Berkonomics

AUGUST 3, 2023

Friends, family and fools: [Email readers, continue here…] This term, although pejorative, describes the typical mix of early investors in a small, young growing business. In return, the accelerator often invests $25,000 to $100,000 in the young enterprise and takes from five to ten percent of the equity in return.

Venture Capital 295

Venture Capital Startup Class Invest 295

Berkonomics

DECEMBER 7, 2017

Email readers, continue here…] How do you pay a coach? Some charge by the hour, making themself available much as an attorney, keeping track of hours spent on phone calls and emails with you. We had no term for such work in those days, and created the phrase “resource capitalist” to describe the person and process.

Coach 243

Coach Organization Resource IBM 243

Berkonomics

MAY 13, 2021

Several years ago, I wrote a book entitled, Extending the Runway , using parallels to piloting a plane to equate to the process of creating and building a small company, making maximum use of resources to get to and beyond breakeven. The five resources boards and investors can add to a company. It is worth revisiting the most.

Resource 156

Resource Coach Activity Invest 156

Berkonomics

JULY 16, 2020

In this insight, we need to speak of the sources of working capital and the implications to the future financial health of the choices made when selecting one financial resource. It may not be equity. Back to loans costing less than dilution of equity. The banks need to be convinced. Read the loan covenants carefully.

Company 156

Company Companies .Net Equity 156

Berkonomics

JANUARY 20, 2022

Do take loans from sophisticated investors only after you have tried everything to get them to purchase equity…. Email readers, continue here…] …and always with clear wording on automatic loan extension if you are making progress but need additional time to meet the full set of goals.

Startup 317

Startup Entrepreneur Invest Course 317

Berkonomics

FEBRUARY 21, 2019

Email readers, continue here…] Professional investors love to see companies where the first round of financing came from the entrepreneur, showing “skin in the game” and more motivation to succeed because of money invested as well as time and creativity. How does this comport with “skin in the game?”.

Startup 120

Startup Invest Summary Resource 120

Startup Professionals Musings

MAY 18, 2020

With one of the many new tools , and a dose of sweat equity, you can create a website for almost nothing -- and you are on your way to success with ecommerce, your latest invention or personal services. Barter services for access to required resources. Use your equity for key executives and business partners.

Social Media 169

Social Media Startup Equity Summary 169

SoCal CTO

SEPTEMBER 19, 2011

Here are some resources that come from other sources: Want to Know the Difference Between a CTO and a VP Engineering? You can sign up for free email updates using the subscribe box on the right side. Lessons Learned: What does a startup CTO actually do? And you may also want to review Startup Development.

CTO Hire 175

CTO Hire CTO Coach Startup Equity 175

Berkonomics

OCTOBER 30, 2014

One of my books, Extending the Runway , uses parallels to piloting a plane to equate to the process of creating and building a small company, making maximum use of resources to get to and beyond breakeven. There are five types of resources a great board can add to a company. Extending the Runway book available at www.berkus.com.

Resource 237

Resource Product Help Equity 237

Berkonomics

NOVEMBER 23, 2023

Here is the warning: The execution of 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. … Equity is divided between the founders and the business begun.

Equity 156

Equity Class Pricing Sales 156

Berkonomics

JUNE 8, 2017

Email readers, continue here…] Bootstrapping: This term describes your ability to start a business with little investment and grow it using internally-generated funds. In return, the accelerator often invests $25,000 to $100,000 in the young enterprise and takes from five to ten percent of the equity in return.

Venture Capital 266

Venture Capital Class Invest Equity 266

Berkonomics

JUNE 12, 2014

It is rare when one person starts a company, supplies all the funding, and shares no management tasks or equity with others, and still grows the company to any significant size, worthy of a multi-million dollar opportunity to cash out at exit. Email readers, continue here.]

Startup 214

Startup Equity Invest Class 214

SoCal CTO

MARCH 12, 2012

I've recently received several emails from people looking for a technical cofounder for their startup. Here's an example of that kind of email. They often can help a lot in navigating to expertise and to possible resources. I promised I would write this post with some thoughts and ideas on the topic. Go to user groups.

