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Praying to the God of Valuation

Both Sides of the Table

I started my first company in 1999 and was admittedly swept up in all of this: Magazine covers, fancy conferences, artificial valuations and easy money. In those years I learned to properly build product, price products, sell products and serve customers. Between 2006–2008 I sold both companies that I had started and became a VC.

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What Does the Post Crash VC Market Look Like?

Both Sides of the Table

<== Our conclusion was that this isn’t a temporary blip that will swiftly trend-back up in a V-shaped recovery of valuations but rather represented a new normal on how the market will price these companies somewhat permanently. We’ll just wait until companies that last raised in 2019 or 2020 come to market.”

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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

But what IS the right amount of burn for a company? Burn rate in case you don’t know is the amount of money a company is either spending (gross) or losing (net) per month. (it Conversely if you’re burning $600,000 per month (yes, some companies do) then you only have 5 months of cash left. Gross Burn vs. Net Burn.

Startup 383
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Company Valuations

SoCal Tech Calendar

Friday, November 20, 2009 -- TechAmerica Senior Financial Executive Roundtable Breakfast Series. Company Valuations: What methods are VC'S, investment bankers, the IRS and others using to value companies in today's environment and what are the current trends in values? Don't miss our final financial roundtable series for 2009!

Company 100
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Good Times Ahead for VC-backed Tech Companies?

Both Sides of the Table

This morning we heard from Jamie Montgomery, CEO of the venerable Montgomery & Co investment bank who is at the heart of what is going on in M&A for venture backed companies. I have to admit that I was greatly encouraged by Jamie’s outlook for venture backed companies, which if true will be a welcome relief for our industry.

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Report: IPO Activity In Significant Slowdown

socalTECH

The report, from Ernst & Young, said that companies are likely exploring other options or waiting for confidence to return for their IPOs. billion in Q1 of 2016--the weakest first quarter of the year since 2009. The report noted concerns about a "global economic slowdown, falling oil prices and turbulent equity markets."

Activity 100
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2U Raises $120M In IPO

socalTECH

2U , an online education company which has significant operations in Los Angeles, has had a successful IPO on the NASDAQ Global Market, debuting Friday morning as TWOU. 2U was previously known as 2tor, and first raised funding back in 2009 , when Redpoint was a very active Los Angeles area investment firm. Redpoint Ventures owned 23.2

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