By John Bautista, Partner at Orrick.
Join us IRL next time! http://meetup.com/thefamilyspecialevents
The contents of this video are intended for general information purposes only and should not be considered or construed as legal advice. The distribution of this presentation or its content is not intended to create, and receipt of it does not constitute, an attorney-client relationship. (The views set forth herein are the personal views of the presenters and do not necessarily reflect those of Orrick, Herrington & Sutcliffe.)
Venture Capital Masterclass #vcmasterclassNikolas Samios
Watch the Video here: https://youtu.be/NPof5Pr2B_Y
Download the excel here: https://t.co/zyKTfk81hv
Full presentation from our 1. Venture Capital Masterclass from 15.11.2016 @ former Airport Tempelhof, Berlin. Hear from our Chief Investment Officer how to structure a Venture Capital Deal including Liquidation Preferences, VSOP, Vesting, Pools, Boards and more. Follow us on facebook.com/GermanStartupsGroup or twitter.com/germanstartupsg for news and updates.
Disclaimer: NO TAX AND LEGAL ADVISE! ASK YOUR TAX AND LEGAL ADVISORS FIRST BEFORE IMPLEMENTING ANYTHING!
Lean Startup - by Hristo Neychev (bring your ideas to life faster, smarter, a...Hristo Neychev
Lean Startup ideas, trends, and best practices through the lens of my experience in four industries, three startups, and two continents.
Lean Startup methodologies are applicable to both small and large organisation focused on creating new products and services under conditions of extreme uncertainty.
Product Market Fit Presentation - May 2023 - Jeff BussgangJeffrey Bussgang
A systematic walk through of the journey to achieve product market fit by Jeff Bussgang, general partner at Flybridge Capital Partners and senior lecturer at Harvard Business School
Dispatches From The New Economy: The Five Faces Of The On-Demand EconomyIntuit Inc.
From people determined to be their own boss, to those embracing the flexibility to do something they love, to workers finding a replacement for a traditional job – people working in the on-demand economy are just about as diverse as the labor market itself. A new report from Intuit Inc. and Emergent Research shows that there are a broad range of motivations – and differing levels of satisfaction – among five distinct groups of on-demand workers:
The Business Builders – primarily driven by the desire to be their own boss. They represent 22 percent of on-demand workers.
The Career Freelancers – happily building a career through independent work. They represent 20 percent of on-demand workers.
The Side Giggers – looking to find financial stability by supplementing existing income. They represent 26 percent of on-demand workers.
The Passionistas – looking for the flexibility to do something they love. They represent 18 percent of on-demand workers.
The Substituters – replacing a traditional job that is no longer available. They represent 14 percent of on-demand workers.
Methodology
A total of 4,622 workers who find work opportunities via the platforms provided by the participating partner companies completed an online survey between September 11 and October 1, 2015. The results were weighted to reflect the proportion of workers in each of the following segments: Drivers/Delivery, Online Talent Marketplaces and Field Service/Onsite Talent. The weights were developed using earlier survey work that sized the on-demand economy. The largest weighted share of on-demand worker respondents from any single company is 16%, with most partner companies providing less than 10% of the respondents.
Product market fit is achieved by finding the successful intersection of product iteration, competition/market and go-to-market strategy. Finding product market fit (PMF), however, is hard when these three factors confound problem solving in the search for PMF.
Fortunately, competition tends to be roughly constant over the period in which a startup is solving for PMF. To control between product iteration and GTM, go-to-market can be broken into five sub-steps in any of which product changes are small enough not to confound. This allows GTM tactics and strategy to be tested and proven or disproven.
The five steps are first sale, founder sales, first sales person, sales leadership, scaling sales - each a distinct stage that can be tested and measured. There are metrics abound to measure sales performance, but many - including funnel conversion metrics, LTV and CAC - are fuzzy and imprecise in the early stages of a startup. What matters is whether a software business is adding adequate net new revenue per cash burned as measured by monthly increase in MRR per monthly net cash burned. Cash efficiency should go up at each successive go-to-market step.
Venture Capital Masterclass #vcmasterclassNikolas Samios
Watch the Video here: https://youtu.be/NPof5Pr2B_Y
Download the excel here: https://t.co/zyKTfk81hv
Full presentation from our 1. Venture Capital Masterclass from 15.11.2016 @ former Airport Tempelhof, Berlin. Hear from our Chief Investment Officer how to structure a Venture Capital Deal including Liquidation Preferences, VSOP, Vesting, Pools, Boards and more. Follow us on facebook.com/GermanStartupsGroup or twitter.com/germanstartupsg for news and updates.