CTO Hire 211

CTO Hire CTO Coach Startup Equity 211

Berkonomics

JULY 3, 2010

Email readers continue here.] Some charge by the hour, making themsef available much as an attorney, keeping track of hours spent on phone calls and emails with you. We had no term for such work in those days, and created the phrase “resource capitalist” to describe the person and process. How do you pay a coach?

Coach 179

Coach Organization Resource Equity 179

SoCal CTO

MARCH 3, 2011

And I try my best to point them to resources that can help them longer term. You will get a response via email to schedule a time to talk. I'm looking for free (equity only) development, should I contact you? See Equity-Only CTO and Equity-Only Developers for more on this. will definitely be handled.

CTO Hire 264

CTO Hire Startup Technical Review Development Team Review 264

SoCal CTO

MARCH 3, 2011

And I try my best to point them to resources that can help them longer term. You will get a response via email to schedule a time to talk. I'm looking for free (equity only) development, should I contact you? See Equity-Only CTO and Equity-Only Developers for more on this. will definitely be handled.

CTO Hire 259

CTO Hire Startup Technical Review Development Team Review 259

Berkonomics

AUGUST 21, 2013

In this insight, we need to speak of the sources of working capital and the implications to the future financial health of the choices made when selecting one financial resource. The problem is that few small, growing companies seem to be attractive to most banks for traditional unsecured or asset-backed loans.

Capital 153

Capital .Net Equity Pricing 153

Both Sides of the Table

MAY 13, 2018

The surest sign a fund-raising process has stalled is when you aren’t getting follow-up meetings or hearing from the VC or hearing from friends that they got a phone call or email asking about you. Keeping it to 8–10 helps you manage the public information flow that will be broader if you see 20 firms and also help you prioritize resources.

Venture Capital 332

Venture Capital Funding Startup Sales 332

SoCal CTO

MARCH 2, 2015

This includes links to CTO Salary and Equity Trends, Technology Roles in Startups , Initial Conversation with a CTO or Technical Advisor , Finding a Technical Cofounder for Your Startup , Hiring a CTO for Your Startup and many others. Targeting Your Job Search The best starting place is to visit my post on: One Page Job Networking Tool.

CTO Hire 150

CTO Hire CTO Coach Los Angeles Angel 150

Both Sides of the Table

MAY 28, 2018

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. Note: If you enjoy or are learning from this series please subscribe by entering your email below?—?it

Venture Capital 247

Venture Capital Capital Funding Demand 247

Berkonomics

OCTOBER 15, 2015

Email readers, continue here…] Don’t take money, especially start-up loans, from unsophisticated investors. I was a co-lender and assumed the chairmanship of a young startup where the entrepreneur’s cousin also loaned money under the same terms. Those four additional assets are worth as much or more than the cash offered.

Startup 120

Startup Invest Course Entrepreneur 120

Startup Professionals Musings

APRIL 6, 2016

With one of the new free tools and a dose of sweat equity, you can create a website for almost nothing -- and you are on your way to success with ecommerce, your latest invention or personal services. Barter services for access to required resources. Use your equity for key executives and business partners.

Social Media 60

Social Media Startup Equity Entrepreneur 60

Berkonomics

SEPTEMBER 28, 2017

For those negotiating equity allocations it covers some of the most complex issues to address in the process. Equity is divided between the founders and the business begun. This post is longer than usual. I just couldn’t reduce it to far fewer words… Dave.

Equity 256

Equity Class Pricing Sales 256

socalTECH

JUNE 23, 2021

We have the data where those universities are, we have the human resources and curated marketing labor. For example, we'll go to the University, and say hey, Panera Bread has an offer, which you can also add to an email and can go out to your student base. No different than Uber has drivers, Field Day has marketers.

Marketing 113

Marketing Los Angeles Zag Startup 113

Berkonomics

JANUARY 20, 2010

Email readers continue here.]. Bootstrapping: This term describes your ability to start a business with little investment and grow it using internally-generated funds. There are a few insights that relate to this money resource, and you should know and respect these. So stay tuned… . Raising money.

Venture Capital 174

Venture Capital Invest Class Entrepreneur 174

socalTECH

DECEMBER 11, 2017

Instead of having to integrate with a system that doesn't exist, they get a text or email, or a phone call, to ask if they have equipment around and if they'd like to accept or not accept, and let us negotiate it, which makes it simpler for them. We sold that to a very large private equity company. One of my partners was St.

