How Similar is the Fundraising Environment Today to 2000?

Tomasz Tunguz

In Q2 2015, VC investment totaled $16.7B, about a 66% of the $28B deployed in Q2 2000 according to a new report. However, the number of investments per quarter is about half of 2000. And the trends shows no sign of stopping. A big contributor to this growth are nontraditional investors including mutual funds and hedge funds, which now account for approximately 40% of dollars invested.

Lessons from Interviews of Pre-Eminent VCs in 2000

Tomasz Tunguz

In fact, I found only two books: a textbook on private equity and venture capital by HBS professor Joshua Lerner, and an out-of-print collection of 32 VC interviews called “ Done Deals ,” published in September 2000. By my estimates, VCs are investing less than 1 ⁄ 3 of of the roughly $100B deployed in 2000.

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The De-Carbonization Of The Economy

A VC: Musings of a VC in NYC

My partner Albert told me that when you factor in the financing costs of this swap, the average home in the Northeast United States could save $1000 to $2000 a year by doing this swap.

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Sevens Don't Get Funded

This is going to be BIG.

I get 2000 things passing through my inbox in any given year, and I make about ten investments per year. How excited do you think I am if I’m only picking the top 10 out of 2000? Ask any VC how excited on a scale of one to ten they are about their latest deal, and they’ll tell you eleven out of ten.

How to Generate Signals that Matter to Early Stage Investors

TechStars

Techstars is one of just a few global accelerators that have invested in more than 2000 startups, and quite a few successful investments have come out of the Techstars portfolio. Photo by Chinh Le Duc on Unsplash. Build a strong team with direct and relevant reputation. To be clear, names alone don’t matter as much as the relevance of the team members to the challenge facing your business. Example: Selling SAAS to enterprise?

Advice from Warren Rustand: Put Your Head Down and Walk Into the Storm

Entrepreneurs' Organization

Some of us remember the 2000 dot-com crash. Written for EO by Kalika Yap , an Entrepreneurs’ Organization (EO) member in Los Angeles. Yap is a thriving serial entrepreneur whose businesses include Citrus Studios , Luxe Link , and the Orange & Bergamot. She recently attended a Facebook Live stream hosted by Warren Rustand , co-founder of EO’s Leadership Academy in Washington, D.C., where he addressed the global pandemic.

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How to Build a Successful Partnership in Work and Life

Entrepreneurs' Organization

In January of 2000 my husband, Jamie, asked me to come work with (for) him. Contributed by Katty Douraghy, president at Artisan Creative , a member of EO San Franciso and the MyEO Women of EO Champion. . His creative recruitment business was growing and he needed stronger personnel management skills, which was an area I had spent the previous 10 years developing in my own career. It all sounded fabulous—on paper. We would work closely to create the next chapter of our business together.

Mary Grove on the origins of Google for Startups & Startup Weekend

TechStars

She joined Google when it had only 2000 employees, and by the time she left it was up to around 75,000. When I joined Google, we were about 2000 people. Brad: Going from a startup of 2000 to 75,000 employees is quite a change. From Google for Startups to Startup Weekend to Rise of the Rest and beyond, Mary Grove is passionate about community-driven change, and helping make it happen.

Innovation Upends Extrapolation: Urbanization

Continuations

Then in 1900 again even if you had allowed for significant further acceleration you would have likely put 2000 at maybe 30-some% instead of the 47% that actually occurred.

U.S. Venture Deal Activity during the COVID-19 Pandemic

Ian Hathaway

In fact, through the first three quarters of the year, 2020 is on pace to be the most active year for venture deals since the Dotcom era peak in 2000. Zooming out, that indicates that 2020 is on pace to have more venture deals than any year since the peak of the Dotcom boom in 2000.

The Hit Rate

A VC: Musings of a VC in NYC

Before 2000, the venture capital business was a bit of a cottage industry. This simple and short blog post by the folks at Correlation Ventures contains the key to venture capital returns – the hit rate. In the Correlation post, they define “hit rate” as: the percent of invested dollars generating a 10X or greater return. But “hit rate” could be something else. It could be the number of investments in your portfolio that return the fund.

The Venture Capital Math Problem Revisited (aka How Could You Be So Wrong?)

A VC: Musings of a VC in NYC

I suspect that last paragraph that I quoted should read “the biggest deal, $50-100bn, represents 5% of the total value of all exits (likely north of 2000, possibly a lot more) and the total value of all exits is $1-2 trillion per year” By that math, keeping all other assumptions, formulas, and math the same, the max that can be invested in VC is maybe as much as $100bn per year and we are still well below that level based on the numbers I am seeing.

What’s the most important thing in a young business?

Berkonomics

The days of being able to trust that there will be an investor or lender on the other end of a call or email whenever needed ended with the 2000 and 2008 bursts of those respective bubbles. Cash is everything to a new business. . How many times do we have to say this?

