Both Sides of the Table

SEPTEMBER 15, 2022

What You Can Learn From Public Markets It doesn’t really take a genius to realize that what happens in the public markets will filter back to the private markets because the ultimate exit of these companies is either an IPO or an acquisition (often by a public company whose valuation is fixed daily by the market).

Venture Capital 416

Venture Capital Marketing Technical Review Seed Funding 416

Startup Professionals Musings

MARCH 22, 2021

This strategy is called “organic growth,” yet it alone may yield only a fraction of the potential you could achieve, unless you add the additional strategies of partnerships and M&A (mergers and acquisitions). Actively pursue mergers and acquisitions. Overreliance on acquisitions drains resources and de-motivates internal teams.

Organization 132

Organization CTO Hire Outsource Development Startup 132

Both Sides of the Table

SEPTEMBER 1, 2016

Rolf Winkler wrote a piece in the WSJ about A16Z’s returns in which he says they “lag behind Sequoia, Benchmark and Founders Fund.” Scott Kupor of A16Z responded with a comprehensive overview of valuation methodology in a post that while accurate feels more targeted at sophisticated Limited Partners (LPs) who invest in funds.

Venture Capital 264

Venture Capital Invest Funding Competition 264

Both Sides of the Table

JUNE 28, 2018

You can expect some strong competition, but it’s unlikely that there will be 5 great scooter companies. This is why so many great LA funds like Upfront, Greycroft and B Capital Global have all backed Bird. One huge advantage the early-movers have is “density.” Bird is the natural evolution in billion-dollar++ outcomes in LA.

Santa Monica 256

Santa Monica Funding Startup Course 256

Startup Professionals Musings

FEBRUARY 15, 2021

In many cases, the products from competitive companies are complementary, or many customers are natural candidates for both. With the proper contracts, it’s quicker and simpler to extend your product line with coopetition, rather than funding new development. They also manage internal venture funds that may be your growth lifeline.

Startup 173

Startup Outsource Development Examples Customer 173

SoCal CTO

NOVEMBER 19, 2012

You should consider: Audience Product Strategy Business Model Competitive Set You probably can't talk to someone at a direct competitor (although ex employees may work), but it is generally easy to find parallel businesses. My suggestion would be to not necessarily target Groupon itself, but more of the competitors and acquisitions.

Startup 301

Startup Examples Acquisition Ideas 301

TechCrunch LA

MARCH 8, 2019

Warren’s plan called for regulators to be appointed to oversee the unwinding of several acquisitions that were critical to the development of the core technology that make Alphabet’s Google and the social media giant Facebook so profitable… and Zappos. — Balaji S. ”

Technical Review 144

Technical Review Startup Chief Technology Officer Social Media 144

socalTECH

JANUARY 5, 2011

FamilyFinds said the acquisition gives it a head start in Chicago. The firm faces formidable competition in Chicago, which is the home of daily deals phenomenon Groupon. Mamaloot was started by two mothers, Bo Johnson and Lindsay Cohen, who met while working at Orbitz. READ MORE>>.

Sites 174

Sites Competition Acquisition Los Angeles 174

socalTECH

DECEMBER 23, 2019

We have invested in 13 companies out of our Fund 1 so far and are more bullish than ever on the amazing entrepreneurs we are meeting and the companies we are helping them build. We also had our first exit for Moonshots Capital Fund 1 --Threatcare. At the same time, more capital continues to be raised in LA. Since 2010, $6.3B

Capital 100

Capital Technical Review Truecar Venture Capital 100

Startup Professionals Musings

JUNE 21, 2020

Startup productivity is embodied in key ratios, including low cost of customer acquisition, high retention, and high revenue per employee. Understanding competitive early mover requirements. Unfortunately, the Internet and heavily funded startups have nurtured a customer expectation of free web services and free smartphone apps.

Organization 173

Organization Invest Customer Custom 173

Startup Professionals Musings

MARCH 25, 2023

Startup productivity is embodied in key ratios, including low cost of customer acquisition, high retention, and high revenue per employee. Understanding competitive early mover requirements. Unfortunately, the Internet and heavily funded startups have nurtured a customer expectation of free web services and free smartphone apps.

Organization 94

Organization Invest Customer Custom 94

Startup Professionals Musings

AUGUST 13, 2022

For example, if you are working on a great social networking idea to replace Facebook, and need funding, you probably won’t find any interested and focused VCs or angel investors in Arizona, where I live. Exposure instills the fear and urgency you need to deliver the right competitive solution. Exposure is another key ingredient.

