So venture capital turns out to be a pretty tough business. Imagine a $150m seed VC fund that buys 15% stakes in each startup. They write some follow-on checks, but ultimately, typically get dilutive to about 10% ownership. Then one start-up in the fund is sold for...
Synthesia Co-Founder and CEO Victor Riparbelli deep dive into the lessons learned about building an Enterprise-focused Generative AI company and scaling it.
Dear SaaStr: If you have old founders who left the company and kept their shares, on what valuation you buy their shares? Generally speaking, there are two paradigms: Buy them out at Common Stock price (which is what they in fact own), based on the lastest option...
Here's the thing about venture right now Seed stage remains vibrant, similar to any of past 5-6 years Series A and later has gotten over 2021, and is back in market … but … Has moved back to Default No Pacing is far slower because of it — Jason...
Dear SaaStr: How Can I Make Sure My Board Doesn’t Fire Me? Founders are often guarded toward most VCs. Perhaps they should be. That’s a different, and longer conversation. And one thing founders tend to worry about is — can I be fired by my...
So I’ve seen a trend among many startups these days which is to sort of have a VP or Director of Business Ops instead of a VP / Director of Finance. They handle the cash too, but also go deep on the business in a way a “finance person” usually simply can’t. These...
Dear SaaStr: Do Shares Get “Forward Vested in an Acquisition? Stock vesting is accelerated very rarely in an acquistion. In 95%+ of cases, the acquirer wants folks to keep vesting just as before — or more so. Even where the option agreements or bylaws or...
Dear SaaStr: Could you tell about the very first time you approached investors and how you proceeded in detail? The first time I approached investors it went well — until I blew it. I did start off with some privilege. While I hadn’t raise money before myself, my past...
Dear SaaStr: From An Investor’s Perspective, What is a “Good” Exit Strategy/Plan for a SaaS Company That’s Raising a Seed Round? Ok, people are going to tell you not to have a slide or discussion on an “exit strategy” and they are...
So I firmly believe you can build an incredible SaaS startup from anywhere now, or at least, any major-ish tech center. See, e.g., Atlassian, Canva, Cloudflare (CEO now in Park City), Adyen, etc. Heck, Oracle apparently is moving to Nashville! And yet … gravity is...