Advice from a Scientific Entrepreneur to Her 25-Year-Old Self

TechStars

I had spent a year (2000) in San Francisco at the height of the startup boom, was surrounded by a family of entrepreneurs, and was confident as I boarded the Liquidia start-up train. Contributed by Ginger Rothrock, Senior Director at HG Venture s, The Heritage Group. On my drive to work today I was listening to my favorite podcast, 20minVC.

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We Really Need Large Corporates—With the Right Motives

GAN

Corporates, of course, are companies considered to be part of the “Fortune 500” or those on the S&P 2000 and they share a few things in common. If you read my blog regularly, you know I’m a really big believer in revenue as one of the most important metrics for startups. And, that partnering with corporates is one of the best ways for startups to generate revenue.

[CyberX in Yahoo Finance] CyberX Continues Strong Growth and Business Momentum in 2019

OurCrowd

CyberX, the IoT security company, today announced record growth in 2019, tripling bookings year-over-year and securing a series of impressive Global 2000 customer wins. Additional achievements include new partnerships with premiere channel partners and technology providers, and new, innovative IoT-aware behavioral analytics and threat intelligence capabilities. Read more here.

The Future of Brick and Mortar

This is going to be BIG.

Story is a 2000 square foot retail space with "a point of view" that is part store, part event, rotating on a regular basis to feature different themes. As we prepare for Black Friday and Cyber Monday, I think a lot about the future of the physical retail landscape. As I walk around my neighborhood in Bay Ridge, Brooklyn, I count every storefront whose products or services could be better delivered over the internet. The count is unfortunately high.

The History of Nokia

Feedough

It helped Finland in the time of crisis and by the year 2000, it accounted for a whopping 4% of the GDP of Finland. The history of Nokia has been a roller-coaster ride, full of ups & downs, and twist & turns, and the journey still hasn’t reached the end.

Why Did Nokia Fail?

Feedough

If you could turn back time and visit the early 2000’s for a survey on mobile phones, you’ll get some shocking revelations. A company which is fighting for just 1% share in the smartphone industry today was almost synonymous to the word mobile phones a few decades back.

“This is my EO journey”

Entrepreneurs' Organization

The speaker was Erin Brockovich, the well-known activist and subject of the highly acclaimed movie made in 2000, bearing her name. The Entrepreneurs’ Organization (EO) has been helping entrepreneurs achieve transformational growth since 1987.

JOBS Act Title III and Crowdfunding: What We Know So Far

Onevest

By John Lion. Photo credit: Getty Images. Waiting on Title III of the JOBS Act? Join the rest of the nation including equity crowdfunding platforms like 1000 Angels , the private investor network that connects startups with investors, where currently only accredited investors are allowed to invest. Accredited investors are only 1% of the US population. The SEC seems quite okay with postponing finalization until October 2015.

The Coming Zombie Startup Apocalypse

This is going to be BIG.

It took the NASDAQ fifteen years to get back to it''s March 2000 peak--and I think that it''s possible we''re looking ahead at the same kind of period, but one without the huge trough. Are we in a bubble? And if so, when will it burst? Everyone likes to debate it, and statistically, almost no one gets it right. Not only is it notoriously difficult to time the market, but even if you did, you''d miss out on individual winners.

Matt Cutts on the US Digital Service and Working at Google for 17 Years

Y Combinator

00:18 – Working at Google in 2000. Matt Cutts is the Administrator of the US Digital Service and previously he was the head of the webspam team at Google. You can find him on Twitter at @mattcutts. Topics. 00:00 – Intro. 2:30 – Did Google’s success feel certain? 3:35 – Building self-service ads. 7:05 – The evil unicorn problem. 8:05 – Lawsuits around search. 10:30 – Content moderation and spam.

The end or the beginning? Thoughts on the current startup environment

This is going to be BIG.

Is 2012 going to be 2000 all over again? When the bubble burst in 2000, many of us felt it in our pockets. On March 20, 2000, Barron's wrote, "America's 371 publicly traded Internet companies have grown to the point that they are collectively valued at $1.3 Just as an additional disclosure, these are my thoughts, not that of First Round Capital, my employer. The other day, Adeo Ressi wrote in TechCrunch about how we need more venture funds, because.

Has VC Become So Big It Must Be Disrupted?

Tomasz Tunguz

2018 and 2019 exceeded the heady days of 2000 in terms of dollars deployed. Nathan Heller published an article called Is Venture Capital Worth the Risk? in the New Yorker. It’s a well-researched critique of the venture industry. The key question he poses is: has the industry become so large that it needs to be disrupted? It’s a thought provoking question and a good opportunity to ask for feedback on how we can imrove.

Why Founders are Wrong, Even When They're Right

This is going to be BIG.

Well, my own statistics are that about 2000 things come across my desk in a year, and I make 8-10 investments. Investors turn down deals for some pretty dumb reasons. They lack logic, consistency, and sometimes even a grasp of what their own job is. You know. taking actual risk. We're not interested for this round, but come back to us when Sequoia is leading at a $1.5 pre-money, you have seven enterprise customers and you're cashflow positive.

