Both Sides of the Table

SEPTEMBER 14, 2010

This is exactly what happened in the broader VC industry between 1999-2001 as many people without the requisite skills entered the industry. But with its growth and success it will encourage many people to enter the market who will lack 5 critical success criteria for earning positive returns.

angel investing 306

angel investing investment investing VC 306

Both Sides of the Table

DECEMBER 13, 2010

Within a year, by late 2000 / early 2001 consulting firms were firing people en masse. On July 27th, 2001 Accenture IPO’s and many of the partners grew fabulously wealthy. Andersen had lost its long-time CEO, George Shaheen, was hemorrhaging staff and wasn’t exactly known as being an Internet pioneer.

consulting 302

consulting leadership entrepreneurs advice 302

Both Sides of the Table

JULY 29, 2015

I saw this in 2001-2003 and in 2008-2010. You find out those that have the fortitude to work out a new way forward, who can handle recapitalizations or downsizing or shutting down business lines or hiring whole new teams.

creativity 378

creativity culture entrepreneurs energy 378

Both Sides of the Table

NOVEMBER 29, 2010

We went “nuclear&# and slimmed down to 33 people (yes, I know, still large by today’s standards but this was 2001), raised $10 million and we built a real company. I learned everything I know about startups in these lean years: 2001-2004.

culture 333

culture construction startup advice 333

A VC: Musings of a VC in NYC

DECEMBER 29, 2021

It reminds me of the early days of web2 in 2001/2002/2003, when we started USV. The good news is there are literally tens of thousands of teams building new things on a web3 stack now. Some of the best entrepreneurs and developers have moved over. The tooling is getting better. That was also a time of great cynicism.

financing 274

financing finance development communities 274

Entrepreneurs' Organization

JULY 6, 2020

Like the downturns in 2008 and 2001, this has been a very trying time for entrepreneurs running startups. Contributed by Rizwan Virk , author of S tartup Myths and Models: What You Won’t Learn in Business School. The pandemic of 2020 has tested most sectors of the economy.

peer-to-peer 328

peer-to-peer startup advice entrepreneurs 328

A VC: Musings of a VC in NYC

APRIL 13, 2021

It is a little known part of my career, but for a brief period from 1997 to 2001, I was part of a small group of investors who helped to create a startup ecosystem in Latin America. It all started with a company called StarMedia which created a Yahoo-like “portal” for Latin America.

entrepreneurship 192

entrepreneurship startup ecosystem VC pitching 192

Entrepreneurs' Organization

MARCH 20, 2020

Within a few days of 11 September 2001, I purchased plane tickets for optional personal travel. We are also negotiating payment terms with creditors such as landlords, freezing raises, eliminating all but the most essential expenses and exploring a range of other steps. New York City lost so much of its important economic driver, tourism.

consulting 193

consulting strategy education health 193

A VC: Musings of a VC in NYC

DECEMBER 31, 2022

The carnage has been massive and reminds me of what happened to the web sector in 2000/2001. Many large centralized entities; lenders, exchanges, crypto funds, etc, blew up when the value of web3 assets declined 70-90% over the course of 2022. Some of this has been markets doing their thing, but not all of it was.

disruption 244

disruption accelerator capital startup 244

Both Sides of the Table

MAY 19, 2013

Dedicated Public Servant : Garcetti has been a member of the LA City Council since 2001 and was a three-time president. Smart : He was graduated from arguably our top-rated high school (Harvard Westlake), B.A. from Columbia, Rhodes Scholar at Oxford and studied at London School of Economics.

communities 325

communities advice innovation financing 325

Both Sides of the Table

JULY 22, 2010

Due to competitive markets we ended up with a pretty good term sheet until we needed to raise money in April 2001 and then we got completely screwed. Back in 1999 when I first raised venture capital I had zero knowledge of what a fair term sheet looked like or how to value my company. Those were the dog days of entrepreneurship.

founder 405

founder VC venture capital entrepreneurs 405

This is going to be BIG.

