David Teten

SEPTEMBER 6, 2018

Just as with any company, the most important issue is the team; see “ How to Negotiate a Partner Role at a Venture Capital or Private Equity Firm “ . See my summary on how lead investors think about building out their syndicate. . Another critical design consideration is your tech stack. 5) Manage deal flow.

Technical Review 60

Technical Review Private Equity Management Cap Table 60

David Teten

SEPTEMBER 6, 2018

Just as with any company, the most important issue is the team; see “ How to Negotiate a Partner Role at a Venture Capital or Private Equity Firm “ . See my summary on how lead investors think about building out their syndicate. . Another critical design consideration is your tech stack. 5) Manage deal flow.

Technical Review 60

Technical Review Private Equity Management Cap Table 60

David Teten

DECEMBER 3, 2019

But in business, you want a lot of partners. In the private equity universe, most Partners have primary training as deal-makers, not as managers. See Bessemer Venture Partners’ A comprehensive guide to security for startups. Cobalt for General Partners helps GPs to optimize their fundraising strategy. 1) Manage the firm

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Both Sides of the Table

FEBRUARY 25, 2010

We were trying to optimize around a few criteria: price, size of round, number of syndicate partners and, of course, terms. million at a $15 million pre-money valuation. Morgan Stanley had proposed a higher valuation to let them in. You need your key negotiating partner and both sets of lawyers. Goldman said NFW.

Technical Review 301

Technical Review Term Sheet Due Diligence Venture Capital 301

David Teten

JANUARY 19, 2021

(co-written with Jamie Finney, Founding Partner at Greater Colorado Venture Fund. Similar to the explosion of seed funds in the past decade, we (and some limited partners too ) believe these Flexible VCs are on the forefront of what will become a major segment of the venture ecosystem. Yes, via conversion rights at a valuation cap.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Agile VC

APRIL 17, 2011

Post-money valuation probably no higher than $12M (2). Pre-money valuation was initially set higher but was adjusted to match the Ser B valuation. Pre-money valuation was approx. Pre-money valuation was approx. Led by Oak Investment Partners with participation by General Catalyst, Sequoia, & Accel and others.

Pre-Money Valuation 113

Pre-Money Valuation Liquidation Preference Dividend Common Stock 113

View from Seed

JUNE 10, 2020

But the emphasis of our program is the direct one-on-one interaction with NextView partners to help push the company forward. The partners at NextView hold sessions more than once per week to push the participants’ thinking and actions to strive towards making significant advances finding true-product market fit.

Cofounder 177

Cofounder Syndicate Syndication Alabama 177

Pascal's View

JULY 9, 2017

This is a fundamental issue that does, indeed, boil down to understanding the post-money valuation of a company. At its core, this issue points to the lack of understanding about the importance of post-money valuation by both entrepreneurs and investors. But it is also a topic that many find esoteric and difficult to grasp.

Post-Money Valuation 49

Post-Money Valuation Valuation Cap Table Covenant 49

Both Sides of the Table

NOVEMBER 8, 2010

They monetize via high-priced advertisements during the prime-time airing on TV, via syndication to international audiences or less-watched channels after the original series has run and via DVD sales in retail channels. Many reasons but a clue is that the studios have to honor “time windows&# for when the show runs.

Video 292

Video Technical Review Advertising Distribution 292

Agile VC

SEPTEMBER 15, 2011

The very strongest companies can still likely get out if they really wanted, but may not command the valuations they hoped for in more bullish times. My partner @ LeeHower looks back: [link] 5 days ago Search. The second tier of companies probably have to wait whether they like it or not. What’s Your Favorite Future? Previous Entries.

IPO 100

IPO Marketing Silicon Valley Private Equity 100

Genuine VC

MAY 29, 2014

Yet even today, whether or not to take a (relatively) small check in a seed round syndicate from a multi-hundred million or even billion dollar fund is still a decision which takes quite a bit of consideration and sometimes consternation. So there is an element of (positive) selection bias in the larger VC syndicate cohort companies.

Syndicate 166

Syndicate Syndication Seed Stage Valuation 166

Rob Go

APRIL 6, 2017

One question I know investors sometimes ask founders is “what are your valuation expectations for this round?” I’d also tell you that I expect a fair deal, but that I am also not trying to raise at the absolute highest price because I think bringing on the right partner is more important.”

Valuation 44

Valuation Syndicate Syndication Founder 44

thebarefootvc

MAY 8, 2012

If there is an opportunity to bring in a syndicate partner that will add exponential value, it would be foolish to not include them. It is the downturns and bumps that separate the dedicated, long-term investors from passive ones — and entrepreneurs should keep this in mind as they build out their syndicates.

