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What Does the Post Crash VC Market Look Like?

Both Sides of the Table

Should SaaS companies trade at a 24x Enterprise Value (EV) to Next Twelve Month (NTM) Revenue multiple as they did in November 2021? Even then private market investors can paper over valuation changes by investing at the same price but with more structure so it’s hard to understand the “headline valuation.” It’s just math.

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The Changing Venture Landscape

Both Sides of the Table

I’m over-paying for every check I write into the VC ecosystem and valuations are being pushed up to absurd levels and many of these valuations and companies won’t hold in the long term. On the one hand, you’re over paying for every investment and valuations aren’t rational. That used to be called A-round investing. of the fund.

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9 Innovative Startups To Watch For in 2024

Tech.Co

Motivated by the overarching mission to mitigate climate change events like wildfires, the Incline Village NV based startup has been drumming up a lot of attention throughout 2023 due to it's data-centric approach and it's software as a service (SaaS) payment model – which is unique for the ecological sector.

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A Great Discussion with @skupor @davemcclure @msuster on Changes in the VC Industry

Both Sides of the Table

I wrote my version here and Scott wrote an excellent write-up of his views here. We both agree that the later-stage valuations are being driven up to a point that feels irrationally priced [he uses b-round SaaS valuations as an example and I am willing to be even more broad based].

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My Thoughts on the Current Market: on 20-Minute VC

Both Sides of the Table

We discussed why in Q4 you will see large renegotiations of SaaS contracts and increased churn rates. There are large sums of money to be invested and if investors can get comfortable with “downside protections” they’ll still write checks. A Recent Company I Invested In : Solve. A “true crime” video game.

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Finding an Investor Who is in Love with You

Both Sides of the Table

I only say that because after years as a VC I can always tell when my peer group invested in something because “it seemed like it would make money” versus when they invested out of passion. I have placed a much bigger emphasis on falling in love as a criterion for my making an investment. Does she live your journey?

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Why Most of Your Assumptions About Phone Calls are Wrong

Both Sides of the Table

It’s why the first company I ever invested in as a VC – Invoca – just announced a $20 million funding by Accel Partners. Only naive people believe that but for inexperienced entrepreneurs you can be fooled into the narrative by the press who sometimes write stories without the actual data. PHONE CALLS.

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