June, 2016

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Why Raising Too Much Money Can Harm Your Startup

Both Sides of the Table

Amongst the most often asked questions I get from founders is, “How much money should I raise?” Reflexively founders want to raise as much money as they can because they figure it will give them more resources, better chances of competing and a longer runways before they have to do the often painful job of asking, yet again, for money. Every time you ask for money you’re faced with the possible of feeling literally and figuratively like a failure.

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You Don't Need a Co-Founder

This is going to be BIG.

but you do need a team. And if you happen to find someone amazing you want to partner up with, that's fantastic. Just don't go picking someone who really doesn't compliment you just because it's some kind of VC rule. I've heard a lot of VCs tell founders they need co-founders--and that they wouldn't look at a business at a very early stage without a co-founder.

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Health and Hope: Using Entrepreneurship to Tackle Air Pollution

Entrepreneurs' Organization

EO interviewed EO New Delhi member, Jai Dhar Gupta, to learn how he’s using entrepreneurship to tackle air pollution. . How did you take advantage of a health scare and turn it into a successful business? EO was the root cause of my awakening. I signed up for the half-marathon at the EO Global Leadership Conference in Athens, Greece, in 2014, and I started training on the streets of Delhi.

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The lion and the ant: A managerial lesson

Berkonomics

This story has been making the rounds lately, and I confess that our research cannot find the source. So, with thanks to whomever created this great little parable, here it is: “Every day, a small Ant arrived at work early and started work immediately, she produced a lot and she was happy. The boss, a lion, was surprised to see that the ant was working without supervision.

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Navigating the Future: Generative AI, Application Analytics, and Data

Generative AI is upending the way product developers & end-users alike are interacting with data. Despite the potential of AI, many are left with questions about the future of product development: How will AI impact my business and contribute to its success? What can product managers and developers expect in the future with the widespread adoption of AI?

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The Expanding World of Accelerators

Gust

In some ways, it is now difficult to imagine a world without accelerators. Many of the globe’s most well-known and disruptive startups were propelled from the hallways of legendary accelerators such as Y Combinator, TechStars, and 500 Startups. AirBnb, Dropbox, Zenefits, Stripe, DigitalOcean, Heroku, Optimizely, Intercom, Reddit, and hundreds of other startup success stories were all briskly brought to life.

More Trending

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What Your Opportunity Slide is Missing – Make Investors Believe

For Entrepreneurs

This article is part of our series “Pitching to Investors” that shares real examples and practical advice from the Matrix General Partners on creating your pitch deck. The intro to the series is here: Five Ways to Nail Your Pitch and Win Over Investors. Our goal of this series is to help entrepreneurs nail their.

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Writing Checks Doesn't Make You an Investor

This is going to be BIG.

I met with a family office investor yesterday and we were talking about his family's interest in diversifying their investments into early stage companies. They mostly participated in real estate transactions--an asset class where actual due diligence is conducted, deals take months, even years to close, and assets are sometimes held for decades. It's an asset class built on relationships.

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Benefits of a Shared-Economy Business Model

Entrepreneurs' Organization

Photo: Praveen (left), with founder of ShareShed, Daniel DuBois , an EO GSEA finalist. The sharing economy is reinventing the way people think, act and play while affecting nearly every industry. We’re witnessing a generational shift toward people collecting memories over stuff. Praveen Varshney, a long-time EO Vancouver member and investor in Lyft, Guiides.com, ShareShed and other sharing-economy companies, is capitalizing on this new movement while helping the environment through support

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What can you buy for an extra $1 million?

Berkonomics

Dave’s note: Here comes my favorite “tell-it-like-it-is” CEO, Kim Shepherd, with another of her “crazy” (meaning excellent) ideas to pry innovative ideas from associates. Does the headline grab your attention? Read on… By Kim Shepherd. What can your department or company buy if it had an extra million dollars? The quick answer is: a whole slew of great ideas.

