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How to Talk About Valuation When a VC Asks

Both Sides of the Table

One of the hardest things about the fund-raising process for entrepreneurs is that you’re trying to raise money from people who have “asymmetric information.” As an entrepreneur it can feel as intimidating as going to buy a car where the dealer knows the price of every make & model of a car and you’re guessing at how much to pay.

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Should Startups Care About Profitability?

Both Sides of the Table

They actually lost about $175 million in cash in that quarter, FWIW. I know this seems obvious but I promise you that even smart people forget this when talking about profitability. I often ask entrepreneurs to consider, “What’s your objective? They raised $5 million in venture capital to fund growth.

Startup 227
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Nothing negative about Positive Food’s meal expansion plan after $7M investment

TechCrunch LA

In January 2020, the company was in discussions with Whole Foods about launching a pilot of its meals in a few stores. He and Chan had to make some tough decisions, including streamlining a lot of the business and costs, and unfortunately letting staff go. However, there was a silver lining for Positive Food.

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All The Questions You Wanted Answered about Bird Scooters and Their Recent $300 Million Funding

Both Sides of the Table

My friend Michael Broukhim, founder & co-CEO of FabFitFun and I recently had a catch-up meeting for 3-miles on the Santa Monica “Bird Trail” No company has ever elicited so many questions by friends, colleagues, entrepreneurs, fellow VCs and journalists as has Bird, the company that pioneered the electronic scooter as a service market.

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Startups have about $1 trillion worth of reasons to love the Biden infrastructure plan

TechCrunch LA

The sweeping infrastructure package put forward today by President Joe Biden comes with a price tag of roughly $2 trillion (and hefty tax hikes) but gives startups and the broader tech industry about $1 trillion worth of reasons to support it. What excites me about this space is that there’s so much low-hanging fruit.

Startup 229
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The Loneliness of Success that Nobody Talks About

Both Sides of the Table

Yesterday I saw two biopic films: “ Amy ” about the life of Jazz sensation Amy Winehouse who died of alcohol poisoning at the age of 27 and “ Montage of Heck ” about the life of Kurt Cobain , the grunge-rock generational voice who died of an overdose of heroin and valium at the age of … 27.

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On-Demand Startups Are Completely Changing the Industry

Tech.Co

The successor to social media, at least in terms of cultural significance, are the on-demand apps that have us reaching for our phones not just to message friends, but to make transactions. On-demand companies broke into the national consciousness as much as a cultural phenomenon as a commercial one.

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