Steve Blank at Entrepreneur Corner writes with the inflammatory headline, “Can you trust any VCs under 40?“ He doesn’t actually talk about trust, but instead gives us a gloss on the history of the original Internet IPO bubble (1995-2000) and the subsequent mini-boom in M&As (2003-2008). His thesis is that any VC under 40 has [...]
Posts under ‘vc’
The Downturn, REAL vs. FAKE VCs, and REAL WEALTH
In early October 2008 I was asked by a local entrepreneurial booster group for a quote giving VCs’ take on the state of the financial world. Here’s what I wrote (but was too busy/lazy to blog) at the time:
REAL VCs have committed funds from stable, liquid, institutions who are not going away (state governments, [...]
VCs and the Naughty Bits
I spotted a piece by Paul Kedrosky today during a blog-feeds-catchup-session where Paul talks about a sort of “(minimum) two degree of separation” rule that VCs maintain between themselves and the sex industry. (Quotes above for my words, not his.) In other words: benefiting from infrastructure, transport, payment mechanisms — [...]
Liquidation Preferences: A Response to Leo Dirac
In a recent blog entry, Leo Parker Dirac poses the question of the fairness of liquidation preferences in VC financings of startups. He’s going to be delivering a lightning talk based on it tonight at Ignite Seattle.
(To those of you who don’t know, liquidation preferences, or prefs, are [...]
VC Career Snippets: "The Wormhole"
This is the first of a series of “snippets” about getting a job in VC. I get asked about this approximately weekly, so I am going to try and do a highlights reel of things I tell people or thoughts I come up with on the topic.
In a nutshell, VC [...]
VC Essential Tensions: Momentum vs. Contrarianism
It is my intention to begin a series of entries dealing with “essential tensions” in investing in general and VC in particular. This is the first of the series.
Venture capital as an industry deals with momentum investing. Paul Kedrosky has argued on his Infectious Greed blog that VC is a [...]
VCs Are Not Your Channel (But They Might Be Your Friends)
Occasionally I get calls from folks who get the bright idea that, since VCs have a bunch of portfolio companies under influence, they can leverage selling their stuff by talking to me instead of pounding the pavement to the whole portfolio.
If you’re thinking of doing this, remember that we (VCs) are [...]
Hint: Nobody Has Any Idea How This Thing Works
In Venture Capital, we have lots of rules of thumb for assessing entrepreneurs. Some such rules are:
Invest in guys who are already rich, because they have fewer distortions in their motivations.
Invest in guys who aren’t already rich, because they’re hungry.
Invest in guys who have put their own wealth at risk, because [...]
Guy Kawasaki Hates Me
In a post entitled The Venture Capital Aptitude Test, quasi-famous blogger and sorta-VC Guy Kawasaki rags on junior venture investors in general and on young VC associates in particular. He prescribes “contempt” for “any young person who opt[s] for venture capital” and implies that such people are “full-of-shi[t]” (saying “shiitake” [...]
Earnings Calls in a Trippy Vortex
Today, I called up a news release on finance.yahoo.com for a fairly dodgy publicly traded company. Although I expected to find a transcript of the earnings call, or perhaps a brief table summarizing the expected and actual earnings numbers, I was given a link to the full audio of the call.
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