article thumbnail

Why Has LA Suddenly Gotten So Much Attention from VCs and Entrepreneurs?

Both Sides of the Table

Given how efficient markets are when a large market like LA starts to blossom it attracts capital pretty quickly. billion in venture capital to LA’s technology startups and 2014 will shatter that figure. The patents Overture held became known in small circles as Google’s ’361 problem as outlined here.

article thumbnail

Why Raising Too Much Money Can Harm Your Startup

Both Sides of the Table

I understand this instinct for more capital and I have two very different personal experiences: In my first company we raised an A-round of $16.5 Because investors need to imagine making a minimum of 10x their invested capital and early-stage investors are shooting for even higher multiples. I have this “How much should I raise?”

Startup 292
article thumbnail

Join The Unicorn Club Of Billion-Dollar Companies

Startup Professionals Musings

Some of the most well-known include Uber, Airbnb, Snapchat, Xiaomi, and Pinterest. The fact is that valuations are largely set by top venture capital investors and financial firms, and they all have their own proprietary formulas for assigning value. These are popularly called “unicorns.” Strong intellectual property and defensibility.

Company 100