Disclaimer: NO TAX AND LEGAL ADVISE! ASK YOUR TAX AND LEGAL ADVISORS FIRST BEFORE IMPLEMENTING ANYTHING!
Lean Startup - by Hristo Neychev (bring your ideas to life faster, smarter, a...Hristo Neychev
Lean Startup ideas, trends, and best practices through the lens of my experience in four industries, three startups, and two continents.
Lean Startup methodologies are applicable to both small and large organisation focused on creating new products and services under conditions of extreme uncertainty.
Product Market Fit Presentation - May 2023 - Jeff BussgangJeffrey Bussgang
A systematic walk through of the journey to achieve product market fit by Jeff Bussgang, general partner at Flybridge Capital Partners and senior lecturer at Harvard Business School
Dispatches From The New Economy: The Five Faces Of The On-Demand EconomyIntuit Inc.
From people determined to be their own boss, to those embracing the flexibility to do something they love, to workers finding a replacement for a traditional job – people working in the on-demand economy are just about as diverse as the labor market itself. A new report from Intuit Inc. and Emergent Research shows that there are a broad range of motivations – and differing levels of satisfaction – among five distinct groups of on-demand workers:
The Business Builders – primarily driven by the desire to be their own boss. They represent 22 percent of on-demand workers.
The Career Freelancers – happily building a career through independent work. They represent 20 percent of on-demand workers.
The Side Giggers – looking to find financial stability by supplementing existing income. They represent 26 percent of on-demand workers.
The Passionistas – looking for the flexibility to do something they love. They represent 18 percent of on-demand workers.
The Substituters – replacing a traditional job that is no longer available. They represent 14 percent of on-demand workers.
Methodology
A total of 4,622 workers who find work opportunities via the platforms provided by the participating partner companies completed an online survey between September 11 and October 1, 2015. The results were weighted to reflect the proportion of workers in each of the following segments: Drivers/Delivery, Online Talent Marketplaces and Field Service/Onsite Talent. The weights were developed using earlier survey work that sized the on-demand economy. The largest weighted share of on-demand worker respondents from any single company is 16%, with most partner companies providing less than 10% of the respondents.
Product market fit is achieved by finding the successful intersection of product iteration, competition/market and go-to-market strategy. Finding product market fit (PMF), however, is hard when these three factors confound problem solving in the search for PMF.
Fortunately, competition tends to be roughly constant over the period in which a startup is solving for PMF. To control between product iteration and GTM, go-to-market can be broken into five sub-steps in any of which product changes are small enough not to confound. This allows GTM tactics and strategy to be tested and proven or disproven.
The five steps are first sale, founder sales, first sales person, sales leadership, scaling sales - each a distinct stage that can be tested and measured. There are metrics abound to measure sales performance, but many - including funnel conversion metrics, LTV and CAC - are fuzzy and imprecise in the early stages of a startup. What matters is whether a software business is adding adequate net new revenue per cash burned as measured by monthly increase in MRR per monthly net cash burned. Cash efficiency should go up at each successive go-to-market step.
Pitch Deck
A pitch deck’s goal is to make an investor excited in you and your business. To do this you need to tell a compelling story in about 20-30 minutes.
Here is a good starting point for your pitch deck storyline
Fill in the details with your answers to the last section and talk the story out loud. You should iterate on the order and the content to get it flowing right. As a general rule, put your companies strengths higher up the order.
OPENING SLIDE
BUSINESS DESCRIPTION
PROBLEM
SOLUTION
MARKET SIZE
COMPETITIVE LANDSCAPE AND DIFFERENTIATION
SUSTAINABLE COMPETITIVE ADVANTAGE
TRACTION / STAGE OF DEVELOPMENT
BUSINESS MODEL AND MONETIZATION
MILESTONES AND INVESTMENT PROPOSITION
TEAM
CONCLUSION
From Product Vision to Story Map - Lean / Agile Product shapingJérôme Kehrli
A lot of Software Engineering projects fail for a lack of shared vision due to poor communication among people involved in the project.
A sound maintenance of the product backlog can only be achieved if all the people have a good understanding of what they have to do (common vision).
Roman Pichler, in a post originally written in Jul 16 2012, has proposed a really interesting approach: use various canvas to create and share product vision and product backlog creation and refinement.
This presentation is a drive through these various boards and canvas that should be designed in prior to any product development: the Product Vision, the Lean Canvas, The Product Definition and the Story Map.
