Startup Professionals Musings

OCTOBER 6, 2023

If there are conflicts within the team, or differing views of the strategy, or evidence of missing processes and tools, the investment process will likely be terminated. Make yourself available to answer any questions, show your enthusiasm, and explain both the positives and negatives of the external investment process.

Technical Review 118

Technical Review Startup Satisfaction Invest 118

Both Sides of the Table

MARCH 1, 2016

At the Upfront Summit in early February, we had a chance to have many off-the-record conversations with Limited Partners (LPs) who fund Venture Capital (VC) funds about their views of the market. However, they have been sending VCs far more investment checks in the last ten years than they’ve gotten back as distributions.

Venture Capital 150

Venture Capital Capital Marketing Seed Funding 150

Berkonomics

JULY 6, 2017

Know your market and competition, or don’t spend a dime on anything else. Well, here is one of those, and it deals with market research first and foremost. Here’s where some intelligent market research might have saved the company and my investment. So, I lost over a million for lack of market research.

Competition 266

Competition Research Summary Pricing 266

Both Sides of the Table

JANUARY 12, 2014

But being best-in-class at online marketing is also a sine qua non to standout from your peer group. The starting point of product IS marketing, which is what a lot of young entrepreneurs that never studied business don’t realize. Link has a summary of his argument plus a great video). My argument is pretty simple.

Marketing 379

Marketing Startup SEM SEO 379

Both Sides of the Table

FEBRUARY 6, 2019

If you want the whole deck you can find it on SlideShare but I’ve written up a short summary with commentary below. In fact, the “traditional VC” market has only grown 14% per year and mega-rounds now account for nearly half of the dollars in the industry. More on that later.

Venture Capital 292

Venture Capital Capital Startup Funding 292

Startup Professionals Musings

AUGUST 9, 2023

When entrepreneurs introduce new products to the market, their passion and conviction often leads them to assume that every potential customer will see the immediate need and value, and will quickly adopt the solution. In today’s information overload, marketing is everything. Use every marketing channel available.

Case Study 89

Case Study Customer Custom Study 89

Berkonomics

FEBRUARY 17, 2010

Know your market and competition, or don’t spend a dime on anything else. I have stated previously that I love absolutes – statements with no wiggle room for gray-area responses. And yet the company was blindsided as it continued to invest in switch and specialized analog phone hardware, soon to be instantly obsolete.

Marketing 247

Marketing Competition Research Summary 247

Startup Professionals Musings

NOVEMBER 15, 2020

When entrepreneurs introduce new products to the market, their passion and conviction often leads them to assume that every potential customer will see the immediate need and value, and will quickly adopt the solution. In today’s information overload, marketing is everything. Use every marketing channel available.

Case Study 174

Case Study Startup Customer Custom 174

Startup Professionals Musings

DECEMBER 26, 2010

One of the toughest decisions for a startup is how to price their product or service. The alternatives range from giving it away for free (like Twitter), to pricing based on costs, to charging what the market will bear (premium pricing). Portfolio pricing. Tiered or volume pricing. Freemium” model.

Pricing 98

Pricing Product Startup Competition 98

Both Sides of the Table

AUGUST 30, 2010

Every investment so far in this YC batch (and there have been a lot) has been done on a convertible note.&#. I have to say that I didn’t take the question to mean that convertible debt had won for the entire market, but either way it’s clear that convertible debt has become an increasing trend.

Equity 319

Equity Pricing Venture Capital Entrepreneur 319

Startup Professionals Musings

DECEMBER 11, 2019

I was impressed with his summary of the top ten outsourcing mistakes made by entrepreneurs, followed by real guidance on how they can and should be avoided. Fixed price bidding is the only effective outsourcing model.” Getting a fixed price bid works for well-defined short-term projects, like blogging or programming.

Outsource Development 121

Outsource Development Outsource Entrepreneur Summary 121

Startup Professionals Musings

JANUARY 24, 2021

If there are conflicts within the team, or differing views of the strategy, or evidence of missing processes and tools, the investment process will likely be terminated. Make yourself available to answer any questions, show your enthusiasm, and explain both the positives and negatives of the external investment process.

