Berkonomics

AUGUST 3, 2023

The subject of raising money is critical to many businesses and a passing option to others, depending upon the capital efficiency of the enterprise. You will realize much more from the ultimate sale of your business even if at a considerably lower price than if splitting the proceeds with investors.

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Venture Capital Startup Class Invest 295

Berkonomics

JANUARY 28, 2021

I can’t tell you how many times I’ve walked away from deals where the entrepreneur insists on a start-up pre-money valuation that is so high, no angel could expect to make a return upon the investment, even with a reasonable sales price for the company down the road. And here’s the “why.”. The post Don’t get hung up on early stage valuation.

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Outsource Development Startup Outsource Venture Capital 156

Berkonomics

AUGUST 21, 2013

Growing companies usually require more working capital during their periods of rapid growth. In past insights we have calculated the amount of additional capital needed for a business as it grows, and the additional capital required is often surprisingly large. And yet, such a loan does rise and fall with need.

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Capital .Net Equity Pricing 153

Both Sides of the Table

MAY 30, 2018

VC firms see thousands of deals and have a refined sense of how the market is valuing deals because they get price signals across all of these deals. 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.

Venture Capital 324

Venture Capital Pricing Startup Invest 324

Berkonomics

FEBRUARY 23, 2023

Email readers, continue here…] Think of major companies, public and private, that have lost their shiny appeal over time, including Zinga, LivingSocial and Fisker in this generation – and Alta Vista in the last. Not so long ago, Basil Peters wrote his book, “Early Exits,” after analyzing 150 young companies and their exits.

Pricing 156

Pricing Invest Equity Entrepreneur 156

Both Sides of the Table

JUNE 28, 2011

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. So it’s unsurprising that typical “A rounds&# of venture capital were $5-10 million.

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Venture Capital Software Capital Startup 334

Berkonomics

FEBRUARY 16, 2023

Addressing company culture with negative actions [Email readers, continue here…] The culture of a company is created from the sum of many parts, most all coming from the top.

Entertainment 156

Entertainment Email Entrepreneur Pricing 156

socalTECH

NOVEMBER 15, 2017

SendGrid , the email infrastructure and back-end services provider which has offices and was founded in Orange County, had its IPO debut this morning, and began trading on the New York Stock Exchange today as SEND. The company priced its IPO at $16.00 per share last night, above its initial estimated IPO range of $13.50 READ MORE>>.

Orange County 113

Orange County Email Pricing Capital 113

Both Sides of the Table

APRIL 14, 2010

If you want to raise venture capital more easily the advice could be quite practical and counter-intuitive. Many companies that are raising B or C venture capital rounds right now raised their initial money in 2005-2008. That means that they likely raised money at a particularly high price relative to 2010 prices.

Venture Capital 289

Venture Capital Capital Startup Pricing 289

Berkonomics

NOVEMBER 11, 2021

Many, many companies accepting venture capital lost it all following this instruction. The cost of each exercise was dramatic, far beyond what a founder-entrepreneur would order to be spent when using their capital or reinvesting cash flow from operations. But beware. VCs have a goal of creating extraordinary value for their investors.

Venture Capital 156

Venture Capital Social Media Invest Marketing 156

Berkonomics

JULY 16, 2020

Growing companies usually require more working capital during their periods of rapid growth. In past insights we have calculated the amount of additional capital needed for a business as it grows, and the additional capital required is often surprisingly large. It may not be equity. How about asset-based lenders?

Company 156

Company Companies .Net Equity 156

SoCal CTO

MARCH 1, 2010

My experiments in lean pricing - Venture Hacks , February 16, 2010 Ash Maurya, a lean entrepreneur who runs a bootstrapped startup called CloudFire, discusses pricing issues for first versions (Minimum Viable Product – MVP). It’s a weekly email we send to AngelList, with 3 high-quality startups who want intros.

Pricing 150

Pricing Acquisition Customer Custom 150

Berkonomics

NOVEMBER 18, 2021

You’ve figured out your channels of distribution, pricing model and how to support your growing list of customers. Email readers, continue here…] And the third predictable crisis is…. So, your business has begun to take off. Don’t be alarmed by this next statement. That’s relatively easy. quality control. Guess what?