Venture Capital 78

Venture Capital Syndicate Syndication Bandwidth 78

Gust

JULY 12, 2012

On Wednesday, April 18th, I gave a keynote speech on US Startup Valuation Trends for the 1st Irish Angel Meetup. It was organized by Diane Roberts of Xcell Partners and held at the StartupBaseCamp accelerator in Dublin. Two hundred angels, entrepreneurs and members of the startup community attended this inaugural event.

Community 121

Community Estonia Ireland Finland 121

David Teten

SEPTEMBER 23, 2017

PEVCTech is partnering with Blue Future Partners to run the first large-scale survey of VCs’ technology stack. Johann Kratzer of Blue Future Partners , a fund of funds, observed, “The majority of the hundreds of funds we’ve diligenced rely predominantly on their relationships to source deals. Greylock Partners.

Private Equity 60

Private Equity Venture Capital Equity Technical Review 60

View from Seed

APRIL 30, 2015

Use good judgment, talk to your co-founders/investors/lawyers, and partner with a bank that values transparency and relationships such as SVB.]. And it’s that important because all companies will go through good times and tough times, and we’ll want to make sure we’ve got the right partner on the other side.

Term Sheet 120

Term Sheet Equity Startup Seed Stage 120

Both Sides of the Table

APRIL 27, 2014

I told my friend that I felt that in 2014 too many new VCs feel the pressure to chase deals, to be a part of syndicates with other brand names and to pounce on top of every startup whose numbers are trending up quickly. The number of $200m, $300m, $500m, $1 billion valuations these days is just pure insanity in my mind. I don’t.

Cofounder 374

Cofounder Syndicate Syndication Early Stage 374

Genuine VC

JULY 30, 2012

By communicating pricing expectations with potential lead investors, I mean sharing either an “ask” or even stated floor for the pre-money valuation of the company (with a priced preferred round) or explicitly stating a valuation cap (for convertible note round).

Valuation 136

Valuation Pre-Money Valuation Angel Investor Syndicate 136

View from Seed

AUGUST 20, 2014

If the company is doing really well, the VC will have an incentive to try to do more of the next round at perhaps not the highest possible valuation. Definition: This is a case where two large VCs partner to take a significant portion of the round together, often leaving only a small piece for value added angels or seed investors.

Startup 301

Startup Syndicate Syndication Boston 301

Hunter Walker

NOVEMBER 30, 2022

While across fund cycles and an entire partnership these sorts of issues normalize out, I can tell you for sure the lead partner might be wishing they had that ‘slot’ back, especially if they are early in their career. It was only 4% of the fund” could be true but you might have been carrying it at a current valuation of 100x that.

Vertical 48

Vertical LP Syndicate Syndication 48

Feld Thoughts

AUGUST 10, 2010

My partner Seth Levine has a detailed post up today titled Trada – from the beginning that describes the creation and financing of Trada. In this case neither Niel (nor I) had any interest in creating a traditional syndicate to fund the company. Executing against that idea is another matter.

Syndicate 120

Syndicate Syndication Angel Financing Finance 120

Agile VC

FEBRUARY 28, 2012

2) You’re Entitled to Say No – Some entrepreneurs I’ve discussed this topic with feel compelled to speak with VCs, whether partners or junior staff, that reach out to them. This is sometimes a good path to getting the attention of partners in the firm if you don’t have other avenues. What’s Your Favorite Future?

Early Stage 100

Early Stage Syndicate Syndication Silicon Valley 100

Agile VC

MAY 21, 2012

There’s also a meaningful cohort of newly public companies that now have valuations of $1B+ who could seriously contemplate an acquisition of $100M+ for stock or cash… Yelp, Zillow, Tripadvisor, Jive Software, Splunk, and others. My partner @ LeeHower looks back: [link] 5 days ago Search. What’s Your Favorite Future?

Acquisition 162

Acquisition Silicon Valley B2B Seed Stage 162

www.paulgraham.com

APRIL 28, 2010

Another concept we need to introduce now is valuation. I say "in theory" because in early stageinvesting, valuations are voodoo. As a company gets more established,its valuation gets closer to an actual market value. As a company gets more established,its valuation gets closer to an actual market value. Better how?

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

Duct Tape Marketing

DECEMBER 14, 2017

Basically started as somebody of how do we take photos of cars and the pricing and descriptions of the cars, and put it all in one place, but then syndicate it. At what point did you feel like you outgrew your ability, you and your partners, I guess in this case, ability to actually run that company?

Kansas City 47

Kansas City CTO Hire Las Vegas Software Developers 47

Both Sides of the Table

AUGUST 1, 2010

Many (Union Square Ventures, Foundry Group, True Ventures, GRP Partners, Mike Hirshland at Polaris Ventures) do it the right way – we treat it as a normal investment and we don’t have a “options&# strategy with our investment. and (Is There Really a Signaling Problem with VC Seed Funding?). Short summary of my posts: 1.

