Both Sides of the Table

DECEMBER 27, 2011

The most obvious way to explain this is with sales people. If you hire 6 sales reps in January at $120,000 / year salary then you’ve taken on an extra $60,000 per month in costs yet these sales people might not close new business for 4-6 months. “COGS” represents the amount that each sale costs you.

Startup 418

Startup Venture Capital Sales Technical Review 418

Startup Professionals Musings

JUNE 2, 2021

I like the summary of the competitive reality in a new book, “ Rethinking Competitive Advantage: New Rules for the Digital Age ,” by Ram Charan, who relates a wealth of current experience from global clients: Customers expect a personalized experience. Find funders who seek long-term returns. These tolerate negative cash flows for growth.

Competition 142

Competition Software Review Social Media Customer 142

Startup Professionals Musings

SEPTEMBER 14, 2022

Most public shells ready for sale are not listed on a national securities exchange, but are instead traded in a less glamorous setting, such as the OTC Bulletin Board. The reverse merger process itself doesn’t raise any capital. These looming constraints can turn your startup dream into a nightmare, all to increase funding.

Funding 104

Funding Summary Entrepreneur Acquisition 104

Both Sides of the Table

APRIL 13, 2013

I spent countless hours with VC firms, startups & LPs (the people who invest in VC firms). My observation is that many entrepreneurs have a strong relationship with the partner at the VC who invested in his or her company. Just as with sales, if you have a strong champion as a partner you will likely be OK.

Venture Capital 309

Venture Capital Summary Organization Entrepreneur 309

Both Sides of the Table

APRIL 16, 2011

After college Joanne worked for 4 years in retail apparel at Macy’s where she initially managed sales reps on the floor and then worked as a buyer of clothing. This is where she first developed sales skills. She doubled her salary by going into sales. to $12m in sales. “A lot of sales is innate.

Startup 311

Startup Sales Venture Capital Entrepreneur 311

Both Sides of the Table

APRIL 19, 2011

Or read the quick, informative summary below the image! What better than to have capital from somebody who has actually done it in the trenches? Matt’s commitment to re-investing in tech startups is reminiscent to this great Fred Wilson post of “recycling capital. &#. Here’s a summary of our interview.

Acquisition 304

Acquisition Startup Customer Custom 304

Startup Professionals Musings

APRIL 22, 2010

Things that make it investment-grade for outside investors will also benefit you, since you are the ultimate investor. Many people seem to use the social network advertising model for revenue, but forget it requires at least 100M users and $50M investment. Marketing, sales, and partners. Executive team.

Invest 74

Invest Tips Competition Metrics 74

Startup Professionals Musings

DECEMBER 8, 2019

Most public shells ready for sale are not listed on a national securities exchange, but are instead traded in a less glamorous setting, such as the OTC Bulletin Board. The reverse merger process itself doesn’t raise any capital. These looming constraints can turn your startup dream into a nightmare, all to increase funding.

Summary 121

Summary Startup Entrepreneur Funding 121

Startup Professionals Musings

JUNE 2, 2010

Secondarily, it will be required by potential investors to validate how much money you need to get started, and how much return they can expect on their investment. These are necessary to estimate capital investment requirements, plan capital allocation, and measure financial performance. In fact, this is the easy part.

Invest 71

Invest Startup Sample Summary 71

Both Sides of the Table

JULY 1, 2015

. “the ecommerce company gained fauxmentum by raising artificially high amounts of venture capital and spent lavishly on customer acquisition despite long payback periods and questionable LTV” __. I’m not saying don’t hire sales staff or market your products aggressively. We live in heady times.

Startup 150

Startup Marketing Customer Custom 150

Both Sides of the Table

MAY 25, 2013

“I don’t know the exact math, but I hear it again and again: the top 2% of firms generate 98% of the returns in venture capital.” According to FLAG Capital there are 100 active VCs (as defined by making at least $1 million in VC per quarter for 4 consecutive quarters). The industry is dying, except for the top 2%.

Venture Capital 374

Venture Capital Entrepreneur Invest Funding 374

Startup Professionals Musings

SEPTEMBER 26, 2015

Here is a summary of the key terms to expect on the term sheet, or the contract between the founder and investor: Consideration given for the money invested. For later investments, the price is equity, with a percentage of the owner stock to be assigned to the investor. Definition of investment delivery in "tranches."

