The reasonable startup valuation formula
It seems like it’s unfashionable these days for investors to worry about startup valuations. In my opinion, that kind of thinking is likely to lead to disaster for both investors and startups. Far too many people make the mistake of focusing on relative valuation. “This deal is a bargain in comparison to the other deals […]
Reverse Demo Day (Thursday, February 23)
By now the rituals of Demo Day are familiar. The opportunities are great both for startups to tell their story, and for investors to see a lot of deals in a very short time. So why wouldn’t the reverse be true? Introducing the Valley’s first Revers…
Reverse Demo Day (Thursday, September 29)
By now the rituals of Demo Day are familiar. The opportunities are great both for startups to tell their story, and for investors to see a lot of deals in a very short time. So why wouldn’t the reverse be true? Introducing the Valley’s first Reverse Demo Day, where the investors sell themselves to entrepreneurs. […]
VCs, Dipshit Companies, And Super Angels
There’s been a predictable furor over the brewing feud between super angels and VCs, especially with folks like Mike Arrington fueling the fire by quoting a VC as saying, “An entire generation of entrepreneurs are building dipshit companies and hoping that they sell to Google for $25 million.” While I’m sympathetic to both sides (I […]
Is Angel Investing In A Bubble?
I’ve done about 10 angel investments in the past couple of years, and there is definitely a trend towards higher valuations and more competitive deals. The problem is that every investment asset class obeys Newton’s Law: “For every action, there is an equal and opposite reaction.” The logic many follow goes something like this: 1) […]