Lean Startup Methods & Thinking: apply it in hackathon Taavi Lindmaa
Lean how to apply leans startup methods to weekend hackathons, your startup, your enterprise or daily work. You will find practical tools and examples of how to start with customer validation from day 1 and get, validate idea and get your product hypothesis feedback in hours.
No startup business experiences the same journey to success, but there are general stages that most companies move through as they grow:
1) Validation
2) Product Development
3) Commercialization
4) Scale/Growth
The Center for Entrepreneurial Innovation (CEI) helps its clients through these stages of business development and offers best practices for each stage. Represented by an amazing lineup of speakers, including Hart Shafer (Innovation Coach / Founder, Theraspecs), Eric Miller (Principal, PADT Inc.), Nate Curran (Entrepreneur-in-Residence, CEI) and Russ Yelton (CEO, Pinnacle Transplant Technologies, "The Startup Lifecycle" presentation offers unique insights and best practices for entrepreneurs growing their business.
How Startups Can Build a Recruiting MachineDavid Skok
Something important has changed in the recruiting process: the best people are almost never on the market, and you have to develop recruiting processes to find and sell passive candidates. In many cases, it will take months or years of relationship building with these candidates to find the right moment when they are open to considering a change. Closing them takes greater selling efforts than in the past due to the intense competition over the good candidates. This leads me to believe that there is now a third crucial startup skill that needs to be developed: recruiting.
20 quotes from Larry Page...Just analyzing Larry Page’s quotes from the past ten years is a guidebook for “billion person success” and for personal success.
Angel investing is a great way to participate in the growing trend of entrepreneurship. Responsible investing is very important for the health of your portfolio and for your relationships with founders. Don't invest without understanding a few simple things. Equity investments are long term relationships. Investors must do their part to be good investment partners.
Back of the Napkin / Blah-Blah-Blah SeminarDan Roam
Overview of my most comprehensive innovation and visual thinking seminar. A highly-interactive two-day session, ideal for generating breakthrough ideas for teams of ten to one-hundred.
(Last change, July 2: Removed as beyond most teams' scope Eyetracking Study, Clickstream Analysis, Usability Benchmarking; Added Live-Data Prototypes, Demand Validation Test, Wizard of Oz Tests)
For our teams tasked with building products and features for The New York Times, we face a common challenge with many: how do we figure out what’s worth spending our time on?
The answer seems straightforward: test your ideas with real customers, leveraging the expertise of your product, UX, and engineering talent. Figure out the smallest test that you can come up with to test a specific hypothesis, gather data and insights, and keep iterating on it until you know whether the problem is real and your solution will prove valuable, usable, and feasible.
As part of our efforts to adopt such a data-driven, experimental approach to product development, we recently kicked off a product discovery pilot program. Small, cross-functional teams were paired with coaches and facilitators over a six week period to demonstrate how product discovery and Lean Startup techniques could work for real-world customer opportunities at The New York Times.
One of the first things that we learned about the process from our participants was that they wanted a "toolkit" - something to help them figure out what they should be doing, asking or making to get as quickly as possible towards the validated learning, prototypes and user tests that would have the most impact.
To help the facilitate the learning process for our dual-track Agile teams, the Product Architecture team here at The Times (Christine Yom, Jim Lamiell, Josh Turk, Priya Ollapally, and Al Ming) built a "Product Discovery Activity Guide" that rolled up activities, exercises, and testing techniques from all our favorite thought leaders.
This included brainstorming exercises from Gamestorming and Innovation Games, testing techniques from traditional user research, and rapid test-and-learn tactics from Google Ventures, Eric Ries (The Lean Startup), Jeff Gothelf (Lean UX), Steve Blank (Customer Development) and our spirit guide, Marty Cagan (Inspired), among others.
Our goal was to make it a tool not just for learning how to get started, but to be a living document for teams to share knowledge about the process itself. What techniques worked and didn't work? What tactics did they learn elsewhere that might be worth sharing with the rest of the company?
We hope you find it useful, and whether you’d like to share with us what you’re doing with it, or you have suggestions (big or small) to improve it for future product generations, please let us know! (nyt.tech.productarchitecture@nytimes.com)
Al Ming
July 2015
Pitch Deck
A pitch deck’s goal is to make an investor excited in you and your business. To do this you need to tell a compelling story in about 20-30 minutes.
Here is a good starting point for your pitch deck storyline
Fill in the details with your answers to the last section and talk the story out loud. You should iterate on the order and the content to get it flowing right. As a general rule, put your companies strengths higher up the order.