Technical Review 151

Technical Review Startup Satisfaction Invest 151

Startup Professionals Musings

FEBRUARY 15, 2021

As a result, we shared in capturing a new high-end market, without major new marketing or development. Here is a summary of each: Complementary strengths allows extended market penetration. Here is a summary of each: Complementary strengths allows extended market penetration.

Startup 173

Startup Outsource Development Examples Customer 173

Both Sides of the Table

JUNE 30, 2016

You will build out features or expend to platforms — often before you have enough market feedback to warrant it. My analogy was that there are markets where it’s relatively easier to raise capital and therefore you should take a little bit more but you should create a budget where you only spend 70% of what you raise on a pace of 18 months.

Startup 292

Startup Software Review Pricing Entrepreneur 292

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. There is nobody to blame for this abandonment of common sense – it is simply the market being the market and we’re doomed to repeat history. It’s just a market.

Venture Capital 150

Venture Capital Pricing Platform Marketing 150

Both Sides of the Table

DECEMBER 22, 2011

I’m often asked by people what investment areas interest me. It’s true that I have a functional focus on three areas: Performance-based marketing, digital television and mobile computing. I try to invest in things that I know and that I believe I might have better knowledge and relationships than the masses of VCs.

Startup 386

Startup Pricing Marketing Product 386

Startup Professionals Musings

JUNE 12, 2015

Here is my summary of some major considerations that every entrepreneur needs to evaluate against the cost and effort to attract equity investors: Completing a grant application is real work. Enhance your business plan and marketing with these in mind. Of course, nothing is really free in the business world.

Pricing 100

Pricing Equity Technical Review Research 100

Both Sides of the Table

FEBRUARY 14, 2016

There is much discussion online and also in small, private groups, about why the price of technology companies – public and private – are falling. It pains me to see the typical (and predictable) responses on Twitter, “VCs want prices to drop!” ” “Sure, prices are dropping.

Startup 150

Startup Company Companies Venture Capital 150

Both Sides of the Table

NOVEMBER 14, 2017

What sized team can I afford in order to sell, market & provide service to these customers? In the case of MakeSpace we had huge initial successes in New York City as Rahul led the scaling of our drivers, our trucks and our warehouses and we figured out the right price points to beat the local competition.

Startup 286

Startup Technical Review Customer Custom 286

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. Features, availability, and brand are just the price of entry.

Competition 142

Competition Software Review Social Media Customer 142

Both Sides of the Table

AUGUST 30, 2014

When I meet other VCs I’m constantly asking how they decide which investments to make, when to pass, when to do follow-on rounds, when to sell a company vs. when to go long, etc. On market segmentation I often recite my “ Elephants, Deer & Rabbits ” framework. For example: 1. Take more advice. Stir them around.

Startup 407

Startup Framework CTO Coach Sales 407

Both Sides of the Table

DECEMBER 27, 2011

You have to understand whether they’re likely to yield revenue growth in the near term OR whether you have access to cheap enough capital to fund your losses until your investments pay off. Exec Summary: Most companies (98+%) in the world (even tech startups) should be very profit focused. If you don’t, somebody else WILL!”

Startup 418

Startup Venture Capital Sales Technical Review 418

Startup Professionals Musings

JULY 30, 2022

Based on my own mentoring and investing experience, the best entrepreneurs are pragmatic problem solvers. Whether you are charting new territory for pricing models or technology, there is rarely a perfect solution. Listen to your customers to arrive at acceptable and marketable solutions.

Startup 135

Startup Mentor Entrepreneur Technical Review 135

Startup Professionals Musings

SEPTEMBER 14, 2022

You may no longer have the option of investing all earnings into growth, or servicing your special corporate cause. In summary, a reverse merger, or going public through the “normal” IPO process should never be seen as just a way to fund your startup. What price are you willing and ready to pay for funding?

Funding 104

Funding Summary Entrepreneur Acquisition 104

Startup Professionals Musings

AUGUST 31, 2014

One of the toughest decisions for a startup is how to price their product or service. The alternatives range from giving it away for free, to pricing based on costs, to charging what the market will bear (premium pricing). Product line pricing. Cost-based model. Skip it where there are many competitors.

