Although this is a good video explaining how the financials works for startups to exit, it is a SF/Silicon Valley based one.
I can tell you , in Europe when you start dreaming in numbers, than you are out at angels, VC and series X funders. In Europe investors don't believe you when you say: this idea can become a billion dollar company; Obviously they want to see large numbers in forecasts, but not that big.
Methodology in Europe is more like 3 out of 10 investments must become companies running black numbers. In SF/Silicon Valley this is more like 1 to 10.
Also, investors in Europe will zoom in the business plan (next to know the people and understand the idea, test you on knowledge of the market/competitors etc and rough plan). The business plan needs to be full of financial analyses. Maybe it is not the investor himself that will ask this, but it'll be his business/financial experts who do that.
Anyways, I bookmarked this video/post for later use when I have to explain this to people who ask me about this kind of stuff. Thanks for sharing!
interesting, yeah with all the bad investments I suppose it's a good idea, but still bad investments are more likely to go to bad businesses that are running quick to profit
SF investors bank on the fact that 1 out of 10 is a real hit! These are the FB, Googles and such companies. And indeed, the funny is that the startups I met in my life based in SF, were almost all thinking to sell to Google, Facebook or Microsoft as exit. Most of them never made though :)
Normal, the only ones capable I think shouldn't sell out, it's betreyal to the "believers" the big companies tend to make the market stale and reduce innovation, I can list Skype YouTube and many others, as with all business when you sell out, all that you have made gets another name plastered over and resold :| where is the creativity in that, Skype SUCKS :| everything touched my MSoft :( starts to look terrible, think of windows :D XP vibrant colors, animation sound, then vista :( & 7 is nice because it's a milestone and gets fixed after a few years, then we skip the fails 8 and the nonexistant 9 to get to 10 which also should have been skipped maybe 11 or 12 might be nice if they focus on the PC no on the PHONE :| why is everything squared off, why is linux 5 times less hogging on performance, why am I ranting so much :D
Sorry I like windows, and youtube, maybe google, but 5-10 years ago, currently all corporations are flawed it seems
Agree, but when such a large company wants to buy your company, it is hard to say n, I think. They come with sooooo many millions, 10s of millions, you'll set for life. After such sell, you can do whatever you want, maybe setup another interesting company, or just have fun and leave work to others. The capitalistic system we are in with the focus on money money money makes such behaviour; Whether it is good for the product or not. Money = most important. I'm not sure of I could say no.
hah you've changed them again :D no crapitalism one :D yeah the whole video is great :D I think people fail everywhere, so every second in the video is a step forward :D where many have died off :D
Running a business for a few years is truly badass :D
Although this is a good video explaining how the financials works for startups to exit, it is a SF/Silicon Valley based one.
I can tell you , in Europe when you start dreaming in numbers, than you are out at angels, VC and series X funders. In Europe investors don't believe you when you say: this idea can become a billion dollar company; Obviously they want to see large numbers in forecasts, but not that big.
Methodology in Europe is more like 3 out of 10 investments must become companies running black numbers. In SF/Silicon Valley this is more like 1 to 10.
Also, investors in Europe will zoom in the business plan (next to know the people and understand the idea, test you on knowledge of the market/competitors etc and rough plan). The business plan needs to be full of financial analyses. Maybe it is not the investor himself that will ask this, but it'll be his business/financial experts who do that.
Anyways, I bookmarked this video/post for later use when I have to explain this to people who ask me about this kind of stuff. Thanks for sharing!
interesting, yeah with all the bad investments I suppose it's a good idea, but still bad investments are more likely to go to bad businesses that are running quick to profit
SF investors bank on the fact that 1 out of 10 is a real hit! These are the FB, Googles and such companies. And indeed, the funny is that the startups I met in my life based in SF, were almost all thinking to sell to Google, Facebook or Microsoft as exit. Most of them never made though :)
Normal, the only ones capable I think shouldn't sell out, it's betreyal to the "believers" the big companies tend to make the market stale and reduce innovation, I can list Skype YouTube and many others, as with all business when you sell out, all that you have made gets another name plastered over and resold :| where is the creativity in that, Skype SUCKS :| everything touched my MSoft :( starts to look terrible, think of windows :D XP vibrant colors, animation sound, then vista :( & 7 is nice because it's a milestone and gets fixed after a few years, then we skip the fails 8 and the nonexistant 9 to get to 10 which also should have been skipped maybe 11 or 12 might be nice if they focus on the PC no on the PHONE :| why is everything squared off, why is linux 5 times less hogging on performance, why am I ranting so much :D
Sorry I like windows, and youtube, maybe google, but 5-10 years ago, currently all corporations are flawed it seems
Agree, but when such a large company wants to buy your company, it is hard to say n, I think. They come with sooooo many millions, 10s of millions, you'll set for life. After such sell, you can do whatever you want, maybe setup another interesting company, or just have fun and leave work to others. The capitalistic system we are in with the focus on money money money makes such behaviour; Whether it is good for the product or not. Money = most important. I'm not sure of I could say no.
:) can't argue there :D
Love it thanks :) time to dream big for 10 years :D
What's up with the categories btw, any hints on that :)
The ending is quite awesome :) lol you mean the tags? They are what they are..
hah you've changed them again :D no crapitalism one :D yeah the whole video is great :D I think people fail everywhere, so every second in the video is a step forward :D where many have died off :D
Running a business for a few years is truly badass :D
tack för bra inläg