Remove Retention Remove Revenue Remove Stock Options
article thumbnail

Should Startups Care About Profitability?

Both Sides of the Table

It was a stock option incentive related “expense” but I bet you didn’t know that because in an era where we only read the headlines — they must be a train wreck losing billions. Revenue When I look at an income statement I start by focusing on the revenue line. You need to understand the “quality” of the revenue.

article thumbnail

2011 May be the Year of the IPO for Social Media

Startup Professionals Musings

He says that you should never consider a public offering unless you are confident that the company will deliver increasing profits and revenue after the offering, so that the public buyer can anticipate a gain. Of course, you’re going to have to perform well to make that stock useful in the acquisitions process.

IPO 223
Insiders

Sign Up for our Newsletter

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

Trending Sources

article thumbnail

Keep It Under Your Hat: Valuation Caps and the $650 Million Sale of MySpace for $125 Million

Gust

This discussion expands on my Quora answer to a specific question: “ Why were the stock options of MySpace employees worthless even though the company was sold to News Corporation for hundreds of millions? ” The complete story includes a startup-within-a-startup, investments and exits by two VC firms, and some genuine corporate drama.

article thumbnail

Facebook S-1: The Most Anticipated IPO in a Decade ? AGILEVC

Agile VC

How They Make Money : Facebook’s primary revenue stream is of course selling advertising on Facebook.com, which in total accounts for 85% of revenue. The next chunk comes from Facebook’s platform, in essence “taxing” the revenues of app developers like Zynga, which represents 15% of revenue.

IPO 100
article thumbnail

Transcript of The Only Move That Matters Is Your Next One

Duct Tape Marketing

Jenny Blake: I was there for five and a half years, and halfway into my time there … During that five years, the company grew from 6,000 to 36,000 employees, and one major issue became retention. The bottom line was we were sitting there now staring at 60% revenue loss or something overnight. Jenny Blake: Yeah, a few.