Understanding Changes in the Software & Venture Capital Industries

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In this three-part series I will explore the ways that the Venture Capital industry has changed over the past 5 years that I would argue are a direct result of changes in the software industry, not the other way around.

Want to Know How First Round Capital was Started?

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If you read this blog often you'll know that I'm a huge fan of First Round Capital. One example is that they introduced a program where their founders can pool together shares from their company and exchange them for a small portfolio of other First Round Capital companies.

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Kairos Venture Partners Raises $74.6M In New Fund


Beverly Hills-based Kairos Venture Partners , a venture capital investment firm that specifically focuses on commercialization of scientific discoveries, has raised $74.6M The firm's founder and Managing Partner is Jim Demetriades, an entrepreneur who founded SeeBeyond, took public, and which he sold to Sun Microsystems in 2005. kairos venture partners capital finance technology scientific discovery

Connexity Gets $2M In Credit Line


Connexity said the line will go towards additional working capital, to accelerate its growth. Gross was the co-founder of Fastclick, which he took IPO in 2005, and was eventually sold to ValueClick. connexity venture capital internet advertising targeting fastclickVentura-based Connexity , a developer of Internet advertising and targeting technology, announced today that it has secured $2M in a debt financing. The financing came from Silicon Valley Bank.

This Week in VC with Mo Koyfman of Spark Capital

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We had a special edition of This Week in Venture Capital this week shooting out of the Next New Networks offices in New York. Our guest was Mo Koyfman of Spark Capital. The Spark Capital website (it’s one of my favorites). Tags: This Week in Venture Capital

MindTouch Picks Up $12M For Customer Self Service Software


The funding came from PeakSpan Capital, along with SK Ventures and SAP SE. MindTouch, which was founded by Steve Bjorg and Aaron Fulkerson back in 2005, said the funding will go to increase its integration with software such as Salesforce, SAP, and Oracle, and grow its marketing, business development, sales, and engineering teams. mindtouch venture capital customer self service portal saas

Core Innovation Capital's Quest To Find Finance Innovation, With Arjan Schutte


Thanks to that activity, a new, venture investor has moved into town, Core Innovation Capital (www.corevc.com) , to specifically take advantage of those opportunities. However, although New York may be the financial capital of the world it is a little out in the weeds.

Report Tallies $7.7 Billion In SoCal IT Exits In 2011


Green Dot's backers included Sequoia Capital, Total Technology Ventures, and the Tech Coast Angels. The report also tallied six companies having IPOs, the most since 2005; those firms included RealD, Cornerstone OnDemand, Demand Media, ReachLocal and Inphi Corp. angeles california southern exit acquisition merger exits capital ventureA new report released today tallies up $7.7 billion in IT exits in 2011, the highest since 2000, for Southern California IT firms.

Interview Dan Dato and Bruce Brown, Upstart.LA


We're looking to launch our first class in the fall, with five to ten companies, with the TechStars model of a small capital investment, and a seed investment of $6000 per founder. That was five or six years ago, 2005 or so.

FastSpring Gets Funding From Pylon


FastSpring , the fast growing Santa Barbara-based e-commerce payment services provider headed by Dan Engel, said today it has scored a funding round from Pylon Capital, a Los Angeles-based investment firm. The investment is the first, outside investment in the company since it was founded in 2005. acquisition merger capital venture pylon fastspring

Study: $48 Billion In Value Created Over 15 Years In SoCal IT VC-Backed Firms


Among the highest acquisition values were MySpace ($580M in 2005), Shopzilla ($560M in 2005), Rent.com ($430M in 2004), Lowermybills ($330M in 2005) and Sandpiper Networks ($630M in 1999). IPO successes (as measured by the market capitalization at the close of the first day of trading) include Entropic ($500M IPO in 2007), Divx ($625M IPO in 2006), eToys ($7.8BM IPO in 1999) and Xylan ($2.3B

Ostendo Raising Funds to Advance Virtual Reality Display Technology


Ostendo Technologies, a Carlsbad, CA-based company founded in 2005 to advance curved screens and other innovative display technologies, has raised $41.8 Adding to the confusion, the most-recent MoneyTree Report on San Diego venture capital activity shows that Ostendo raised almost $10 million in VC funding during the second quarter. million of a new financing round intended to bring in $62.8 million, according to a recent regulatory filing.

Surveying SoCal's M&A Landscape, with David Siemer


If you go back to 2005 and 2006 and look at a company which would have a $5M pre- then, it''s now $8 to $10M, all else equal. acquisition merger exits interview capital venture banking investment siemer david

Success, Santa Barbara Style: Patagonian Sexwax With A Side Order of UGGS


According to Wardog, “We registered the domain www.standuppaddlesurfing.com on October 21, 2005, before the sport was even referred to as ‘standup paddle surfing.’” A version of this article previously appeared in Forbes.

SoCal VC's Scarce On Top VC List


This week's release of a list of their "Top 100" venture capitalists by AlwaysOn -- based roughly on number and dollar amount of successful M&A and IPO deals between October 1, 2005 to September 30, 2009--seems to have skipped local Southern California venture capitalists, with only one Southern California VCs listed. Tags: southern california venture capital alwayson

Want to know why charging $12 / year converts higher than $9.99?

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In 2005 they realized that this business was going to evaporate over night with the introduction of YouTube. Startup Advice This Week in Venture Capital

How Liferay Grew To More Than $100M After Starting In A Church Basement


And, even more impressively, it's now seeing more than $100M in annual revenues--without ever having taken any institutional or venture capital. We spoke with CEO Bryan Cheung to learn more about LifeRay, and how it grew from a church basement and open source to $100M+ in revenues, without ever taking outside capital.