OPENING SLIDE
BUSINESS DESCRIPTION
PROBLEM
SOLUTION
MARKET SIZE
COMPETITIVE LANDSCAPE AND DIFFERENTIATION
SUSTAINABLE COMPETITIVE ADVANTAGE
TRACTION / STAGE OF DEVELOPMENT
BUSINESS MODEL AND MONETIZATION
MILESTONES AND INVESTMENT PROPOSITION
TEAM
CONCLUSION
From Product Vision to Story Map - Lean / Agile Product shapingJérôme Kehrli
A lot of Software Engineering projects fail for a lack of shared vision due to poor communication among people involved in the project.
A sound maintenance of the product backlog can only be achieved if all the people have a good understanding of what they have to do (common vision).
Roman Pichler, in a post originally written in Jul 16 2012, has proposed a really interesting approach: use various canvas to create and share product vision and product backlog creation and refinement.
This presentation is a drive through these various boards and canvas that should be designed in prior to any product development: the Product Vision, the Lean Canvas, The Product Definition and the Story Map.
Lean Startup Methods & Thinking: apply it in hackathon Taavi Lindmaa
Lean how to apply leans startup methods to weekend hackathons, your startup, your enterprise or daily work. You will find practical tools and examples of how to start with customer validation from day 1 and get, validate idea and get your product hypothesis feedback in hours.
No startup business experiences the same journey to success, but there are general stages that most companies move through as they grow:
1) Validation
2) Product Development
3) Commercialization
4) Scale/Growth
The Center for Entrepreneurial Innovation (CEI) helps its clients through these stages of business development and offers best practices for each stage. Represented by an amazing lineup of speakers, including Hart Shafer (Innovation Coach / Founder, Theraspecs), Eric Miller (Principal, PADT Inc.), Nate Curran (Entrepreneur-in-Residence, CEI) and Russ Yelton (CEO, Pinnacle Transplant Technologies, "The Startup Lifecycle" presentation offers unique insights and best practices for entrepreneurs growing their business.
How Startups Can Build a Recruiting MachineDavid Skok
Something important has changed in the recruiting process: the best people are almost never on the market, and you have to develop recruiting processes to find and sell passive candidates. In many cases, it will take months or years of relationship building with these candidates to find the right moment when they are open to considering a change. Closing them takes greater selling efforts than in the past due to the intense competition over the good candidates. This leads me to believe that there is now a third crucial startup skill that needs to be developed: recruiting.
20 quotes from Larry Page...Just analyzing Larry Page’s quotes from the past ten years is a guidebook for “billion person success” and for personal success.
Angel investing is a great way to participate in the growing trend of entrepreneurship. Responsible investing is very important for the health of your portfolio and for your relationships with founders. Don't invest without understanding a few simple things. Equity investments are long term relationships. Investors must do their part to be good investment partners.
Back of the Napkin / Blah-Blah-Blah SeminarDan Roam
Overview of my most comprehensive innovation and visual thinking seminar. A highly-interactive two-day session, ideal for generating breakthrough ideas for teams of ten to one-hundred.
(Last change, July 2: Removed as beyond most teams' scope Eyetracking Study, Clickstream Analysis, Usability Benchmarking; Added Live-Data Prototypes, Demand Validation Test, Wizard of Oz Tests)
For our teams tasked with building products and features for The New York Times, we face a common challenge with many: how do we figure out what’s worth spending our time on?
The answer seems straightforward: test your ideas with real customers, leveraging the expertise of your product, UX, and engineering talent. Figure out the smallest test that you can come up with to test a specific hypothesis, gather data and insights, and keep iterating on it until you know whether the problem is real and your solution will prove valuable, usable, and feasible.
As part of our efforts to adopt such a data-driven, experimental approach to product development, we recently kicked off a product discovery pilot program. Small, cross-functional teams were paired with coaches and facilitators over a six week period to demonstrate how product discovery and Lean Startup techniques could work for real-world customer opportunities at The New York Times.
One of the first things that we learned about the process from our participants was that they wanted a "toolkit" - something to help them figure out what they should be doing, asking or making to get as quickly as possible towards the validated learning, prototypes and user tests that would have the most impact.
To help the facilitate the learning process for our dual-track Agile teams, the Product Architecture team here at The Times (Christine Yom, Jim Lamiell, Josh Turk, Priya Ollapally, and Al Ming) built a "Product Discovery Activity Guide" that rolled up activities, exercises, and testing techniques from all our favorite thought leaders.
