I recently attended a talk by MIT professor David Rand, a leading researcher on misinformation and the psychology of belief. Rand’s findings challenged my assumptions about confirmation bias—a concept I’ve…
Limited Partners evaluating Venture Capital funds expect to see early returns, measured in terms of DPI (Distributions to Paid-In Capital). However, VC funds DPI can take years to materialize. Understanding…
Operating with diligence is often a decisive factor in startups’ successes. In some industries, the first to market wins. In others, it’s the company that innovates most consistently or serves…
Deciding to reinvest in a company amid uncertainties is one of the most challenging choices Venture Capitalists face. One question always arises whether they are considering extending bridge financing to…
With the allure of big deals, influential networks, and the chance to shape the next big thing, it’s easy to see why Venture Capital careers are coveted. However, as one…
Liquidation preference has long been a staple in Venture Capital funding, serving as a financial safeguard for Investors. While it addresses real challenges around risk and financial returns, it’s far…
Despite bumps on the road, Venture Capital has become an attractive asset class for Investors and operators, promising cherry-on-top returns and access to what will happen next. More VC funds…
Entrepreneurial success often depends on having the right combination of personality and abilities. Among these, grit—the combination of persistence and passion toward long-term goals—has been hailed as a must-have trait,…
Venture Capitalists are vocal about what they look for in startups they invest in: stellar team, large market, scalability, exit routes, etc. What about the evaluation criteria they don’t discuss but critically…
Most startup funding roadshows fail because Founders don’t ask for a coherent amount of money from potential Investors. How should you determine how much to raise? This post and the accompanying video training help you size your equity raise correctly.
Startup valuation, often seen as more art than science—and sometimes even as black magic—is a process fraught with ambiguity. Unlike mature businesses with years of historical data and steady cash…
In recent years, Simple Agreements for Future Equity (SAFEs) have skyrocketed in popularity, becoming the de facto instrument for early-stage startup investing. While they offer undeniable advantages, such as speed…
Creating startup financials is, despite claims to the contrary, an essential part of the fundraising process. Solid financial projections based on verifiable data serve both entrepreneurs and Venture Capitalists analyzing…
Jobs in Venture Capital are notoriously hard to land. They don’t come by often, and they are seldom advertised—except in large VC firms, mainly for entry-level positions. Aspiring VCs often…
Venture Capitalists must use decisive investment criteria when they evaluate deal flow to determine which opportunities to pursue. Making swift go/no-go decisions allows VCs to allocate more time to the…
A recent post by a former entrepreneur-turned-VC reminded me of a basic VC term sheet truth: Everything is negotiable. In particular, clauses that don’t work as intended because they target…
Vinod Khosla, the eponymous Founder of Silicon Valley VC firm Khosla Ventures, is known for his no-nonsense approach and frank delivery. In a quote that is a decade old but…
I’m often surprised by how little many Venture Capitalists know about network effects. When I ask them to define network effects and explain how to spot whether a startup is…
Few Venture Capital firms are more elite than Benchmark, and few Venture Capitalists are more iconic than Bill Gurley. In a recent podcast, he illustrates why VCs must break their…
Venture Capital job “exit interviews” are rare, so I jumped on the opportunity when Moksha announced she left the elite VC firm Bessemer Venture Partners to launch an entrepreneurial venture.…