A Serial Entrepreneur’s Take On Brad Feld & Jason Mendelson’s Venture Deals


As the authors make clear in the book’s preface, their goal is to create a “definitive guide to venture capital deals” and “demystify the venture capital financing process.”

Morphlabs Raises $5M


Damarillo is known for founding GlueCode, which he sold to IBM in 2005, Logicblaze, which he sold to Iona Technologies in 2007, and for founding Webtide, which was sold to Intalio in 2009. morphlabs venture capital cloud computing applianceManhattan Beach-based Morphlabs , the developer of cloud computing products headed by Winston Damarillo, announced this morning that it has raised $5M in a Series C funding round.

What Jonah @Peretti, CEO of BuzzFeed, Sees in the Future of Digital Media

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there’s a great story from Jonah in the video but you have to watch to hear it :)) But it’s undeniable that it has become a digital media powerhouse having raised around $500 million in capital with a valuation reported at $1.7 BuzzFeed.

Move Redeems Stock For Elevation


Move said the moves are part of a plan to "streamline" its capital structure. Elevation Partners took its initial stake in Move Networks in November of 2005. Move, Inc. , the operator of real estate sites Move.com and Realtor.com, said Thursday that it has reached an agreement to redeem $70M in Series B preferred stock owned by Elevation Partners.

TZ Presents 2013 Startup Forecast

Tech Zulu Event

Prior to founding MuckerLab, Erik was most recently at Harrison Metal Capital where he helped lead one of the most successful seed-stage venture capital firms in Silicon Valley.

After 20 years: Updating the Berkus Method of valuation


In 2005, Alan McCann created a graphic representation of the Method: Note that Allan changed the title of the risks from technology-execution-market-production to investment-marketing-execution-development. Well, it had to happen.

Why Google Fiber? Moat-widening Endeavor & Future of Computing.

Tech Zulu Event

The first half of the value chain is far more capital-intensive, so they weren’t able to move into those layers until the company grew and matured. In twenty years, Fiber will be one of Google’s most valuable assets. Fiber is a genius long-term strategic play.

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How to Decrease the Odds That Your Startup Fails

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Marketing with long payback is precisely what requires venture capital. We tested a simpler version of our product in the market first to prove product/market fit before raising a ton of capital, we build software to handle the complexity of the “mundane things” like driver routing, logistics tracking, warehouse management, photo processing, etc and we expanded our offering to test whether we could convert at better rates with an expanded offering.

SEO 115

One Book Every Entrepreneur and VC Should Own

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When I first started as a startup CEO in 1999 there were no guides on raising venture capital. I was significantly wiser by 2005 when I started my second company. This article originally ran on TechCrunch.

Guide 65

Eleven Startup Tips From Richard Branson


He used this term so often that it eventually became the title of his 2005 book on business advice. Virgin executives describe the company as a “branded venture capital company.” Note: This is an installment in the Iconic Advice series.

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Brad Feld Drops Knowledge. Here’s What He Said …

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In 2004 / 2005 I was starting to get intrigued with user-generated content. Yeah, that was when I changed for me…” “…there was so much positive feedback on demystifying this one element of venture capital. Brad’s start in Venture Capital.

Here are More Signs that LA Tech is Moving to the Next Level

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This was 2005 when I had no exits under my belt, no blogs … nobody was looking. At GRP Partners we’re all in on Los Angeles having written about $35 million in early-stage venture capital investments in this market alone in the past six months. I wrote a blog post on how to work with lawyers at a startup nearly two-and-a-half years ago. It was very widely read. If you don’t have much experience in working with law firms at a startup it’s a good primer.

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Veteran LA law firm opens a Silicon Beach office and launches a pro-bono “Precelerator”

SoCal Delicious

billion in 2005, and also currently represents Rdio, Beats Electronics, Riot Games, Ad.ly, Redpoint Ventures, and several other prominent private and publicly traded clients. Follow PandoDaily: Search. Main menu. Skip to primary content. Skip to secondary content. Deals. People. Products.

Seth Sternberg – Meebo

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He grew up in Connecticut attended Yale undergrad and worked for IBM after graduation doing M&A, strategy and venture capital. Tell us about your Series A round and your relationship with Sequoia Capital’s Roelof Botha. Startup Advice This Week in Venture Capital

Former LA VC Gets Backing For Enterprise Alerting, Micro Apps Startup


ElNaggar was in Redpoint's LA offices from 2005 until 2011, and had stints on the boards of Machinima and Hark, among other companies. redpoint elnaggar fouad capital venture employees software alerts enterprise saphoFouad ElNaggar , a former venture capitalist who had been responsible for the Los Angeles office of Redpoint Ventures, has scored funding for a new startup, Sapho. According to Sapho, it has raised $9.5M in a Series A funding, which was led by Alsop Louie Partners.

Vizio and the Story of the Sleeping Giant

Tech Zulu Event

I am currently at the annual VC in the OC program held in Irvine CA by OCTANe , an organization that connects people and ideas to resources and capital in Orange County. In 2003, Vizio launched in Costco and then in Sams Club in 2005. Over 600 people came to this event to listen share and network, including entrepreneurs, VC’s and investors. The keynote speech was delivered by Vizio CEO William Wong and VP & Co-Founder Ken Lowe.