Technical Review 123

Technical Review Oracle Software Review Ideas 123

Startup Professionals Musings

MARCH 15, 2023

Others with the right confidence and personality were able to garner funding, despite a weak business plan. Investors want to hear a quantified problem, a simple solution description, opportunity size, competition, traction, team qualifications, how much money you need, and what equity you are willing to give.

Entrepreneur 111

Entrepreneur Sample Ideas Customer 111

Startup Professionals Musings

JANUARY 11, 2020

Use outside investment and acquisition to expand your scope. Even if your business success so far has been based on bootstrapping, it may be time to look to institutional investors to help you with acquisitions and new initiative funding. What worked for you yesterday probably won’t keep you alive and competitive tomorrow.

Customer 143

Customer Custom Examples IBM 143

Tech.Co

APRIL 24, 2018

Over the past decade, startups that have been part of the Startup of the Year programs have made new partnerships, grown into household names, and collectively raised billions of dollars in funding. Many have exited via successful acquisitions, while others have IPO’ed with the same impressive result. A Strong Alumni Network.

Startup 70

Startup Competition Google Capital 70

InfoChachkie

JULY 28, 2015

Although this is a somewhat unusual real estate transaction, it reflects a surprisingly common scenario in the business world of mergers and acquisitions, with one important distinction. There is a well-worn adage in the world of mergers and acquisitions that, “companies are not sold, they are bought.” VC Funding Alternative.

Company 100

Company Companies Santa Barbara Pricing 100

Tech Zulu Event

JULY 24, 2014

Maybe a major company with deep pockets has embarked on a product line extension and is set to launch a product in direct competition with yours, or maybe, as with online gaming a few years back, the government decided to ban or sharply restrict your industry’s activities. 2) Your investors are getting nervous.

Startup 98

Startup Competition Examples Customer 98

Startup Professionals Musings

OCTOBER 6, 2023

A smart investor will take an independent final reading in the market on barriers to entry, active competition, demographics, and price sensitivity. Sales and distribution channel activity will be analyzed, as well as cost of customer acquisition, to make an independent assessment of your financial projections.

Technical Review 118

Technical Review Startup Satisfaction Invest 118

Startup Professionals Musings

MARCH 3, 2021

For example, if you have ever watched the Shark Tank show on TV, they always ask about the cost of customer acquisition. I often hear about efforts that have been stalled for several years, pending more funding, economic change, or other priorities. Postulate competitive reactions and your responses.

Entrepreneur 162

Entrepreneur Social Media Examples Metrics 162

socalTECH

OCTOBER 25, 2012

Tracy tells us how she bootstrapped her business by renting out both her bedrooms and sleeping on the couch--funding the startup via Airbnb--and is now scaling out the business with a new round of venture capital. I didn't have any funding. I was a painter then, and I started selling all of my paintings to fund RecycledBride.

Startup 236

Startup Education Acquisition Funding 236

Startup Professionals Musings

JUNE 14, 2020

Others with the right confidence and personality were able to garner funding, despite a weak business plan. Investors want to hear a quantified problem, a simple solution description, opportunity size, competition, traction, team qualifications, how much money you need, and what equity you are willing to give.

Entrepreneur 127

Entrepreneur Sample Ideas Customer 127

Startup Professionals Musings

MARCH 8, 2021

Airlines, for example, have difficulty scaling up through mergers and acquisitions (M&As), but they can spin off their maintenance businesses and let the spin-off do the M&A in its own field. For all of you who all too quickly tie your business success or failure to funding, or the lack of it, think again. Marty Zwilling.

Company 125

Company Companies Startup Examples 125

Startup Professionals Musings

JUNE 26, 2015

Include your sustainable competitive advantage. Patents or other intellectual property are a real competitive advantage for a startup, but first to market and working harder are not sustainable. If you are not willing to set targets for yourself, don’t expect investors to commit their funds.

Summary 101

Summary Patents Technical Review Competition 101

TechCrunch LA

SEPTEMBER 7, 2021

In today’s highly competitive ad environment, both content and data are kings. We’ve worked with lots of startups at different points in the funnel, starting from the ground up and working with them through various rounds of funding, all the way through acquisitions, including two by unicorns. The key takeaway?

Commerce 211

Commerce Content Marketing Startup 211

SoCal CTO

FEBRUARY 25, 2009

Fantastic post by Christian Gammill - Startup Delta Force… From a competitive perspective (e.g. Now, given our current economic crisis and VC ‘challenges’, the barriers to funding have gone up significantly as well. How’s that for duality.

