Berkonomics

AUGUST 10, 2023

The last money has the first say – in valuation and in sometimes forcing draconian terms that require prior investors to contribute a proportional new investment to retain a semblance of their original rights and avoid dilution or worse yet, involuntary conversion to a lower class of stock. The newest investor has the power.

Venture Capital 292

Venture Capital Sales Invest Class 292

Berkonomics

AUGUST 3, 2023

You will realize much more from the ultimate sale of your business even if at a considerably lower price than if splitting the proceeds with investors. Friends, family and fools: [Email readers, continue here…] This term, although pejorative, describes the typical mix of early investors in a small, young growing business.

Venture Capital 295

Venture Capital Startup Class Invest 295

Berkonomics

JUNE 8, 2017

Email readers, continue here…] Bootstrapping: This term describes your ability to start a business with little investment and grow it using internally-generated funds. You will realize much more from the ultimate sale of your business even if at a considerably lower price than if splitting the proceeds with investors.

Venture Capital 266

Venture Capital Class Invest Equity 266

Berkonomics

APRIL 6, 2012

Is the price paid for shares by previous investors excessive, creating a post-money valuation too high for the actual value of the company? Email readers, continue here.] This is only a minor problem in that both forms can convert easily into ‘C’ corporations at low cost and little consequence.

Venture Capital 198

Venture Capital Invest Pricing Class 198

InfoChachkie

FEBRUARY 25, 2013

Tool Users - Startups often have a long gestation period in which the team is in discovery mode, defining the company's value proposition, target market, pricing, business model, etc. Action vs. Analysis - Although its use is in decline, many MBA classes are still taught via the Socratic case method. Share and Enjoy.

Entrepreneur 279

Entrepreneur Technical Review Case Study Class 279

socalTECH

OCTOBER 15, 2018

Sendgrid offers up API-based email services, used by many Internet, e-commerce, on-demand and other service providers to send emails to their customers. Twilio said it would pay 0.485 shares of Twilio Class A common stock for each share of SendGrid common stock, or approximately $36.92 per share based on today's closing prices.

Orange County 113

Orange County Email Commerce Class 113

InfoChachkie

NOVEMBER 5, 2012

And then they said one thing that most marketers go their whole career never hearing, 'Listen Steve, price is irrelevant, it is speed that matters.' We had been pricing our graphics cards to be a low-cost provider. The first thing I did was raise our prices.". Good News Bad News. Share and Enjoy.

Marketing 271

Marketing Startup Sales Customer 271

Berkonomics

JUNE 15, 2017

Email readers, continue here…] There are also clauses in many such investor documents that allow the investor to override the founder and force a sale of the company if a proposed sale is attractive to an investor for liquidity, even if the founder feels that there is much more potential if the business is not sold at the present time.

Venture Capital 243

Venture Capital Sales Invest Class 243

Berkonomics

SEPTEMBER 2, 2011

A financial buyer will analyze your numbers, past and forecast, to the n’th degree, and calculate the price based upon the result, after carefully comparing your numbers with those of others in the same and similar industries. The price negotiated is not at all the critical factor in the emotional sale.

Sales 220

Sales Pricing IBM IBM 220

Berkonomics

MARCH 4, 2021

I recall the introduction of artificial intelligence into the hotel reservation process, a “one-up” on the airline method of yield managing the price of airplane seats. For argument’s sake, let’s credit the iPhone with igniting an entire product class. Artificial intelligence thirty-four years ago.

Artificial Inteligence 240

Artificial Inteligence Marketing Press Resource 240

Berkonomics

FEBRUARY 18, 2021

There are lots of ways to define how to market well, including the four P’s of marketing (1): product, price, promotion and place. More we are taught in marketing classes. Use all the techniques you learn in marketing classes to drive demand. Higher demand results in higher prices – if there is limited supply.

Marketing 156

Marketing Demand Class Pricing 156

Both Sides of the Table

SEPTEMBER 29, 2009

Three reasons: There is a relative valuation between the price a VC pays and their expectations of what it will exit for in an IPO or trade sale. The best MBA class I took was an investment strategy class. Despite my cynicism of MBA’s , this class was very valuable to me. Short answer – yes.