Startup 174

Startup Metrics Customer Custom 174

SoCal CTO

APRIL 27, 2011

Several people have recently come to me to help them source and/or hire full-time CTOs for their startup having found me through my post that looks at: Startup CTO Salary and Equity Data. " I personally do this via a quick call and follow-up with email/LinkedIn connection, etc. There's a lot on my blog already around this topic.

CTO Hire 282

CTO Hire CTO Coach Technical Review Startup 282

SoCal CTO

APRIL 27, 2011

Several people have recently come to me to help them source and/or hire full-time CTOs for their startup having found me through my post that looks at: Startup CTO Salary and Equity Data. " I personally do this via a quick call and follow-up with email/LinkedIn connection, etc. There's a lot on my blog already around this topic.

CTO Hire 225

CTO Hire CTO Coach Technical Review Startup 225

Tech Zulu Event

APRIL 1, 2014

Visions pan of endless cold emails and long days attending meetups and pitch nights while your operations/tech team grind away. With such notable pedigrees in the investment world, I had to wonder why Ryan and co-founder James didn’t “simply” raise money and create their own private equity/venture capital fund?

Invest 100

Invest Startup Technical Review Software Review 100

Both Sides of the Table

OCTOBER 15, 2016

Defy teaches them personal finance like how to keep a checking account, the difference between debt and equity, what cashflow is and so forth. But if you commit one simple day of your life I literally promise you that you will email or Tweet me a “thank you” and tell me you’ve been moved. You can go. You SHOULD go. Here is how.

Writing 150

Writing Startup Design Training 150

Berkonomics

MAY 12, 2010

Equity is divided between the founders and the business begun. To protect against this, there must be some document in place from the beginning that clearly states the expectation of each founder as to contribution of time and resources to the enterprise. Email readers continue here.]

Equity 213

Equity Class Pricing Startup 213

Tech.Co

DECEMBER 6, 2017

At the time of founding, our iHub’s main focus was renewable energy because of the abundant sunshine in greater Palm Springs, the reliable wind in the San Gorgonio Pass, and the geothermal resources at the Salton Sea. Most of the equity investments in iHub companies are coming from outside the region.

Startup 119

Startup Technical Review Patents Services 119

Startup Professionals Musings

FEBRUARY 3, 2010

The suggestions are even more vital in a startup environment with constrained resources. The stipend should be between $150 and $300 per hour with an equity kicker based on achieving goals. See his regular blog or contact him directly via email. A properly built advisory board can be a huge strategic advantage to any company.

Startup 90

Startup Blogging Tips Help 90

Startup Professionals Musings

JUNE 2, 2011

Businesses can be built on sweat equity. It's amazing how rare it is for professionals to return phone calls and emails promptly, show up on time, or finish a project for the price quoted. But if you've spent all your money on the website for party supplies, you may not have the funds to have the site redone.

Startup 92

Startup Capital Blogging Ideas 92

Tech Zulu Event

SEPTEMBER 21, 2011

Mike has over 18 years of business development, marketing and management experience in businesses ranging from early stage start-ups to private equity and from mid-stage business to large turn-around operations. is a web hosting and virtualization service provider headquartered in Los Angeles, California.

Tsavo 76

Tsavo Idealab Tech Coast Angels Userplane 76

Tech Zulu Event

SEPTEMBER 27, 2011

Mike has over 18 years of business development, marketing and management experience in businesses ranging from early stage start-ups to private equity and from mid-stage business to large turn-around operations. Mike Jones , Investor and Advisor Located In Los Angeles. mt) Media Temple, Inc. mt) Media Temple, Inc.

Tech Coast Angels 96

Tech Coast Angels Idealab Angel Startup 96

Berkonomics

APRIL 24, 2014

Email readers, continue here.] Accelerators are popping up in college towns, urban cities and near existing technology hubs. You’ll give up some small amount of equity to the accelerator, receive some amount of cash in return during the program, and learn more in a short time than you’d expect from more formal education programs.

Coach 250

Coach Seed Funding Summary Incubator 250