Startup 150

Startup SEM IP SEO 150

Xconomy

JUNE 3, 2016

But billions of dollars in acquisitions will be left by the side of the road. Merck also saw some expected fruits of its 2014 big-ticket acquisition of Cubist Pharmaceuticals wither away this week, as the Supreme Court wouldn’t reverse a decision that shaved years off the patent life of the top-selling antibiotic daptomyicin (Cubicin).

San Diego 62

San Diego Patents Acquisition News 62

Startup Professionals Musings

MAY 29, 2022

Last year was quite a year for IPOs, largely influenced by the significant rise in the number of special purpose acquisition companies (SPACs) who went public, despite almost uniformly negative returns. Public companies of any size must comply immediately with the full reporting requirements of the SEC.

Startup 98

Startup Report IBM IBM 98

Both Sides of the Table

APRIL 14, 2012

.” And because most startups have 12-18 months’ cash-on-hand at any point in time (usually less that 1 year, actually), the age old neurosis of whether to fund raise now or “wait and see what buyers might propose” comes up. Your $200 million “small acquisition” is a cool 60% of all of their cash.

Venture Capital 316

Venture Capital Pricing Social Network Acquisition 316

Both Sides of the Table

FEBRUARY 7, 2013

In the same year they won Business Insider’s Startup competition. RedBeacon went on to sell to HomeDepot in what was considered a very successful acquisition on all sides. But Ethan had left by the time of the acquisition. So I asked Ethan to build his product first and then we would fund. Nice sweep!

CTO Coach 359

CTO Coach Google CTO Hire Yammer 359

Startup Professionals Musings

DECEMBER 8, 2017

Opportunity segmentation and competitive environment. List key competitors and alternatives, highlighting your sustainable competitive advantages, such as patents and trademarks. Yet I continue to get funding requests that never mention any specific plans or costs to be associated with these elements.

Startup 65

Startup Writing Patents Competition 65

Startup Professionals Musings

NOVEMBER 9, 2019

For example, if you are working on a great social networking idea to replace Facebook, and need funding, you probably won’t find any interested and focused VCs or Angel investors in Arizona, where I live. Exposure instills the fear and urgency you need to deliver the right competitive solution. Exposure is another key ingredient.

Startup 97

Startup Technical Review Oracle Software Review 97

Startup Professionals Musings

FEBRUARY 13, 2016

This is also the place to first mention patents and any other differentiators that put you ahead of competition. Every new offering has competition and alternatives, so it’s not credible to claim no competitors. How big is the funding request, and how much equity will you give? Who are your competitors, and how do you win?

Invest 108

Invest Startup Slides Equity 108

Both Sides of the Table

OCTOBER 26, 2014

Yesterday I wrote a post about The Silent Benefits of PR in which I pointed out that most young companies I encounter don’t fully grasp the benefits of PR because they are less measurable than product milestones or customer acquisition analyses (like CAC/LTV). What do you do when you have finally raised seed funds?

Press 319

Press Startup Writing Training 319

Startup Professionals Musings

AUGUST 7, 2020

It’s your job as a leader to be the model high performer, quantify the team view with metrics, and expand awareness to the best outside competition and new tools. Distinguish growth opportunities from survival efforts, and make sure they are adequately funded, rewarded, and measured. Attract, train, and reward only the best leaders.

Technical Review 124

Technical Review Layoffs Social Media Metrics 124

TechEmpower

AUGUST 21, 2023

Keeping up with the competition: You’re a market leader in a fast-growing field. Due diligence prep: You’re coming up on a funding round or looking at a potential exit. It’s important to ensure that they’re on a strong footing as significant changes occur. Otherwise, the downstream technical debt created can be overwhelming.

Technical Review 260

Technical Review Development Team Review Software Review TechEmpower 260

Startup Professionals Musings

SEPTEMBER 1, 2012

This strategy is called “organic growth,” yet it alone may yield only a fraction of the potential you could achieve, unless you add the additional strategies of partnerships and M&A (mergers and acquisitions). Actively pursue mergers and acquisitions. Overreliance on acquisitions drains resources and de-motivates internal teams.

CTO Hire 91

CTO Hire Startup Outsource Development Resource 91

Xconomy

JULY 19, 2016

In 2015, Cybersecurity startups saw 332 funding deals with investments hitting the highest ever at $3.8 New funds have been raised dedicated to this segment. Symantec Forces the Industry to Stay Competitive. In an ideal world, and from the perspective of a venture investor, this would absolutely be the case.

Symantec 40

Symantec IBM IBM Acquisition 40