Startup 114

Startup Pricing Customer Custom 114

Both Sides of the Table

JULY 23, 2014

15 years ago we were at the peak of Internet hype with the launch of many over-capitalized businesses with a market size & opportunity was limited. The VC market has right-sized (returned back to mid 90′s levels & less competition). But markets value high growth over short-term profitability. Where are we today?

Venture Capital 398

Venture Capital Technical Review Startup Seed Funding 398

Both Sides of the Table

MAY 13, 2018

The most important advice I could give you before you set out in fund raising mode is to understand that fund-raising a sales & marketing process and needs to be managed. If you don’t believe in your bones that you’re amazing then it’s no wonder you don’t want to sell them on making the investment.” an investment in your company.

Venture Capital 332

Venture Capital Funding Startup Sales 332

Both Sides of the Table

AUGUST 1, 2010

Short summary of my posts: 1. There is a structural reason that VCs are investing at early stages, 2. I’ve done 4 seed investments in the past year and they are 100% referenceable. I’ve done 4 seed investments in the past year and they are 100% referenceable. million is “follow on&# seed investment.

Seed Funding 298

Seed Funding Funding Venture Capital GRP Partners 298

Both Sides of the Table

JULY 29, 2010

If you want to watch the show click the image above or this link , but if you want a quick read – here’s a summary: 1. tevye2009 , Q: “can you briefly explain why it’s best to get a small valuation when getting investment.&# on the entrepreneur side of the table) when I raised at too high of a price.

Venture Capital 282

Venture Capital Capital Startup Pricing 282

Both Sides of the Table

JUNE 28, 2018

My friend Michael Broukhim, founder & co-CEO of FabFitFun and I recently had a catch-up meeting for 3-miles on the Santa Monica “Bird Trail” No company has ever elicited so many questions by friends, colleagues, entrepreneurs, fellow VCs and journalists as has Bird, the company that pioneered the electronic scooter as a service market.

Santa Monica 256

Santa Monica Funding Startup Course 256

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. Industry & market sizing. Start with the evolution of the overall industry, market segmentation, market dynamics, and customer landscape. Marketing, sales, and partners. Executive team.

Invest 74

Invest Tips Competition Metrics 74

Startup Professionals Musings

APRIL 21, 2012

One of the toughest decisions for a startup is how to price their product or service. The alternatives range from giving it away for free (like Twitter), to pricing based on costs, to charging what the market will bear (premium pricing). Portfolio pricing. Tiered or volume pricing. Freemium” model.

Pricing 112

Pricing Competition Customer Custom 112

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. Marty Zwilling.

Invest 71

Invest Startup Sample Summary 71

Startup Professionals Musings

JANUARY 22, 2018

I was impressed with his summary of the top ten outsourcing mistakes made by entrepreneurs, followed by real guidance on how they can and should be avoided. Fixed price bidding is the only effective outsourcing model.” Getting a fixed price bid works for well-defined short-term projects, like blogging or programming.

Outsource Development 72

Outsource Development Outsource Summary Training 72

Startup Professionals Musings

DECEMBER 1, 2017

The alternatives range from giving the product away for free (revenue from ads), to pricing based on costs, to charging what the market will bear (premium pricing). Price based on product costs plus margin. Price based on average value to customer. Price with recurring low subscription payments.

Pricing 66

Pricing Customer Custom Advertising 66

Startup Professionals Musings

JULY 25, 2015

I was impressed with his summary of the top ten outsourcing mistakes made by entrepreneurs, followed by real guidance on how they can and should be avoided. Fixed price bidding is the only effective outsourcing model.” Getting a fixed price bid works for well-defined short-term projects, like blogging or programming.

Outsource Development 104

Outsource Development Outsource Startup Summary 104

Both Sides of the Table

JULY 22, 2010

Due to competitive markets we ended up with a pretty good term sheet until we needed to raise money in April 2001 and then we got completely screwed. The more senior members you have (say you already have a CEO, CTO, VP marketing, VP Biz Dev, VP Products) then the less options you’ll need and vice versa.

Venture Capital 405

Venture Capital Pricing Startup Funding 405