MAY 5, 2023

Last August, I passed the point at which I had spent literally half my entire life working in this asset class, having started at the General Motors pension fund doing institutional investments in venture funds and late-stage directs back in February of 2001.

ventures 545

ventures investment investing VC 545

Both Sides of the Table

SEPTEMBER 18, 2014

At an accelerator … Me: Raising convertible notes as a seed round is one of the biggest disservices our industry has done to entrepreneurs since 2001-2003 when there were “full ratchets” and “multiple liquidation preferences” – the most hostile terms anybody found in term sheets 10 years ago.

venture capital 417

venture capital capital ventures financing 417

AsiaTechDaily

MAY 3, 2024

Established in 2001 with a vision to create a thriving ecosystem for innovation and technology (I&T), HKSTP has since become a cornerstone of […]

innovation 98

innovation entrepreneurship ventures technology 98

Both Sides of the Table

DECEMBER 11, 2022

2001–2007: THE BUILDING YEARS The dot com bubble had burst. Sure, we built SaaS products before the term even existed but at 31 it was hard to delineate reality from what all of the monied people around us were telling us what we were worth. Until we weren’t. Nobody cared about our valuations any more.

VC 466

VC culture sustainability capital 466

Both Sides of the Table

FEBRUARY 8, 2010

My chips were down in late 2000 / early 2001. You’ll have to sort though how much is sour grapes versus reality but … wouldn’t you rather have all data points? My story briefly. I had 5 investors at the time. That “nobody knew me&# was being polite. Nobody wanted anything to do with Internet companies.

VC 288

VC advice entrepreneurs venture capital 288

Both Sides of the Table

FEBRUARY 25, 2010

I lived through this again September 2001. I lived through this again September 2001. Many companies that were in the process of raising money did not. It quickly became impossible to raise venture capital. Anybody who didn’t close was dead. I don’t even need to mention the date for you to know what happened.

venture capital 301

venture capital advice VC real estate 301

Both Sides of the Table

SEPTEMBER 2, 2009

In my first company I had to raise money in April 2001 or die. And importantly you start thinking about your next gig. That’s when the VC has lost. I know because I’ve been there. I took money with a 3x participating preferred liquidation preference with 8% compounded interest annually.

founder 329

founder VC advice pitching 329

Both Sides of the Table

SEPTEMBER 27, 2010

I discussed it in my post on the topic linked above. ** One small note: many VCs who got into the industry in 2001 or later have never seen a “carry&# check. The hardest thing is deciding what the right time to allow founder liquidity is.

disruption 308

disruption VC entrepreneurs financing 308

Entrepreneurs' Organization

JUNE 8, 2022

In 2001, while serving in the Hawaii Air National Guard, I started working for ABM Onsite Services as the Administrative Assistant. I was raised by my single mother in Honolulu, Hawaii. I enlisted in the Hawaii Air National Guard right after graduating high school and served for 20 years as a Cyber Transport Systems Technician.

entrepreneurs 257

entrepreneurs leadership culture communities 257

This is going to be BIG.

JULY 30, 2015

One of the first things I did when I joined the venture asset class as a lowly institutional LP analyst in 2001 was to build the VC fund cashflow model. Just about every analyst who looks at fund investing has built one.

venture capital 419

venture capital capital ventures VC 419

Both Sides of the Table

DECEMBER 18, 2009

This was soon after the bursting of the dot com bubble – in early 2001. The agreement was that both sets of investors would fund the combined entity, we would reduce overlapped costs and become a healthier company. We were going to avoid the embarrassment of being a total dot com flame out.

entrepreneurs 298

entrepreneurs advice VC SaaS 298

Both Sides of the Table

JULY 16, 2010

The VC industry grew dramatically as a result of the Internet bubble - Before the Internet bubble the people who invested in VC funds (called LPs or Limited Partners) put about $50 billion into the industry and by 2001 this had grown precipitously to around $250 billion.