Demand 105

Demand Startup Equity Invest 105

Both Sides of the Table

JANUARY 22, 2014

Of course it is super helpful if a VC can drop you in to important people for business development, recruiting, PR, sales and eventually M&A. And so is venture capital. Fred Wilson wrote perfectly about sticking with struggling investments. Connections? It’s not you. It’s all of you. Commitment.

Venture Capital 364

Venture Capital Coach Writing SaaS 364

Both Sides of the Table

MAY 2, 2015

For a well-funded A or B round company I have recommended “ leveling up ,” which entails many things but in summary I tell people to “act your stage.” One area I’ve had much discussion with the companies in which I’ve invested in is bringing on board an operationally focused CFO.

Outsource Development 150

Outsource Development Metrics Startup Sales 150

Both Sides of the Table

JULY 22, 2010

Back in 1999 when I first raised venture capital I had zero knowledge of what a fair term sheet looked like or how to value my company. This states how the proceeds from a sale or dissolution of the company will be distributed. It was accept the terms or go into bankruptcy so we took the money.

Venture Capital 405

Venture Capital Pricing Startup Funding 405

Startup Professionals Musings

OCTOBER 15, 2013

Secondarily, it will be required by potential investors to validate how much money you need to get started, and how much return they can expect on their investment. These are necessary to estimate capital investment requirements, plan capital allocation, and measure financial performance. In fact, this is the easy part.

Startup 101

Startup Sample Summary Pricing 101

Startup Professionals Musings

AUGUST 13, 2012

Things that make it investment-grade for outside investors will also benefit you, since you are the ultimate investor. Many people seem to use the social network advertising model for revenue, but forget it assumes at least 100M users and $50M investment. Marketing, sales, and partners. Executive team.

Competition 113

Competition Metrics Startup Invest 113

Startup Professionals Musings

JANUARY 13, 2018

Most public shells ready for sale are not listed on a national securities exchange, but are instead traded in a less glamorous setting, such as the OTC Bulletin Board. The reverse merger process itself doesn’t raise any capital. These looming constraints can turn your startup dream into a nightmare, all to increase funding.

Summary 79

Summary Startup Entrepreneur Funding 79

Both Sides of the Table

NOVEMBER 14, 2017

As a startup in this phase you often raise capital, get press, hire staff and everything feels possible. because three years ago we made an investment in hiring Ted Conbeer (now SVP of Strategy) who was formerly with Bain & Company and was director of customer insights at Tough Mudder. As an early-stage VC I love this phase.

Startup 286

Startup Technical Review Customer Custom 286

Both Sides of the Table

JANUARY 13, 2011

I recently filmed a show for This Week in Venture Capital in which I talked about how to prepare for a VC meeting: whom you’ll meet, who should attend from your side, what materials you should bring and how you should run the meeting. I wrote the summary notes in this blog post. That notes only told part of the story.

Venture Capital 299

Venture Capital Slides Technical Advisors Startup 299

Startup Professionals Musings

SEPTEMBER 6, 2012

Secondarily, it will be required by potential investors to validate how much money you need to get started, and how much return they can expect on their investment. These are necessary to estimate capital investment requirements, plan capital allocation, and measure financial performance. In fact, this is the easy part.

Startup 91

Startup Sample Summary Pricing 91

Startup Professionals Musings

JUNE 15, 2015

Most public shells ready for sale are not listed on a national securities exchange, but are instead traded in a less glamorous setting, such as the OTC Bulletin Board. The reverse merger process itself doesn’t raise any capital. These looming constraints can turn your startup dream into a nightmare, all to increase funding.

Funding 102

Funding Summary Startup Entrepreneur 102

Startup Professionals Musings

MAY 13, 2011

Things that make it investment-grade for outside investors will also benefit you, since you are the ultimate investor. Many people seem to use the social network advertising model for revenue, but forget it assumes at least 100M users and $50M investment. Marketing, sales, and partners. Executive team.

Competition 116

Competition Metrics Startup Sales 116

Startup Professionals Musings

JUNE 30, 2011

Secondarily, it will be required by potential investors to validate how much money you need to get started, and how much return they can expect on their investment. These are necessary to estimate capital investment requirements, plan capital allocation, and measure financial performance. In fact, this is the easy part.

Startup 94

Startup Sample Summary Pricing 94

Tech Zulu Event

MARCH 16, 2015

There’s plenty of capital out there, but there’s also a lot of competition for startup funding. His best advice: take capital where you can get it. If you go this route, be careful to make the stakes clear: i.e., that they could lose their whole investment. Angels (invest their own money) and super angels. Vendor funding.