Post-Money Valuation 298

Post-Money Valuation Term Sheet Warrant Partner 298

mashable.com

MARCH 7, 2011

Mashable | The Social Media Guide Viral Topics Twitter YouTube Facebook iPhone Google Video About Mashable Company About Us Advertise Submit News Contact Us Announcements Resources Guidebooks Lists How To Trending Twitter List Directory Mashable Awards Subscriptions Partners W3 EDGE Rackspace Concentric Sky Dynect DNS Intridea Welcome to Mashable!

Developer 93

Developer HTML API Ruby 93

Professor VC

MARCH 12, 2015

The above was the opening salvo of a controversial tweetstorm yesterday by my former student and 500 Startups founding partner, Dave McClure (full venom below). It was a great product addressing a large market opportunity and was interested in seeing how the AngelList syndicate process worked.

Syndicate 28

Syndicate Syndication Silicon Valley Common Stock 28

Rob Go

MARCH 10, 2012

Valuation Discipline. We have a pretty strong sense of what realistic valuation ranges are and aren’t for seed stage companies. This equates to 3-4 new investments per year per partner, which is the pace at which we think we can be very active with companies during their first few years of life.

Seed Stage 49

Seed Stage Syndicate Syndication Marketing 49

Pascal's View

NOVEMBER 1, 2008

 We had an engaging and candid conversation, which included fielding questions from audience members including  Laurie Yoler, Managing Director of GrowthPoint Technology Partners. We reviewed director legal responsibilities and fiduciary duties and noted some common board misalignments: 42in;text-indent:-.42in;text-align:left;direction:ltr;unicode-bidi:embed;

Vertical 28

Vertical Syndicate Syndication Forecast 28

David Teten

NOVEMBER 15, 2013

Each new investor tends to raise valuations and lower returns for all the other competitive investors. In the asset management industry, the norm is that the General Partner puts in 1-2% of the total assets under management. However, the asset management industry collectively plays a near-zero-sum game.

Management 114

Management Pre-Money Valuation Venture Capital New Hampshire 114

Agile VC

SEPTEMBER 27, 2011

Providence Equity invested $100M at a $1B valuation not because of their technology or product, but because the network owners contributed a lot of valuable content… or at least access to it for 2years. My partner @ LeeHower looks back: [link] 5 days ago Search. What’s Your Favorite Future? Previous Entries.

Silicon Valley 100

Silicon Valley Seed Stage Syndicate Syndication 100

Agile VC

JANUARY 27, 2012

Multi-billion dollar valuations for late stage startups like Dropbox, et al. How to Evaluate Firms for a Seed VC Syndicate 10 July 2012, 5:13 pm What A VC Orders for Breakfast Says 27 June 2012, 10:16 am To Leave or Not to Leave as Your Startup Grows 12 June 2012, 12:21 pm. My partner @ LeeHower looks back: [link] 5 days ago Search.

Hockey Stick 113

Hockey Stick Seed Stage Silicon Valley Syndicate 113

Cracking the Code

DECEMBER 9, 2006

Done deal: after a quick syndication with the kitchen team (their job was at stake, so they were easy to convince.), Philippe Botteri Accel Partners London, UK My Bio. Detailed SaaS Spreadsheet (Valuation and CAC benchmark). SaaS 13 Index Valuation. Bessemer Venture Partners Expands BVP VII Fund. Post a Comment.

Software Review 48

Software Review Technical Review Europe Venture Capital 48

View from Seed

JANUARY 28, 2016

On Wednesday, my partner David wrote about how we’ve been using our office space (and network and other resources) to support pre-seed companies. This is the best time to fundraise because that’s when you are able to command a meaningfully higher valuation for your next round to minimize your own dilution.

Cofounder 120

Cofounder Finance Founder Syndicate 120

Professor VC

JULY 25, 2013

Another area where I''m not sure I stand is with some of the more formal referral and syndication programs that are emerging now. AngelList (which I remain a big fan) also recently launched a syndicate program. In this program, an angel can ask the entrepreneur for an allocation of the round and then syndicate through AngelList.

Term Sheet 46

Term Sheet Silicon Valley Syndicate Syndication 46

Babbling VC

JANUARY 7, 2011

Valuations were also therefore lower and I believe you could extrapolate that exit valuations too were lower. Exits with "homerun valuations" such as Skype, MySql, Bebo and so forth are far more outliers in the EU than they ever would be in the US. . Further, VC's will have to simply learn to syndicate more and work together.

Finance 76

Finance LP Europe Valuation 76