Learning how to teach through a web-site
Posted on 25. Nov, 2008 by admin in Site Specific
When I meet with entrepreneurs or students in person, it is inevitably easier to cover the basics of raising capital. Even when teaching to a classroom it is easier than through this web-site. The missing component being the interactivity of the audience.
It would be of great help to me if those using the web-site would [...]
Compensation for founders and executives in startups
Posted on 20. Nov, 2008 by admin in Formation
Every founding team wants to know if their equity split is fair. Additionally, outside executives are often brought into early stage companies as “hired guns” and desire to be fairly compensated. After spending quite a bit of time researching the best sources of information on early stage company compensation, we’ve linked to a [...]
Example Term Sheets and Equity Financing Docs
Posted on 12. Nov, 2008 by admin in Examples
Two great resources that we’ve come across are included in the links below. The first from Y Combinator and Wilson Sonsini Goodrich & Rosati is an open source set of equity financing documents. This set of documents can save startups a lot of time and money.
The second set of documents is from the The [...]
Business Model: TAM, Revenue Model, and Product Roadmap
Posted on 11. Nov, 2008 by admin in Business Plan
The business model is loosely comprised of your market size and revenue model. We also include the product roadmap in this discussion to show how helpful it can be to iterate through your business model numerous times. In an effort to simplify the process, we recommend starting with determining your addressable market. The [...]
Valuation techniques: Round and Exit Comparables (comps)
Posted on 11. Nov, 2008 by squareroots in Company Valuation
Round Comparables
Round comparables (aka comps) are useful when determining a pre-money valuation for a company that has revenue. A source like Triple Tree provides some nice public comps based on trailing twelve months (TTM) of revenue, however they may be out of date. Even then, it will give point you in the correct direction for [...]
Adding FeedFlare to LearnVC
Posted on 10. Nov, 2008 by admin in Site Specific
This post is to verify that the FeedFlares added are working correctly.
If you have more advice for us, please leave a comment at your convenience.
Our first 1000+ unique visitor week
Posted on 06. Nov, 2008 by admin in Site Specific
A special thanks to Brad Feld and Jason Mendelson over at the Foundry Group. Their promotion of LearnVC.com on Ask the VC has been a great boost to our traffic and exposure in the startup community.
Some have sent very nice emails to us about this web-site. We welcome your feedback, and appreciate the [...]
What is Venture Capital? Part 2
Posted on 05. Nov, 2008 by admin in Basics
Yesterday, I wrote about the Partners of Venture Capital as part of my “What is Venture Capital?” articles. Today, we’ll add a bit more detail using some very helpful articles written by Fred Wilson.
For me, an understanding of how the money flows helped immensely:
Venture Capitalists raise a fund from Limited Partners
The VCs invest that [...]
What is Venture Capital?
Posted on 04. Nov, 2008 by squareroots in Basics
Let’s start with some definitions.
Definitions
Venture Capital: Investment into early stage companies by full-time professionals. The majority of the money invested is not their own (99% typically comes from Limited Partners).
Limited Partners: LPs are the money. Limited Partners are typically corporations (private pension plans), endowments, foundations, or state pension plans. Wealthy families also invest as LPs [...]
Using our graphical examples
Posted on 03. Nov, 2008 by admin in Site Specific
Welcome to our newest visitors!
With each of the topics below it is possible to change the values. Simply select whichever field you want to modify, enter your new value, and hit the “return” key. All of the computations will be redone without the need to reload your web-page.
As I was coming up the [...]