Venture Capital Funding Explained

Venture Capital Definition What is venture capital and why use it? How much can a startup raise from a venture capital company? At what stage of a startup development is the right time to seek venture capital help. Venture capital is a type of financing that is associated with high-risk investments. It is usually performed on startups or other businesses that have the potential of extraordinary growth in a relatively short period of time. There Read more…

Startup Series Of Funding And How It Works

Challenges When Raising Funds When we discuss the process of raising money for a startup it is usually assumed that we talk about diluted (equity) funding. This simply means that you will be giving away ownership of your company. Non-diluted funding means you will be getting money, but will not be partially losing ownership of your company. An example of diluted funding would be taking money from an angel investor, whereas non-diluted funding would be Read more…

Startup

How Much Should A Founder Be Compensated

Why Founder Compensation Is An Important Question Founders are the engines in a startup. A founder can make or fail a startup. This has been seen and proven many times in Silicon Valley history. The startup folklore is filled with stories of heroes, daemons, and socially awkward leaders of unicorn companies. An average startup will have a structure integrating investors, employees, and founders. Each group has different goals, targets, and daily operation milestones to achieve. Read more…

Whole Product Concept as MVP

Whole Product Concept The Whole Product Concept is a different way of thinking when you make an offer to your customers. The concept was first introduced by Theodore Levitt and Regis McKenna, but it really picked up as an alternative way of thinking after Geoffrey Moore popularized it in his book “Crossing the Chasm”. There are some differences in the presentation of some of the details in Geoffrey Moore’s book compared to the original idea, Read more…

Anti-fragility in Building a Startup

Building Systems for the Modern World Here I want to focus on a relatively new notion of building antifragile systems. We will focus mainly on principles and approaches describing services and products, not organizations or teams. The antifragile approach works for teams and companies too, but I believe a more targeted approach to what is the result of a startups activity is closer to a founder’s needs. We are past the time when we could Read more…

What a Startup Can Learn From the Current Coronavirus COVID-19 Emergency

The Strain on Startups The spread of the SARS-Coronavirus-2, which is responsible for the COVID-19 respiratory disease, is putting to the test many startups. This is an emergency situation that presents both – restrictions and opportunities. Many startup founders will have to deal at the moment with the inability to meet in person with clients and work with them to educate, sell, and implement their services and products. It will also limit the opportunities for Read more…

Why Startups Fail

Starting a new business It takes determination, bravery and a serious dose of wild optimism to start a new business. To build a startup is even more demanding than building a business because in addition to all factors when building a business, it is expected that you are building something that scales and provides a two digits month-to-month growth. It takes hard work. Despite all efforts, about 70% of new businesses won’t celebrate their 10-year Read more…