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Your Fractional Finance and Accounting Team

Mighty Financial specializes in supporting the financial aspirations of small businesses and entrepreneurs. With our comprehensive bookkeeping and precise accounting expertise with decades of experience across diverse financial roles, our team offers tailor-made services ranging from essential bookkeeping to strategic fractional CFO support, catered specifically to the unique challenges of technology companies, startups, and SMEs.

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Gust Launches Comprehensive Equity Management Platform for Cap Table Management and 409A Valuations

Gust

Gust announces acquisitions of Sharewave and Preferred Return; creates the most robust and affordable equity management solution for early-stage startups. June 22, 2016 – NEW YORK, NY – Gust, the global service provider powering the entrepreneurial ecosystem, announced today the launch of a comprehensive equity management platform, Gust Equity Management.

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The Four Factors to Consider When Developing Your Startup's Pricing Strategy

Tomasz Tunguz

What is the optimal pricing strategy for a start up? That depends. It depends on at least three other variables: the product, the placement, the positioning. Combined with price, these are the four 4Ps of marketing created by Dr. E. Jerome McCarthy, former professor of marketing at Michigan State and Notre Dame. Also called the marketing mix , these four variables need to be aligned when determining pricing for your startup.

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Marketing Attribution: Creating a Growth Engine at Salesforce, Zendesk and Slack

For Entrepreneurs

I recently sat down with Bill Macaitis. I’ve been a big fan of Bill’s since we brought him in as CMO at Zendesk. He has since gone on to be CMO at Slack. In an age where product gets most of the attention, Bill is the kind of marketer founders crave. He knows exactly what.

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Be Honest on VC Reference Calls

This is going to be BIG.

A friend of mine running a very successful company found himself conflicted over an upcoming reference call. It was from a top college endowment that was taking a look at the next fund of a widely known VC who had backed him. The truth of the matter is that their experience with this VC hadn't lived up to the hype. The VC firm was growing quickly, having raised two funds in just a few years, each quite larger than the previous one.

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Digitalization: 5 Tech Updates That Will Help You Survive The Recession & Thrive

Lack of digitalization decreases business competitiveness. To thrive, embracing modern solutions becomes essential. The approach to digitalization often aligns with a company's business model. This shift not only boosts productivity but also automates processes and improves security. The tech market offers a wealth of technologies tailored for management, planning, and forecasting, replacing outdated pen-and-paper methods.

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Why You Should Consider a Creative Office Space for Your Company

Entrepreneurs' Organization

This article was originally published in the Entrepreneurs’ Organization column on Inc.com. Matt Levin, an Entrepreneurs’ Organization (EO) member from Austin, is the Managing Broker & Principal of Equitable Commercial Realty , a full service commercial real estate leasing, sales and management firm. We asked Matt about some of the advantages and disadvantages of having a creative office space for your company.

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Are you the leader if no one follows?

Berkonomics

Here is a variation of the “tree falls in the forest” question. In past insights, we’ve looked at leadership skills, ways to enhance effectiveness, and how to develop creative ideas that motivate and propel your organization to greatness. Here is the ultimate question for a leader…. You’ve heard the old saying that you can lead by fear or lead because people want to follow.

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Changes in the Venture Capital Funding Environment

Both Sides of the Table

The funding environment for tech startups is an ever shifting ground as we go through predictable shifts that go hand-in-hand with the slowing of the overall market. The most important shift I would characterize as the market moving from “high conviction” and thus strong follow-ons to “limited conviction” and lots of gamesmanship / games of chicken … at your expense.

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How Healthy is the SaaS IPO Market?

Tomasz Tunguz

Salesforce’s initial public offering in 2003 demarcated the beginning of a new era, the era of Software as a Service. In the 13 years that followed, many startups have followed their path to build innovative software that has transformed their respective industries and sectors. The shift has been revolutionary both in software delivery as well as sales.

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PE Mastery: CAPTARGET's Playbook for Quality Lead Flow

CAPTARGET presents a masterclass in M&A deal sourcing. Learn to cast a wide net, embracing seller self-identification. Consistency is the linchpin: keep the origination process steady for a reliable flow of opportunities. Diversify your tactics, employing various tools and vendors. Tech matters! Understand DNS settings, domain authority, and brand presence for optimal outreach.