Venture Capital 263

Venture Capital Startup Invest Funding 263

Berkonomics

NOVEMBER 23, 2023

Some rules about stock options and phantom stock: [Email readers, continue here…] The real insight here is that stock options or phantom stock are the tools of early-stage businesses used to attract great talent when there is not enough cash to pay market rates. a share, then options must be priced at that amount.

Equity 156

Equity Class Pricing Sales 156

Berkonomics

MAY 23, 2024

How do you set the option price? The option price should be set by appraisal under IRS rule 409a, and certainly should be low enough to recognize that common stock options are not worth as much as preferred stock, given the many preferences of the latter. How about companies without intent to sell or IPO in future?

Venture Capital 156

Venture Capital Pricing Equity Invest 156

Both Sides of the Table

MARCH 31, 2012

I got an email recently from my friend & fellow VC, Jeff Bussgang from Flybridge Capital Partners in Boston. My list of excuses includes: product, pricing, competition and lack of sales support. I wrote separately about that here – regarding “hiring people who punch above their weight class.”

Startup 319

Startup Sales Course Competition 319

socalTECH

MARCH 6, 2009

For example, maybe they have a math problem, or there is something they are not understanding in science class, or maybe they need help with an English paper. So, we made it such that a tutor can ask any price they think is valid, with the question askers price used as a guideline. Obviously, that made me feel pretty good.

Class 150

Class Sites Altadena Pricing 150

Berkonomics

JULY 19, 2011

Even with the usual discount of 10%, the margins on hardware were high, especially when applied to prices that exceeded $30,000 per sale. . In the early eighties, IBM helped the PC become a tool of the office, and the product crossed over from use by early adopters to the mass market. Email readers, continue here.]

Pricing 184

Pricing Networking IBM IBM 184

Berkonomics

JULY 18, 2024

A valuable lesson from aviation for entrepreneurs [Email readers, continue here…] That’s a valuable lesson. If the market is moving quickly toward your class of product or service, you may be able to gain a piece just by being there at the right time with the right product or service.

Class 156

Class Marketing Product Services 156

Berkonomics

NOVEMBER 13, 2014

Email readers, continue here.] Each board member is legally tasked with two duties: the duty of care, and the duty of loyalty: care for the living entity that is the corporation itself, and loyalty not to the board member’s constituency, but to the corporation itself. The average board for a company taking outside investment money is five.

Resource 222

Resource Acquisition Class Help 222

Berkonomics

JANUARY 6, 2022

Especially when outside investors, venture capitalists or angels have put in substantial money, and the sales price is not enough to give them a reasonable return for the time and money invested, these investors can be – in a word – greedy. No-one complains if the sales price is ten times the investment since there is plenty to go around.

Venture Capital 156

Venture Capital Sales Pricing Equity 156

Berkonomics

MAY 9, 2024

The dominant player in any niche controls pricing for all those under it, and often sets the risk profile for new entrants into the niche if the dominant player’s products or services fill the needs of customers at reasonable prices and quality. Email readers, continue here…] Have you created high barriers to entry?

Patents 156

Patents Pricing Ideas Marketing 156

Berkonomics

DECEMBER 13, 2011

Email readers, continue here.] If the market is moving quickly toward your class of product or service, you may be able to gain a piece just by being there at the right time with the right product or service. The market was moving in the opposite direction from the company, and the company paid the ultimate price.

Class 149

Class Product Marketing Demand 149

Both Sides of the Table

FEBRUARY 27, 2011

Shervin Pishevar, another person who I respect wrote the following on Twitter, “ Saying you don’t like @AngelList is like saying you don’t like Email. As Shervin said, it’s just email. I have now put a filter on my email so it is auto-filed in Gmail. It’s a communication tool. My personal use.

Venture Capital 267

Venture Capital Writing Blogging Startup 267

Berkonomics

JANUARY 20, 2010

Email readers continue here.]. Bootstrapping: This term describes your ability to start a business with little investment and grow it using internally-generated funds. You will realize much more from the ultimate sale of your business even if at a considerably lower price than if splitting the proceeds with investors.

Venture Capital 174

Venture Capital Invest Class .Net 174

Berkonomics

JANUARY 27, 2010

Email readers continue here.] There are also clauses in many such investor documents that allow the investor to override the founder and force a sale of the company if a proposed sale is attractive to an investor for liquidity, even if the founder feels that there is much more potential if the business is not sold at the present time.

