If your employees had magically one additional workday more per week than your competitor, what would you have them work on? If you would magically have $50,000 more budget per week, what would you spend it on? Many startups are struggling with pricing when their product or solution is saving cost or time (or both): … Continue reading The Most Important Pricing Questions for Cost Saving and Efficiency Products
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.
Angel, seed, and early-stage venture capital investments are getting more and more expensive over the last 10 years. Investors write larger checks but don't get more ownership at the same rate. Last Monday, Pitchbook released their 1H 2019 Valuation Report (data as of 06/30/2019). The report has interesting charts, such as: Two charts from PitchBook's … Continue reading Early-stage Ownership is Getting More Expensive for Angels, VCs
Selling is a service. You are solving a real problem. You are addressing a valuable need -- doing nothing or doing the wrong thing could have catastrophic consequences for your customers . But if you are just selling to make your quota you are neither helping yourself nor are you helping your startup and executive … Continue reading Sales: “I’m so glad I could help.”
What does your customer want to buy? Are they using your product as a stepping stone or enabler to a much bigger transformation? Or are you part of a larger product and fit the puzzle? Are you selling a product or a platform? I listened into sales conversations at one of our startups. The product … Continue reading Sales Strategy — Selling a Product Versus Selling a Platform.
Sales people have to close deals. The VP of Sales has to make sure to hit her quarterly target. Everyone hates the deals that are stalling, that seem to be stuck. As a board member, I have to be strategic. Slow-moving deals are a unique opportunity to uncover systemic problems in the sales motion, reveal … Continue reading Sales — Five reasons why I love slow moving deals.
SEG: 1Q19 SaaS M&A Update, via http://softwareequity.com/research/ SaaS multiples of venture-backed SaaS Startups are driven down by volume and choice. Tom Tunguz has written a lot about SaaS multiples, specifically about Where are SaaS Companies Priced After the 2018 Correction. We are getting a lot of inquiries from VCs, entrepreneurs, and LPs alike about pricing. … Continue reading Volume and Choice drive down Startup SaaS M&A Multiples.
[There are countless obvious lessons from Jocko's books and podcasts that apply to all people and all companies. Here are some insights that might be less obvious from the last #muster.] Some VCs talk about startups needing to be paranoid, with an obsessive attention to what is going on in the environment around them. I … Continue reading Jocko and Startups: Default Aggressive.
Enterprise CTOs or CIOs often ask me about how IT will change in the future, about the "Disruption of Technology in 3-5 years". Most CTOs and CIOs realize that that is primarily a strategic question rather than a question about a certain vendor or technology. I usually explore the specific challenges together with the executive … Continue reading The Future of IT: The Next Five Years.
After the last blog post (Startups: Don't compete on "nimble" and "cash burn.") I got a lot of questions on how to look at these public companies with negative EBITDA or negative Net Income. Here are some ideas. Dataset 1: Public Companies with Negative EBITDA Some companies have a negative EBITDA, but massive revenue growth, … Continue reading Datasets for Public Companies with Negative EBITDA or Net Income