BLOG STARTUPS, VENTURE AND THE TECH BUSINESS

Posts Tagged ‘Venture Capital’

April 23 2010
by Todd Hixon

The View From The Dark Side: #1, Why VCs Are Greedy

[This is the first of a series of posts that attempt to explain how the venture capital business looks from the VC side.] VCs are often characterized as greedy, eg:  “vulture capitalists” or (the more contemporary phrase) “not founder friendly”.  Like any broad characterization, there is truth and untruth here, and good and bad reasons ...

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April 14 2010
by Todd Hixon

Three Ways To Sell A Business

Frequently entrepreneurs and investors come to the point where they want or need to find an M&A exit.  Is the time right?  What should they expect? Here’s a framework that I hope is helpful.  Buyers pay for three things:  strategic opportunity, growth, and earnings/cash flow.  Which of these you have to offer will influence who’s ...

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April 1 2010
by John Backus

Virginia to Entrepreneurs: Start Your Business Here – And Pay No Capital Gains Tax!

Capital Gains taxes on high-tech entrepreneurial startups are going away in Virginia – at least for three years.  Founders, Angel Investors, Venture Capital Fund Investors, Corporate Investors to benefit. On Tuesday, March 30th, newly elected Republican Governor Bob McDonnell signed into law House Bill 523 (Senate Bill 428), which provides a 100% capital gains tax ...

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March 26 2010
by Scott Johnson

NEVCA Office Hours at the Venture Cafe in Cambridge

I hung out at the Venture Café (Alfa) at the Cambridge Innovation Center yesterday, and met some great people, saw old friends, and got pitched by a few very dedicated entrepreneurs in an “office hours” format.  It was time well spent, and many thanks to the NEVCA for organizing the event.  Skip Besthoff of Castille ...

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March 17 2010
by Todd Hixon

Teeth versus Tail

In one of his radio chats, Governor Patrick of Massachusetts talked about increasing the number of government jobs in the Commonwealth as a means to increase employment.  “After all [he remarked], government jobs are just as good a private sector jobs”.  That troubled me, and here’s why. Gov. Patrick’s point, I infer, is that a ...

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March 16 2010
by Scott Johnson

Top 5 Presentation Mistakes

The presentations I see, for the most part, get a B.  Not failing, but noticeably short of excellent.  Only once in a blue moon do I encounter an A.  It is surprising to me that I don’t see more “A” presentations because: The presenters are high achievers who got A’s in engineering classes at prestigious ...

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February 26 2010
by Scott Johnson

Speculating on Apple’s “Big Bold Moves”

Apple said yesterday in its shareholder meeting that it is not going to dividend any of its cash.  Rather, Steve is planning some “Big, Bold Moves” for the $40 billion mountain of green he sits atop.  He either said this because he needs good World Cup tickets from investment bankers, or he is actually planning ...

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February 25 2010
by John Backus

VC Tips for Entrepreneurs: How to manage the VC on your Board

Venture Capitalists love giving advice to startup entrepreneurs.  We especially love doing it while in the boardroom, before, during, and after that 40-slide powerpoint presentation that you and your management team spent a week preparing.  With a VC on your board of directors, you never know if you are going to get The Good, The ...

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February 25 2010
by John Backus

VC Tips for Entrepreneurs: Thoughts About Raising Money

Most entrepreneurs raise money to help their businesses get off the ground.  Whether from angels or venture capitalists, I see most entrepreneurs making the same mistake.  They raise money when they “have to.”  There is a better way.  With some advance planning, you can raise money, easier, at certain moments in time.  Take advantage of ...

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February 12 2010
by Todd Hixon

Pay to Pitch?

Should entrepreneurs pay third parties to help raise money? This is a perennial question in the venture world. It comes down to two things: Will the investment in outside help pay off? Will investors see paying for help as a negative factor? There are different kinds of fund-raising help. The main ones are: “investment bankers”, ...

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