Venture Capital 168

Venture Capital Sales Invest Class 168

Berkonomics

MARCH 28, 2019

First: Is the price paid for shares by previous investors excessive, creating a post-money valuation too high for the actual value of the company? Email readers, continue here…] Second, it is important in the first investment round to face the issues that may be required later by subsequent, more sophisticated, investors such as VC’s.

Invest 120

Invest Venture Capital Pricing Class 120

Berkonomics

NOVEMBER 18, 2021

You’ve figured out your channels of distribution, pricing model and how to support your growing list of customers. Email readers, continue here…] And the third predictable crisis is…. So, your business has begun to take off. Don’t be alarmed by this next statement. That’s relatively easy. quality control.

Class 156

Class Customer Custom Email 156

Both Sides of the Table

SEPTEMBER 8, 2009

Do you really think Porter’s Five Forces is going to help you figure out what feature set to launch or how to price your product? Many MBAs took marketing courses but have never been on the front line of A/B testing, email campaigns or PR initiatives.

Startup 337

Startup Venture Capital Study Course 337

Berkonomics

OCTOBER 1, 2015

Especially when outside investors, venture capitalists or angels have put in substantial money, and the sales price is not enough to give them a reasonable return for the time and money invested, these investors can be – in a word – greedy. No-one complains if the sales price is ten times the investment, since there is plenty to go around.

Angel 120

Angel Sales Pricing Equity 120

Both Sides of the Table

APRIL 12, 2018

He launched a business called Unsubscribe, which helped consumers deal with the deluge of email lists that one gets signed up to and get rid of them all. Jamie’s ethos led him to price at just $3 / user / camera / month at a time when traditional home security companies’ monthly fees were so unaffordable.

Startup 247

Startup Pricing Product Marketing 247

Tech.Co

JUNE 3, 2022

Please fill in your email. We've detailed the prices and features to know in our guide to all of Square POS's account plans. Their system genuinely is top of the class for any small business, so it's worth considering with or without Tap to Pay. Sign up to the Tech.co newsletter. Please fill in your name.

News 138

News Newsletter Sales Tips 138

Berkonomics

NOVEMBER 7, 2013

This is where you find the superb Rails coder, and the world-class information architect, and the consummate sales guy, and the persuasive business development person, and the brilliant CFO. Each of the functions is crucial, and each is required to bring the good idea to fruition. That, however, will not be enough.

Startup 189

Startup Sales Ideas Entrepreneur 189

Both Sides of the Table

OCTOBER 2, 2015

After all, entry price registration question aside, they are all expensive once you factor in airfare, hotels, ground transportation, booths (if you have one), meals and – especially – time away from your day jobs? If you want to see world-class speakers and hear what they have to say in person – you will get that.

Web 150

Web Conference Technical Review Class 150

Both Sides of the Table

OCTOBER 1, 2009

I hear from several sources that Sequoia is very active in the market aggressively chasing several deals and even driving up prices on some early-stage deals. There has already been at least one high profile funding from this class, which is Thread – a product that raised $1.2 This is one book-end of the cycle. Seems an obvious fit.

Venture Capital 255

Venture Capital Marketing Startup Social Network 255

Both Sides of the Table

MARCH 1, 2011

We will white label the system, and not only that, we’ll allow you to set your own pricing.” Luckily, he had a world class team of more than two dozen committed people ( including Mike Fisher from PayPal/eBay ) who stuck it out with him. We can do better. I think I can do a lot better than Google can do. How is that unique?

Google 302

Google Startup Advertising Acquisition 302

Berkonomics

DECEMBER 13, 2018

If the market is moving quickly toward your class of product or service, you may be able to gain a piece just by being there at the right time with the right product or service. The market was moving in the opposite direction from the company, and the company paid the ultimate price.

Marketing 120

Marketing Class Startup Research 120

Berkonomics

DECEMBER 13, 2018

If the market is moving quickly toward your class of product or service, you may be able to gain a piece just by being there at the right time with the right product or service. The market was moving in the opposite direction from the company, and the company paid the ultimate price.

Marketing 120

Marketing Class Startup Research 120