The document discusses how early stage venture capital investing is changing, with more data-driven techniques being used and the market becoming more transparent and accessible. Key points include venture capital now focusing more on deal selection than sourcing, the use of metrics and analytics to evaluate startups, and standardized terms in new financings with continuous rounds rather than discrete rounds. Early checks should be small and fast to test companies, with potential to double down on investments that survive into subsequent rounds.
30. @paulsingh
#mentorcamp
(500) CHECKLIST
Product solves a problem for a specific target customer
Capital-efficient businesses - operational @ <$1M funding
Primarily internet-based distribution - search, social, mobile, local
Simple revenue models - transactions, subscriptions or affiliate
Functional prototype before investment (or previous success)
Small but measurable usage - some customers, early revenue
Small but cross-functional team - engineer, design/UX, marketing
32. @paulsingh
#mentorcamp
THE BUSINESS OF INVESTING
IS ABOUT CHOOSING THE
LEAST-WORST OPPORTUNITY
NOT TRYING TO PREDICT THE NEXT GOOGLE, FACEBOOK OR LINKEDIN.
40. @paulsingh
ALSO...
#mentorcamp
Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList
Raise 12-18+ months of funding
Learn the basics of VC economics
Don’t confuse due diligence with progress & probability...
Shameless plug: dashboard.io
41. @paulsingh
#mentorcamp
THE BUSINESS OF
(TECH) INVESTING
THE RISE OF THE ANGELS (AND THE ENTREPRENEURS)
LEARN MORE:
bit.ly/dashboard-weekly
@paulsingh・paul@dashboard.io・dashboard.io