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Demand Media Nets $77.2M From IPO

socalTECH

Santa Monica-based Demand Media said this morning that it received approximately $77.2M in net proceeds from the firm's IPO last week. Demand's IPO offering was for 10,235,000 shares of common stock at $17.00 READ MORE>>.

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Sundae snags $36M to build out its distressed property marketplace

TechCrunch LA

The funding is being led by QED Investors; Founders Fund, Susa Ventures, Navitas Capital, and Prudence Holdings also participated. That also speaks to the vast and interesting quantity of data that the startup is amassing on home sales, and how it can use that to power its platform in the future. million Series A also led by QED.

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Is Venture Capital A Path To Riches?

InfoChachkie

Note: 20% carry is fairly standard, although a handful of firms demand a slightly higher percentage. Thus, it’s entirely appropriate that founders net substantially more than the VC partners associated with their company. Currently, carry proceeds are taxed at the long-term capital gains rate of 20%. Share and Enjoy.

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GrubMarket raises $60M as food delivery stays center stage

TechCrunch LA

The funding is coming from funds and accounts managed by BlackRock, Reimagined Ventures, Trinity Capital Investment, Celtic House Venture Partners, Marubeni Ventures, Sixty Degree Capital, Mojo Partners alongside with previous investors GGV Capital, WI Harper Group, Digital Garage, CentreGold Capital , Scrum Ventures, and other unnamed participants.

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United Dwelling is one startup building something to solve California’s housing crisis

TechCrunch LA

based company makes money on the sale of the house, managing the rental and connecting homeowners to a lender that will give them money to acquire the rental property. When you can match that latent supply with latent demand. What Steven has done in unlock that supply and demand i n a way that’s economically compelling.”

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Should Startups Care About Profitability?

Both Sides of the Table

The most obvious way to explain this is with sales people. If you hire 6 senior sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business 6 months. COGS” represents the amount that each sale costs you.

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Should Startups Focus on Profitability or Not?

Both Sides of the Table

The most obvious way to explain this is with sales people. If you hire 6 sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business for 4-6 months. “COGS” represents the amount that each sale costs you.

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