Startup 40

Startup Venture Capital Equity Funding 40

Startup Professionals Musings

MAY 3, 2014

Most public shells ready for sale are not listed on a national securities exchange, but are instead traded in a less glamorous setting, such as the OTC Bulletin Board. The reverse merger process itself doesn’t raise any capital. These looming constraints can turn your startup dream into a nightmare, all to increase funding.

Funding 98

Funding Startup Entrepreneur Summary 98

Both Sides of the Table

FEBRUARY 23, 2015

For some aspiring to be tech entrepreneurs, I often suggest a two-step process, as I argued in this post that “ The First Startup Founder You Need to Invest in Is You.” You will learn about running board meetings, setting up the ultimate financial plan, leading a team from the top, dealing with the press, raising capital, etc.

Technical Review 150

Technical Review Startup Venture Capital IP 150

Both Sides of the Table

SEPTEMBER 20, 2009

This is not unlike a major biz dev deal you’re trying to sign or a big sales campaign into the VP of a major company. I like to tell entrepreneurs to treat it like a sales campaign. EXACTLY like a sales campaign. It is much easier to follow up by calling the junior staff (again, just as you would in a sales campaign).

Venture Capital 277

Venture Capital Startup Email News 277

Both Sides of the Table

NOVEMBER 5, 2012

” If you don’t read any more of the post, the summary lesson learned for entrepreneurs is this: Product-centric founders often over-intellectualize their communications and therefore fail to sell their concepts to the masses. Or what about your sales team? It was a journalist who covered Venture Capital. Be human.

Entrepreneur 370

Entrepreneur Startup Press Venture Capital 370

Both Sides of the Table

FEBRUARY 28, 2018

If a consumer will pay a fixed price for a product or service then the battle over who gets the margin in any sale is between the person who merchandises a product and the person who manufactures it. Summary It’s hard to build a successful product company?—?even companies that have to spend too heavily on customer acquisition).

Product 296

Product Course Customer Custom 296

Both Sides of the Table

MARCH 17, 2010

Funding is different – In Silicon Valley you have mega venture capital funds and many of them. LA generally doesn’t have an appetite for this kind of investment at early stages. You can hire a talented head of marketing, business development, technology and sales. Summary – there is a lot of talent here.

Company 290

Company Companies Technology Startup 290

Both Sides of the Table

AUGUST 14, 2009

They know that the money they invest may be lost. Make sure these people understand the nature of early-stage angel investing. When I write an angel round check I always tell me wife, “let’s assume that money is lost.&# So goes angel investing. How much do they like to invest? They exist in every town.

Angel 291

Angel Funding Venture Capital Startup 291

Both Sides of the Table

JANUARY 16, 2012

There is all sorts of advice on the Internet about how to raise capital. I’ve raised money as a “hot company” and I’ve raised capital when no one would return my phone calls. Executive Summary. Fund raising (as is much of life) is a sale – pure and simple. Partners make investment decisions.

Develop 366

Develop Development Funding Venture Capital 366

Both Sides of the Table

FEBRUARY 23, 2010

This is part of my ongoing series on startup advice but also filed under my sales & marketing posts. You’ve invested $1 million in building the perfect application the meet a large market need. The only problem is that you can’t afford all of these expensive direct sales reps to go and sell it. Imagine this.

Startup 293

Startup Sales Marketing Product 293

Both Sides of the Table

APRIL 23, 2017

It’s why raising a round of capital often feels like a hollow victory because it almost feels like a temporary reprieve from the Grim Reaper and in a way every new round just sets the bar higher to clear for the next round of financing or the hope of reaching profitability. It’s why so few can really start a business from scratch.

Funding 238

Funding Venture Capital Startup Course 238

Both Sides of the Table

MARCH 3, 2013

Watch the 30-minute interview to hear why but summary notes below. Let me start by saying that Clayton is one of the most influential people on my thoughts about markets that led to both the concept behind my first startup and my main theses in investing. He spoke about ROCE (return on capital employed). Venture Capital.

Venture Capital 403

Venture Capital Education Offshore Outsource Development 403

Both Sides of the Table

JANUARY 17, 2011

EXECUTIVE SUMMARY: This is a long post, so I put an executive summary here if you want to get the point without reading all the detail. If you plan to read the post you can skip the summary if you want. Underpinning it all I wrote: sales, asset management, analytics & talent management.

Writing 356

Writing Startup Ideas Summary 356