway of less than six months may indicate an inefficient or desperate startup.

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

Startup Professionals Musings

SEPTEMBER 9, 2015

As a long-time mentor to entrepreneurs, here is my collection of smart risks that investors and I look for in new startups: Focus on a tough customer problem rather than a fun technology. Find a strategic partner to accelerate growth. Investors know that startups with too much money fail just as often as those with not enough.

Startup 120

Startup Forecast Stock Options Technical Review 120

Startup Professionals Musings

FEBRUARY 17, 2018

As a long-time mentor to entrepreneurs, here is my collection of smart risks that investors and I look for in new startups: Focus on a tough customer problem rather than a fun technology. Find a strategic partner to accelerate growth. Investors know that startups with too much money fail just as often as those with not enough.

Forecast 161

Forecast Stock Options Technical Review Metrics 161

Up and Running

JULY 2, 2014

Picking the right attorney in your startup is as important as picking the right business partner. My business partner and I made many mistakes in our first tech startup, and so many of them were the result of choosing a lawyer who was a terrible fit. My business partner and I were elated.

Technical Review 118

Technical Review Angel Investor Due Diligence Dilution 118

Startup Professionals Musings

OCTOBER 18, 2015

If you think you are the perfect fit for the entrepreneur lifestyle, but you’re not yet sure if you’re ready to start your own, then I recommend that you take a job with an existing startup first to validate the culture realities against your dream. Running or working for a startup is more of a lifestyle than a career choice.

Technical Review 120

Technical Review Entrepreneur Stock Options Silicon Valley 120

thinkspace.com

SEPTEMBER 7, 2012

How to Divide Equity to Startup Founders, Advisors, and Employees. Are there principles that you live by that you’ve implemented in your startup that have worked really well? Pingback: How to Divide Equity to Startup Founders, Advisors, and Employees … | | The Money BooksThe Money Books. Marketing Intern. Five years?

Equity 62

Equity Employee Founder CTO Hire 62

Feld Thoughts

OCTOBER 8, 2013

I am so very tired of MBO-based bonuses in startups. This is totally messed up in a startup. My partner Dave and I took the number, made a list of all employees, and figured out how much we were going to give each of them. Figure out an equation for converting the bonus amount (in current cash terms) to stock option awards.

Stock Options 146

Stock Options Technical Review Leadership Equity 146

crowdSPRING Blog

NOVEMBER 7, 2014

We like to talk about logo design , web design , startups, entrepreneurship, small business, leadership, social media, marketing, and various random stuff! Small Business and Startups: Customer Service Marketing Manifesto – crowdspring.co/1wYokDi. Running a Startup: What Life Is Really Like in the Early Days – crowdspring.co/1wNhIpk.

Social Media 99

Social Media Small Business Design Media 99

Startup Professionals Musings

MARCH 21, 2016

A question I often get asked as an advisor to startups is how to recognize and attract the best people to grow the business. First, you need to carefully define and advertise your requirements in terms as specific as possible to your startup. Good communication skills. Motivation and commitment to results.

Technical Review 120

Technical Review Stock Options Salary Hiring 120

Startup Professionals Musings

SEPTEMBER 13, 2015

In my years of advising startups and occasional investing, I’ve seen many great ideas start and fail, but the right team always seems to make good things happen, even without the ultimate idea. You need to have a technical genius on the team to get your startup product off the ground. Outsourcing your core competency does not work.

Technical Cofounder 120

Technical Cofounder Cofounder Advisory Board Stock Options 120

Steve Blank

MARCH 16, 2016

There are many reasons to found a startup. There are many reasons to work at a startup. To most founders a startup is not a job, but a calling. But startups require money upfront for product development and later to scale. Traditional lenders (banks) think that startups are too risky for a traditional bank loan.

Liquidity Event 120

Liquidity Event Founder Liquidation Preference Private Equity 120

Both Sides of the Table

MARCH 21, 2010

This is part of my ongoing series on Startup Advice. As startup entrepreneurs we all want to work with them because having their name as reference clients makes it so much easier for marketing, PR, selling to other customers, fund raising and even recruiting. Think of it as similar to an employee stock option.