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Class Customer Custom Email 156

Berkonomics

JUNE 5, 2014

Yet, at the pre-revenue stage of development, angel investors price both companies at a pre-money valuation of $1.5 But, the working capital and management team necessary to grow a company quickly to sufficient revenues to justify a $200 million valuation will require raising lots more capital. Email readers, continue here.]

Startup 232

Startup Pricing Invest Email 232

Both Sides of the Table

APRIL 28, 2010

Blippy (and their competitor Swipely – which was founded by Angus Davis , who has a great track record from both Netscape and TellMe, both aim to capitalize on the era of consumers living more openly ala Twitter, Foursquare and Gowalla. Investors: August Capital (David Hornik) (lead) with existing investors Charles River Ventures.

Venture Capital 270

Venture Capital Capital Rustic Canyon Mobile 270

Berkonomics

MARCH 28, 2019

Some businesses just can’t fit within the angel capital or friends and family model for raising funds. Sooner or later you may need to seek venture capital and accommodate the needs of the venture community in negotiating the terms of an investment. What VC’s can and cannot do. And what VC’s worry about.

Invest 120

Invest Venture Capital Pricing Class 120

Berkonomics

JULY 10, 2014

I can’t tell you how many times I’ve walked away from deals where the entrepreneur insists on a start-up premoney valuation that is so high, no angel could expect to make a return upon the investment, even with a reasonable sales price for the company down the road. Email readers, continue here.] Starting up Raising money'

Startup 179

Startup Outsource Development Outsource Venture Capital 179

Berkonomics

SEPTEMBER 28, 2017

Here is the warning: The execution of partnership equity allocations and of a good incentive program using equity is often mismanaged, damaging the corporate capitalization structure and even affecting the outcome of subsequent investment into the company. How about the price per share? How many options are appropriate for a grant?

Equity 256

Equity Class Pricing Sales 256

Berkonomics

OCTOBER 5, 2023

Time and fixed overhead: [Email readers, continue here…] That relationship between fixed overhead and production time is as critical as any other factor in the success of a young company. And professional investors often penalize the company with lower-priced down rounds or expensive loans as a result.

Venture Capital 296

Venture Capital Product Marketing Resource 296

InfoChachkie

MAY 22, 2012

The steps outlined below represent an ideal approach to raising capital from sophisticated investors. Step 4: Reconnaissance Mission, Under Promise – An effective technique for acquiring investment capital is to initially not ask for money. Unfortunately, your fundraising efforts will be less linear. Stay Limber.

Venture Capital 236

Venture Capital Capital Research Customer 236

TechCrunch LA

JULY 9, 2019

There is an increasingly advantageous global marketplace available with highly trained practitioners offering quality healthcare solutions at affordable prices and, although medical and dental tourism is a safe and cost-efficient solution, the current market is extremely fragmented and challenging to navigate.

Customer 225

Customer Custom Training Los Angeles 225

Berkonomics

FEBRUARY 3, 2022

There are clauses in preferred stock investment agreements allowing the investor in many cases to “put” the shares back to you at the purchase price plus dividends or more after a period, usually five years, if no effort is made to find a buyer or begin the IPO process. The advantage of creating an evergreen company.

Equity 156

Equity Course Sales Invest 156

TechCrunch LA

JULY 19, 2022

The process for retailers and brands to liquidate excess inventory hasn’t changed very much, if at all, and while some retailers were able to build operational infrastructure to service the off-price channels, it continues to be a constant pain point. Syrup Tech bags $6.3M to develop some sweet inventory-planning software.

Product 191

Product Funding Technical Review Equity 191

TechCrunch LA

AUGUST 5, 2022

My company Putta Crown On It has the opportunity to have a place to do classes, promotional shoots and more,” Sykes told TechCrunch via email. By moving away from the “influencer house” model, Collab Crew can also expand to include more BIPOC creators and entrepreneurs in the Georgia capital.

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Platform Social Media Netflix Content 210

Berkonomics

JUNE 8, 2017

The subject of raising money is critical to many businesses and a passing option to others, depending upon the capital efficiency of the enterprise. Email readers, continue here…] Bootstrapping: This term describes your ability to start a business with little investment and grow it using internally-generated funds.

