Remove class-readers
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How much is that one additional unit worth?

Berkonomics

An example to make this clear. That’s impressive sales leverage. Email readers, continue here…] In an Internet-based business, power comes not just from high gross margins, but also from an increase in the percent of conversions. Just to be fair, a 5% cut in costs would also double net profit.

.Net 156
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VC investors: Don’t be greedy even if you can.

Berkonomics

First, the marginal exit event: Sometimes the end game or sale of the company is not a happy event for the early investors, including the entrepreneur or the founders. Most sophisticated investors will take either a promissory note or preferred stock, both of which come before founder or management stock in a sale or liquidation.

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Can you defend your pricing niche against your competition?

Berkonomics

There are five major classes or niches a company should examine and make its own in calculating positioning in the marketplace. There are exceptions, based upon cost of sales. Here are a few examples to help you. So, here comes the lesson and your challenge…. The five major niches. They are: Price. Innovation.

Pricing 226
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“Over-welcome” your new employees.

Berkonomics

Days before the official start date, she makes sure that the new employee’s business cards arrive in the mail, that the employee’s phone and Internet services are up and running, and that an email account is already established. How about teaching a class in corporate culture yourself to one or more new employees?

Startup 207
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What’s the minimum information to give your investors?

Berkonomics

Email readers, continue here…] Prepare for your annual meetings well. Summarizing income statements with a line for revenues, cost of revenue, general and administrative expenses, sales and other direct costs – all leading to net income, would satisfy the legal requirement for statement of income and expense.

Class 120
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How much information do you give to investors?

Berkonomics

Email readers, continue here.] Summarizing income statements with a line for revenues, cost of revenue, general and administrative expenses, sales and other direct costs – all leading to net income, would satisfy the legal requirement for statement of income and expense.

Class 202
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A Guide to Using Authority & Social Proof in Fund Raising

Both Sides of the Table

I recently read a book I’d highly recommend to every reader of this blog called “ Yes, 50 Scientifically Proven Ways to be Persuasive &# by Robert B. John gave me the book after I spoke at his entrepreneurship class at UCSB. Any SoCal entrepreneur raising early-stage money should put Rincon on their short list.

Guide 293