asterisk2a + techstars   6

Naval Ravikant to VCs: “You can lie to your LPs, but don’t lie to yourselves” | PandoDaily
“There was so much innovation being thrown around—moveable carry, geographic portfolio, unbundling and more. Many were coming up to me later saying the ideas were flying at them too fast. That’s exactly what’s happening in the market.” Even if you don’t know what those terms mean, the important takeaway is that even the stodgiest VCs are going to have to start acting more like the entrepreneurs they serve because the market is only getting more competitive with the ways to fund becoming far more varied and “hackable.” [and add Corporate Accelerators, Incubators and Venture Funds] [...] restrictions LPs put on funds: things like how much you can invest, what percentage of a fund you can invest in follow on rounds of existing companies, what sector you invest in, whether you can invest personally if the fund invests as a group, etc.
Venture  Capital  angel-list  Seed  Round  Angel  Investor  SPV  Private  Equity  IPO  growth  Sand  Hill  Road  Silicon  Valley  500  Start-ups  Rocket  Internet  ycombinator  Accelerator  TechStars  Seed  Camp  Incubator  niche  vertical  Secondary  Market  a16z  s23p  hunt  for  yield  distortion  Signal  vs.  Noise  wantrepreneur  economics  of  abundance  abundance  marginal  cost  MicroVC  Party  Round  Start-Up  lesson  Start-Up  advice  ecosystem 
may 2015 by asterisk2a
New stats show raising Seed money from big VCs increases survival. (The opposite of what everyone in the Valley says) | PandoDaily
(2) Don’t do a “party round” (2) Don’t raise money from a major VC. They will only follow on with the best companies and the signaling risk if they say no can be damning. [...] The companies who raised funds from large VC firms did better than those who raised funds from micro-VCs. [...] The anecdotal stuff is true & the data is true. The answer to how thats possible lies, as everything else in venture world does, with a massive range of quality & low barriers to get in. [...] the # of firms who invest at least $1 million a quarter 4 at least four straight quarters, there are only a paltry 97 firms left in the industry. [...] Raising big institutional funds is hard. Even shitty big VC firms have 2 meet some kind of bar 2 get that money — which is increasingly disappearing in the US. [...] [ hypothesis/thesis of micro-VC is flawed & opportunistic of lower Start-up cost 2 get from idea 2 MVP 2 Product/Market Fit with some traction. higher delta between good & bad co&mVC&angel ]
Start-Up  lesson  Start-Up  advice  Venture  Capital  Seed  Round  Angel  Investor  Party  Round  distortion  hunt  for  yield  economic  history  unintended  consequences  ZIRP  NIRP  QE  technological  history  technological  progress  Micro-VC  VC  Product/Market  Fit  post-traction  Series  A  MVP  meritocracy  meritocratic  Accelerator  ycombinator  Seed  Camp  TechStars  500  Start-ups 
april 2015 by asterisk2a
Eric Newcomer – Venture Firms Fret as Y Combinator Soars | Genius
“You—and your references—have to be able to explain to a founder how you're going to help them.” +++ via +++ PS: Don't take money from X bc X give u higher valuation. VC firm is a Services Company as is YC. Pick from who feels best with services and added values. I would even go on to say that giving you money is not the core product value proposition any more in VC world. In a world of ZIRP/NIRP/QE/etc, a world were high net-worth individuals hunt for yield on AngelList and Co. Core Product Value Proposition moved to a the quadrants of people who went through it/domain expertise/network&connections/services to scale faster (from HR/taxes/office/law to finding and getting that guy[s] [plural] with the PhD&Work@ScaleExperience to scale Twitter back-end successfully).
ycombinator  Venture  Capital  a16z  brand  reputation  Network  Silicon  Valley  TechStars  500  Start-ups  Start-Up  lesson  Start-Up  advice 
september 2014 by asterisk2a

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