Venture Capital 266

Venture Capital Class Invest Equity 266

Both Sides of the Table

JANUARY 14, 2014

If you follow the tech media you would be subject to a lot of narrative biases that are completely off base – and this includes the value of email and phone calls. I’m sure you’ve heard the meme that “email is dead” – if fact if you Google it you’ll find a long list of articles that will mislead you.

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Email SaaS Venture Capital Google 339

Berkonomics

MARCH 5, 2020

Email readers, continue here…] A great idea often fails from the inexperience or inability of management to bring the idea to market. A third demonstration of overcoming market risk is by holding controlled focus groups and gathering information from unbiased potential customers supporting the acceptance of the product or service.

Outsource Development 156

Outsource Development Ideas Resource Patents 156

Both Sides of the Table

OCTOBER 18, 2015

There is a lot of uncertainty about the state of the private, high-growth technology markets and the venture capital markets that underpin them. Technology riches yield bumper crops in venture capital with new firms and new largesses – the rewards of LPs rediscovering our asset class. Are LPs to blame? ” ring hollow.

Venture Capital 150

Venture Capital Pricing Platform Marketing 150

socalTECH

JANUARY 30, 2013

The firm said its new, business focused service, YouMail - Business Edition will offer up such services as smart business greetings, an enhanced mailbox for voicemails, voicmail-to-email forwarding, along with other business-focused features, all free of advertising. launch price. The new premium service costs $6.99

Tech Coast Angels 170

Tech Coast Angels Services Advertising Email 170

Berkonomics

APRIL 6, 2012

Some businesses just can’t fit within the angel capital or friends and family model for raising funds. Sooner or later these businesses will have to seek venture capital and accommodate the needs of the venture community in negotiating the terms of an investment. Email readers, continue here.]

Venture Capital 198

Venture Capital Invest Pricing Class 198

Berkonomics

FEBRUARY 7, 2019

Email readers, continue here…] Over the years, I have been delegated by more than several entrepreneurs and boards to negotiate critical agreements, sometimes to sell the company or merge it with another. Removing the emotion from a negotiation. A story of a big win-win. And a successful outcome.

Pricing 120

Pricing Sales Tool Entrepreneur 120

Berkonomics

FEBRUARY 7, 2019

Email readers, continue here…] Over the years, I have been delegated by more than several entrepreneurs and boards to negotiate critical agreements, sometimes to sell the company or merge it with another. Removing the emotion from a negotiation. A story of a big win-win. And a successful outcome.

Pricing 120

Pricing Sales Tool Entrepreneur 120

Berkonomics

FEBRUARY 9, 2017

Email readers, continue here…] For young companies, often the question is whether to suffer a new round of dilution to stimulate growth, or to sell earlier and not share the (presumably) increased proceeds with additional investors.

Pricing 120

Pricing Invest Email Competition 120

Both Sides of the Table

APRIL 27, 2014

I was having dinner with a friend last night and we were chatting about venture capital and a bit about what I’ve learned. Today we’re in a world where 10 accelerators are bombarding you with emails to meet their 10-15 companies. If your favorite angel investor is sending you what looks like a form email it likely is.

Venture Capital 374

Venture Capital Invest Press Startup 374

Berkonomics

APRIL 17, 2014

Simply stated crowd funding or crowdfunding is the raising of capital in small amounts, from a broad base of investors. The object behind crowdfunding is to open up more opportunities for capital to flow into businesses to help them grow and create new jobs. Share price and methodology for determining the price.

.Net 209

.Net Pricing Ideas Invest 209

Xconomy

JANUARY 4, 2019

Topics ranged from the worries over CRISPR genome editing and Wild West biohacking, to Nobel Prize-fueled drug approvals and the headaches around drug prices (even for drugs meant to cure headaches). You can help with that by sending us frequent feedback via email (first initial-last name-at-xconomy.com) and Twitter.

Pricing 69

Pricing Email Networking Silver Lake 69

Both Sides of the Table

MAY 28, 2018

Are you raising an appropriate amount of capital relative to your progress, relative to your team size and relative to your needs? VCs want you to raise the “appropriate” amount of capital, which I would define as what is reasonable given your progress to date, your resources and your needs for an 18–24 month period. Cash In Cash in.

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Venture Capital Capital Funding Demand 247