I spoke at Womensphere a few weeks ago, a conference centered around empowering women and girls. I discussed my family’s approach to raising entrepreneurial kids, and some parallels to ffVC’s approach to supporting our portfolio entrepreneurs.
It is a new era, and venture capital is at a crossroads. The old way of doing business is being challenged, and no more so than on the investing and fundraising sides. Over the next five years, the entire industry will be transformed, and everyone in the ecosystem will be affected. Some will lead, some will follow and some will fall by the wayside.
A few weeks ago, I had my first-ever opportunity to visit the Miami startup ecosystem. I was visiting as part of Terrapinn Private Equity World, a leading private equity conference for the Latin American technology community. You might assume the event took place in Sao Paolo or Mexico City, but no, it was in Miami, and will be again in 2014.
One of my responsibilities at ff Venture Capital is helping to accelerate value creation in our portfolio companies. I published the first research study on this topic in the Journal of Private Equity, peHub, Betabeat, and Techcrunch...
I have to say: I am thoroughly excited that Search just became interesting again.
A good domain name can catch attention, biasing people to prefer your company over competitors, and making it easy to reach the website if and when they decide to use it. A bad domain name can sink you. Like a storefront and location in the offline world, your domain name is the very first vehicle by which potential investors/customers/employees evaluate your company before they even engage.
Let’s say you decide to invest in a VC fund. Congratulations: you’re now supporting the least unpopular part of the investing industry. That said, how do you avoid suffering the poor median returns the industry is known for? Assuming you have a large amount of capital to invest, the relatively easy decision is to invest in one of the brand-name, multi-billion dollar VCs. However, the conventional wisdom is that small VC funds have ...
Every major study conducted to date has placed angel investors’ IRR between 18 and 38 percent, as summarized by my Partner John Frankel and Professor Robert Wiltbank in prior Techcrunch articles. The bad news: the data on angel returns has historically been difficult to obtain, analyze, verify, and therefore rely upon.
Having spoken with many limited partners, it is clear that there is a lack of access to the research out there that compares return generation from different venture classes and, in particular, compares angel returns with those of venture funds. I finally have had the time to collate the research we have found, and am happy to share it. This post is quite technical, but the bottom line is simple: angel-stage funds outperform.