Warrant 298

Warrant Dilution Startup Stock Options 298

www.paulgraham.com

APRIL 28, 2010

Want to start a startup? A typical startup goes throughseveral rounds of funding, and at each round you want to take justenough money to reach the speed where you can shift into the nextgear. Few startups get it quite right. 1 ] A startups life will be more complicated, legally, if any of theinvestors arent accredited.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

Both Sides of the Table

JUNE 17, 2017

There are certain topics that even some of the smartest people I talk with who aren’t startup oriented can’t fully grok. It’s common cocktail party chatter to hear people confidently pronounce that some well known startup is sure to blow up because, “How could they succeed when they’re not even profitable!” What did they actually do?

Stock Options 227

Stock Options Startup Dilution Venture Capital 227

Startup Professionals Musings

MAY 8, 2022

Most entrepreneurs struggle with many startup founders quandaries in building their business, and these key dilemmas are probably the biggest source of pain and failure for the entrepreneur lifestyle. Old co-workers or new friends with complementary skills usually make the best partners. Otherwise exit and startup with another idea.

Founder 325

Founder Hockey Stick Cofounder Liquidity Event 325

Both Sides of the Table

MAY 2, 2015

You transition from “startup” to real business and it turns out that having an entire team be efficient is more important than that boundless energy but destructive nature of constantly changing direction from the CEO. Great startups have budgets. Stock option top-ups after a few years are vital retention mechanisms.

Operations 150

Operations Metrics Early Stage Non-Compete 150

Both Sides of the Table

NOVEMBER 4, 2009

This is part of my Startup Advice series. at a startup that has already raised $5 million the chances of you making your retirement money on that company is EXTREMELY small. Now … these are stock options and not restricted stock so you’ll likely be taxed at a long-term capital gains rate.

Stock Options 418

Stock Options Stock Liquidation Preference Option Pool 418

Startup Professionals Musings

MARCH 6, 2012

For those of you who want to get in on the ground floor of a new venture, but haven’t yet worked up the nerve to start your own, begin with a job at a startup. Working for a startup is not a career choice, but more of a lifestyle. The other partner, and hopefully there is only one crazy one, goes after the startup lifestyle.

Silicon Valley 246

Silicon Valley Burn Rate Startup Stock Options 246

Up and Running

DECEMBER 1, 2015

If you’re giving a large percentage of your company to someone (and yes, two percent is large), you’re entering into a contract that’s really a whole lot like marriage in that it creates a long-term relationship between you and the employee or partner. Make sure you understand all of your options before making any decisions.

Equity 60

Equity Employee Stock Options Vesting 60

Startup Professionals Musings

NOVEMBER 30, 2014

You need them before you need funding, and if you select the wrong people, or use them incorrectly, no amount of money will likely save your startup. Yet you should offer a reasonable monthly fee and/or some stock options to show you are serious about the position. advisory board business entrepreneur startup advisors'

Advisory Board 276

Advisory Board Startup Stock Options Stock 276

YoungUpstarts

JULY 17, 2020

The startup world is a perfect microcosm for these strange times — even in normal circumstances, a startup is always on a tightrope, one step away from unicorn status or financial ruin. As startups pivot to meet the changing landscape, here are four things to consider: 1. Evaluate and Reallocate Budget.

Startup 287

Startup Wisconsin Stock Options Dividend 287

Startup Professionals Musings

JANUARY 4, 2011

For those of you who want to get in on the ground floor of a new venture, but haven’t yet worked up the nerve to start your own, begin with a job at a startup. Working for a startup is not a career choice, but more of a lifestyle. The other partner, and hopefully there is only one crazy one, goes after the startup lifestyle.

Silicon Valley 227

Silicon Valley Burn Rate Startup Stock Options 227

Austin Startup

JULY 15, 2019

You’ll interact with every VC in Texas and those from Silicon Valley who are investing in Texas and every startup CEO who gets funded. We invest in startups that get funded by all of the top venture capitalists in Texas and Silicon Valley. Capital Factory has been the most active early stage tech investor in Texas since 2013.

Texas 56

Texas Technical Review Silicon Valley Venture Capital 56

Startup Professionals Musings

JULY 19, 2013

Most entrepreneurs struggle with many startup Founders dilemmas in building their business, and these key dilemmas are probably the biggest source of pain and failure for the entrepreneur lifestyle. Old co-workers or new friends with complementary skills usually make the best partners. Otherwise exit and startup with another idea.

Founder 245

Founder Hockey Stick Cofounder Liquidity Event 245