Opinions and Thoughts on Venture Capital, Investing, and Startups
I had two pitches last week where the entrepreneurs were talking about huge billion Dollar markets ... but the initial "customers" they were talking to didn't feel the urgency and sales were lagging. "I know this is a huge market. There is a lot of research about it. We need to spend more money for … Continue reading Huge Markets with No Revenue: Initial Product-Market-Fit
I got a late-stage secondary opportunity today, shopped around by a bank. A major bank. They attached a list of comps and calculated the "risk": Enterprise Value to Revenue to Revenue growth (aka "EVRG"). It's almost worse than a Price-to-Earnings-to-Growth (aka "PEG") ratio. I think the idea here was that there is a high EV-to-Revenue … Continue reading Bullshit Metrics: PEG and EV/R/G
Grab your CEO and have lunch. Chances are, she has once started just like you. And everybody has to eat at some point. Here are some questions that are great for getting some insights on strategy, challenges, and culture -- even if you only have five minutes: What the biggest frustration in your job? What's … Continue reading Lunch with Your CEO: 7 Great Questions to Ask.
It is confusing for me why people are talking about "we're using AI to do <XYZ>". AI is a system, not a technology. You need to operate with the system. You cannot replace a specific technology or platform with AI if you don't replace all the systems as well. AI is a system of: People … Continue reading AI is a System, not a Technology.