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EPI Report Highlights Where the Gap between Richest and Poorest Is Widest

Surdna Foundation

According to a new report by the Economic Policy Institute, finds that income inequality has risen in every state since the 1970s and in many states is up in the post–Great Recession era. In 24 states, the top 1 percent captured at least half of all income growth between 2009 and 2013, and in 15 of those states, the top 1 percent captured all income growth.

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Are those people idiots? How to think about competition.

This is going to be BIG.

A lot of founders who pitch me tell me that they're the only ones doing something. They're in the same ballpark as a major player, doing something just one tiny bit off from what they are, and they expect this company to get their lunch eaten over the next seven years while an IPO-sized company is grown right under their noses. So, the people who work at your competition.

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EO to Support Global Entrepreneurial Summit 2016

Entrepreneurs' Organization

From 22-24 June, the Entrepreneurs’ Organization (EO) , the world’s most influential community of entrepreneurs, will be a leading participant in the Global Entrepreneurship Summit 2016 (GES) , an event that showcases, connects and educates inspiring entrepreneurs and investors from around the world to address the world’s most difficult challenges.

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The power of NO!

Berkonomics

Over the years I have counseled entrepreneurs to think of a “no” response in terms of “yes, but…” There is always another way to say “no” that leaves the door open for creative thinking. Well, almost always. Sometimes, you just have to suck it up and say “NO” with strong conviction. It usually happens after several attempts to find a “yes, but” solution to a problem or issue that just can’t be resolved.

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How to Stay Competitive in the Evolving State of Martech

Marketing technology is essential for B2B marketers to stay competitive in a rapidly changing digital landscape — and with 53% of marketers experiencing legacy technology issues and limitations, they’re researching innovations to expand and refine their technology stacks. To help practitioners keep up with the rapidly evolving martech landscape, this special report will discuss: How practitioners are integrating technologies and systems to encourage information-sharing between departments and pr

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Announcing Upfront Ventures’ Newest Partner — Kobie Fuller

Both Sides of the Table

Kobie Fuller, Partner at Upfront Ventures We set out to build a venture capital firm that would not only be a beacon for the rapidly growing LA tech ecosystem but also one that would compete and collaborate nationally with the best firms in the country. To do that you need to have the most talented partners and operating staff because entrepreneurs (and venture capital funds) have choices about whom they will work with and the best deals go to the best firms.

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The Decline of New SaaS Company Formation

Tomasz Tunguz

The rate of new software company formation seems to have declined materially in the past few years. In 2011-2013, about 1450 software companies were founded each year on average. In 2014, that figure fell to 1186 and in 2015, we count 481. Why does Crunchbase data indicate this decline? First, there might be a few data issues in the most recent years.

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EO Asks: What is Your Key to Motivation in Business?

Entrepreneurs' Organization

“My passion from the beginning was to create a unique and boutique experience for clients. Although my passion still revolves around people, now it is more on the business front. Specifically, helping our franchisees achieve their goals of being successful in business.”. Aaron Smith (EO Australia – Victoria), founder of KX Group. “The work atmosphere.

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EO Perth Member Launches Free Online Leadership Series

Entrepreneurs' Organization

The world is changing at a rapid rate, and the way we interact with brands and each other is changing along with it. As every entrepreneur knows, knowledge is power, and so over the past year, I traveled with a film crew to the U.S. to meet and film conversations with some of the leading thought leaders in industry to uncover trends and truths on the state of the global market, the future of entrepreneurship and the innovative landscape we find ourselves in.

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Statement of Cash Flows vs. Cash Flow Statement

Speaker: Wayne Spivak - President and Chief Financial Officer of SBA * Consulting LTD, Industry Writer, and Public Speaker

The old adages that "cash is king" and "you can’t spend profits" still hold true today. But however well-known these sayings might be, it requires a change in mindset to properly implement a cash flow management system that predicts your business's runaway as accurately as possible. Key to this new mindset is understanding the difference between the Statement of Cash Flows, a historical look at the source and uses of cash, and the Cash Flow Statement, which uses transaction history and forward-l