Should Investors in the Same Round of Financing Ever Get Different Prices?
If you were on Twitter on Saturday you might have noticed a lively discussion with Dave McClure, Fred Wilson, Chris Dixon and myself. And a few others. Luckily there are tools like Storify – so you can actually see a synopsis here. I recently wrote about my views that startups rounds should be priced. If […]
The Truth About Convertible Debt at Startups and The Hidden Terms You Didn’t Understand
Ah. We’re back to discussing convertible debt again. This time by the efforts of Adeo Ressi to introduce a new kind of structure called “convertible equity.” I applaud all efforts by people to take on this issue and especially be Adeo who – let’s be honest – was really the first champion of trying to […]
Taking on the Issues of the Day with Jonathan Strauss
It’s been nearly a year since I did This Week in VC on a regular basis. I’ve wanted to come back but had a busy year on the road meeting with investors and making a few investments of my own. But I’m back. I agreed with Jason Calacanis that I would re-launch the show if […]
Rethinking Board Observers – The Role of the “Silent Observer”
It has always surprised me that founders were so quick to fight over how many board members there were and so quick to agree to have as many board observers as people wanted. I have always been vehemently against board observers and wrote some of the reasons in this previous post. But over the past […]
Should You Really Sit on Other Boards When You’re a Startup Founder?
I recently read Brad Feld’s thought provoking piece encouraging founders to sit on the board of another startup company. I found it thought provoking because I’ve always believed startup founders need extreme focus on only their company to succeed. We live in an era where the press espouses the entrepreneurs who have five startups. I’m […]
This Post Has Nothing to do with #SXSW
This post originally appeared on TechCrunch. For the next four days if you’re in the tech industry you’re going to hear a non-stop stream of information about SXSW. It’s the time of year when many new startups are struggling to rise above all the noise and be heard. And when everybody is shouting it […]
Your Product Needs to be 10x Better than the Competition to Win. Here’s Why:
Last night I had the great privilege to interview Bill Gross, one of the Internet’s true pioneers. To say he has had an impact on the web would be an understatement. His impact has even helped a small country gain admission to the United Nations. All of that are in this week’s episode of […]
Outbound VC Dialing Programs – Total Disrespect for Entrepreneurs
I recently got an email from a friend who had been approached by a well known VC. He sent me an email asking whether the approach was real and whether he should take it seriously. Here is the email he received (reprinted without names with his permission). “Hi [entrepreneur], I hope all is well. I’m an […]
The Power of “In Person” – Why Distributed Teams are Less Effective
In the era of Skype, web conferencing tools and collaboration software conventional wisdom says that distributed startup teams can be just as effective as those that are in person. Conventional wisdom is wrong. Or more precisely the people espousing the benefits of distributed startups teams are often distributed and therefore self rationalizing it. Been there. […]
People Management: Startup Teams Should Dip but not Skip
We all like to think of startups as “non hierarchic” organizations and to some extent that should be true. I’m not a big believer in too much hierarchy. A good early-stage CEO needs to be accessible, to be accountable for producing results and should be establishing the cultural norms of the company through direct leadership […]
Steven Blank Kills It at Greycroft CEO Summit
I’m typing this from the lawn of Alan Patricof’s “Greycroft” home in East Hampton – my first time in the Hamptons. Greycroft is Alan’s venture capital firm that recently raised its second fund ($130 million) with offices in both New York and LA. We learned this weekend that it was named after his East Hampton […]
Asking Questions More Effectively
The ability to ask questions effectively is one of the most important skills in business as is the ability to actively listen. Yet as important as these two skills are they really don’t seem to ever be taught in school. I wonder if more college students ought to take a journalism course for a semester […]
You Can’t Look for a Job from a Remote Location – It Doesn’t Work
I’ve had this conversation so many times it’s painful. A friend calls me up from “you name it” city: Boston, New York, Chicago, San Francisco and says, “I’m thinking about moving to Los Angeles (or SF, NY, etc) and I’d love to start interviewing. Let me know if you hear of anything interesting.” I guess […]
Startups and VCs Should Avoid “Pier” Funding
Often when startups who have raised venture capital need another round of financing they will turn to their existing investors to give them money before raising from outsiders. This happens when the company has been making steady progress but hasn’t built enough “proof” to raise its next round of financing from external investors. The traditional […]
Avoid Decision by Indecision
I recently wrote a piece about how Entrepreneurs Should be Respected, Not Loved. The premise was that some leaders are too enamored with the approbation of their peers than making the tough decisions in the business that are bound to upset some people. The corollary to this rule is “decision by indecision.” This is one of […]