VC 311

VC startup real estate financing 311

Both Sides of the Table

APRIL 22, 2010

When my company hit the fan in 2001 I could have easily walked and gotten a better paying job. Especially when this job hopper has them out for drinks to talk about his cool new gig where the grass is currently greener. And good VC’s feel the same way.

advice 392

advice peer-to-peer consulting startup founder 392

Both Sides of the Table

OCTOBER 22, 2009

This was a reasonable achievement when you consider that it was 2001-02, one of the worst years to be selling enterprise software and we were selling it SaaS style, which was still evangelical back then. Let me tell you my story. In my first company we had achieved a small bit of scale. In our first year of sales we did $2.1 million.

startup 327

startup advice SaaS consulting 327

Both Sides of the Table

AUGUST 24, 2015

I’ve seen friends (and family members) lose much of their savings that way over the years because “Black Swans” happen and in 1987, 2001, 2003 & 2008 (just to name a few from my memory) huge market gyrations caused much financial distress to people seeking short-term gains.

financing 344

financing finance ventures real estate 344

Both Sides of the Table

JUNE 22, 2011

An obvious example is Google who may have gotten less market attention if there would have been 8 well-financed competitors during the 2001-2005 timeframe. Those with strong business models suddenly stand out when the tide goes out.

real estate 309

real estate entrepreneurs finance financing 309

TechCrunch

JANUARY 25, 2021

Founded by Tanya Van Court, who lost over $1 million in the 2001 bubble burst, the platform teaches financial literacy to children of all ages, helping them learn economic concepts, lingo and the principles of financial health. Brown, Ryan Bathe, CC Sabathia and Amber Sabathia.

education 108

education health accelerator investment 108

Entrepreneurs' Organization

DECEMBER 10, 2018

After having worked in London, Frankfurt and San Francisco, he returned to Hamburg in 2001, where he lives with his wife and his seven-year-old twins. Torsten Oppermann has specialized in digital brand communication, social media and online marketing for more than 20 years.

sustainability 141

sustainability creativity media culture 141

Dream It

APRIL 12, 2020

Martino outlined essentially two types of outcomes for this financial crisis from a historical perspective: “In 2001-2003, there was a depression in Silicon Valley. “This is where history is very important, and we don’t yet know the situation we’re in yet.” It went from 1 million employed people to 750k employed people within 18 months.

ventures 334

ventures startup capital board 334

Entrepreneurs' Organization

APRIL 20, 2022

I’ve heard EO members say, “Well, my business tanked in 2001, and I figured it out, so I can figure it out again,” or “I’ve been bankrupt four times. Entrepreneurs are completely undaunted by a negative turn of events. I’m not afraid.”.

entrepreneurs 198

entrepreneurs networking frameworks transportation 198

Both Sides of the Table

JULY 29, 2010

The A round was done in February 2000 (end of the bull market) and my B round was done in April 2001 (bear market). I explain in the video what happened in my first company (e.g. on the entrepreneur side of the table) when I raised at too high of a price. I eventually needed more money. As a result I had to do a down round.

venture capital 282

venture capital capital ventures angel investing 282

Entrepreneurs' Organization

JULY 26, 2018

Jeff Carruthers founded Resonate in 2001, and has steered the business with a focus on what makes organizations relevant to contemporary customers as well as a keen eye for technical innovation. He joined EO in 2015.

board 130

board innovation technology culture 130

Tomasz Tunguz

JUNE 19, 2022

Amazon stood fast to their principles throughout. Just as important, though, Amazon managed their finances well. Net Income, $m. Cash & ST Equivalents, $m. Before the dotcom crash, Amazon grew at 68% and lost -$1.4b in net income.

construction 122

construction accelerator finance financing 122

HPA

AUGUST 10, 2021

As the CEO of Jellyvision , Amanda has been a key figure in driving the company since its founding in 2001. Congratulations to HPA Member Amanda Lannert for being inducted into the Chicago Innovation Hall of Fame! Under her leadership, Jellyvision has become one of Chicago’s fastest growing tech companies.

innovation 91

innovation leadership board communities 91

Both Sides of the Table

SEPTEMBER 29, 2009

Just ask anybody who was trying to close funding the fateful week of September 11, 2001 or even March 2000. When venture capitalists scale back investing activities it can be very swift and leave many companies that are in the process of fund raising hung out to dry.

VC 263

VC board investment investing 263

Berkonomics

MARCH 25, 2012

Years ago, confronted with the same conundrum, in the middle 1990’s I came up with a method of assessing the value of critical elements of a startup without having to analyze the projected financials, except to the extent that the investor believes in the potential of a company to reach over $20 million in revenues by the fifth year of business.

investment 128

investment investing technology opportunity 128