Businesses adapt amid pandemic

Innovation 2 Enterprise

After multiple translations from ancient Greek over more than 2000 years, it is no surprise that scholars debate the exact wording that Plato used in The Republic, but regardless his observation is spot on: When the need to do something is strong enough, humans will find a way. By Scott Meacham. “Necessity is the mother of invention.” ” This saying is commonly attributed to the Greek philosopher Plato.

Floating Market B.V. - 52265528-01122016

Leapfunder

We are a fast growing company with more than 2000 active accounts that range from brands, retailers and media agencies to local app developers. Plot Projects is the ultimate Geofencing solution for your App. Implement the Plot Plugin into your App to make it send Geofencing Notifications and iBeacon Notifications. Mobile applications are one of the most successful ways of doing marketing, and smartphone users love them.

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How Do VCs Choose Their Investors (and should entrepreneurs care?)

Both Sides of the Table

Even though our 2000 fund was the single best performing fund in the United States for that vintage, continuing to get investments wasn’t possible so we had to rebuild. I recently read a blog post by Beezer Clarkson, Managing Director of Sapphire Ventures about why entrepreneurs should care about from whom their VC funds raise their capital. I spent a bunch of time thinking about this position — especially since Beezer is an investor in Upfront Ventures.

An Economic History of the US in Five Stock Market Crashes

Tomasz Tunguz

The book recounts five crashes: 1907, 1929, 1987, 2000, and 2010. I’ve been searching for a book that combined the history, the people, and the emotional roller coaster of US economics. Given all that’s happening, I wondered how events today compare to other times in US history. I’ve spoken to people who lived through stagflation when interest rates were 15%. In history classes at school, I read about the Great Depression and the Roaring 20s.

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How Great Unit Economics Enables Startups to Weather the Storm - The Story of WebEx

Tomasz Tunguz

WebEx went public in June 2000 with $8.3M To achieve that phenomenal growth in 2000, the company ramped their sales and marketing investment from $2M to $9.3M to $50M from 1998 to 2000, representing an astounding 300%+ of revenue. This dramatic sales and marketing investment generated an $80M loss in 2000, but two years later, astoundingly, the company generated $16.4M

Stillwater’s HostBridge Technology bridges gap between legacy mainframes, emerging mobile technologies

Innovation 2 Enterprise

Founded by Russell Teubner in 2000, HostBridge Technology occupies a historic building along E. By Jim Stafford. STILLWATER – Don’t look for a sign in downtown Stillwater advertising the presence of HostBridge Technology, which has maintained its headquarters just off Main Street for two decades. There isn’t one. 7th Street, just off Main Street. The company employs about a dozen people in Stillwater, along with contract workers worldwide.

Details of Upfront Ventures New $400 Million Fund

Both Sides of the Table

Dating back to Upfront II in 2000 (the single best performing fund in the US for that vintage) 2 of our 3 best returns were driven by companies with female founders / CEOs. I am so proud and humbled to be able to formally announce that Upfront Ventures has raised its 6th venture capital fund in the past 21 years. Upfront VI is our latest core fund and is $400 million to invest in early stage entrepreneurs. This brings our combined funds under management to nearly $2 billion.

GRP Announces $200 Million Fund. Rebrands as Upfront Ventures

Both Sides of the Table

We have previously raised funds in 1996 ($200 million), 2000 ($400 million) and 2008/9 ($200 million). I am super excited to announce that today is a day of lots of new things for my partners & me: A new fund, a new office and a new brand. Let’s start with the fund. This month we closed our 4th fund of $200 million. If you’ve been following the press about VC funds you’ll know this is no small feat.

How Angel Investors Survive the COVID-19 Economic Crisis

Angel Capital Association

The Alliance of Angels has survived the 2000 (dot com crash) and 2008 (mortgage crisis) downturns, with a group IRR of over 20%. By: Dan Rosen, Alliance of Angels To: The Angel Community After publishing my companion piece, “ How Startups Survive the COVID-19 Economic Crisis ,” I have received a number of comments about how this impacts angels and angel investing. Here are my thoughts.

It’s Morning in Venture Capital

Both Sides of the Table

In 1998 there were around 850 VC funds and by 2000 there were 2,300. By 2000 the total LP commitments had mushroomed to more than $100 billion. LP contributions to VC firms shrunk from 2000 and by 2005-2008 had stabilized to around $30 billion per year. In 1998 it was 150 million, 1999 250 million and by 2000 it had crossed 350 million. This article originally ran on PEHub.

Startup Founders Should Flip Burgers

Both Sides of the Table

million which closed the first week of March 2000 – a week before the market crashed. Back to BuildOnline, following the staggering decline in public market valuations throughout 2000 we were forced to cut our staff dramatically going from 92 employees to 38 in just one day (and down to 33 a month later). This is part of my ongoing series Startup Advice. This is a story of one of the risks of venture capital.