This included brainstorming exercises from Gamestorming and Innovation Games, testing techniques from traditional user research, and rapid test-and-learn tactics from Google Ventures, Eric Ries (The Lean Startup), Jeff Gothelf (Lean UX), Steve Blank (Customer Development) and our spirit guide, Marty Cagan (Inspired), among others.
Our goal was to make it a tool not just for learning how to get started, but to be a living document for teams to share knowledge about the process itself. What techniques worked and didn't work? What tactics did they learn elsewhere that might be worth sharing with the rest of the company?
We hope you find it useful, and whether you’d like to share with us what you’re doing with it, or you have suggestions (big or small) to improve it for future product generations, please let us know! (nyt.tech.productarchitecture@nytimes.com)
Al Ming
July 2015
More here: http://www.thecapitalnetwork.org/
Are you thinking about what you need to fund your company? Where do you start? Funding is not “one size fits all”. Every company has to approach their pathway to funding with a unique approach. Join our fundraising experts for an in-depth discussion of what options you have for funding and how to decide which paths are right for you and your company. We’ll have a specific focus on life science focused companies and technologies and the funding choices available.
Experts:
Jeremy Halpern – Nutter McClennen & Fish
Yumin Choi – HLM Venture Partners
Paul Hartung – Cognoptix, Inc
Are you thinking about what you need to fund your company? Where do you start? Funding is not “one size fits all”. Every company has to approach their pathway to funding with a unique approach. Join our fundraising experts for an in-depth discussion of what options you have for funding and how to decide which paths are right for you and your company. We’ll have a specific focus on life science focused companies and technologies and the funding choices available for them.
The presentation is about valuation of a start-up and usual deal structure - term sheet.
In the presentation you can find an overview why traditional valuation methods don't work (DCF, P/E multiple,...) and what are the real life approaches. You can also find more about types of the investments and potential exits.
The second part of the presentation is dedicated to the term-sheet and most frequent terms in an equity investment, especially in Central and Eastern Europe. In the presentation are listed the most frequent provision you can stumble upon, but no term sheet includes all of them.
In the presentation you can learn about many different clauses that influence economics and control in a venture capital deal. Nevertheless you should read more on the web (Term Sheet Hacks...) and the books like Venture Deal to have a clear picture if you have a good deal on the table or not for your startup.
Raising Capital: Negotiating with Potential Investors (Series: The Start-Up/S...Financial Poise
Every business needs capital (cash) to fund its activities. But not all capital is created equal. At the most macro level, a business can raise cash by selling equity or by borrowing (and these alternatives are not by any means mutually exclusive).
This webinar explains the different types of capital available to fund a startup; how to identify potential funding sources; how to evaluate competing funding proposals; and how (and when) to negotiate financing terms. In addition, this webinar will address the kinds of investors for entrepreneurs to consider for their start-ups.
To view the accompanying webinar, go to: https://www.financialpoise.com/financial-poise-webinars/raising-capital-negotiating-with-potential-investors-2021/
Raising Capital: Negotiating with Potential InvestorsFinancial Poise
Every business needs capital (cash) to fund its activities. But not all capital is created equal. At the most macro level, a business can raise cash by selling equity or by borrowing (and these alternatives are not by any means mutually exclusive).
This webinar explains the different types of capital available to fund a startup; how to identify potential funding sources; how to evaluate competing funding proposals; and how (and when) to negotiate financing terms. In addition, this webinar will address the kinds of investors for entrepreneurs to consider for their start-ups.
Part of the webinar series: The Start-Up/Small Business Advisor 2022
See more at https://www.financialpoise.com/webinars/
Scott droney - financing start-up and growthScott Droney
Scott Droney is provide financial services spectrum as well as data processing and managing segments. Since most of its financial services were retail focused, the need to build scale and skill in the transaction processing domain became imperative.
How to Split the Pie, Raise Money, and Reward Contributors (Idea To IPO)Roger Royse
What’s my startup worth? How much equity should founders have? How much equity should I give to employees and consultants? How much should I give to the venture capitalists?
Silicon Valley startup attorney Roger Royse of the Royse Law Firm discusses the basic valuation and ownership issues involved in a startup’s life, from formation to financing to exit, including how to value your company and the contributions of stakeholders and investors at each step with a particular emphasis on different models, best practices and traps to avoid.
Are you thinking about what you need to fund your company? Where do you start? Funding is not “one size fits all”. Every company has to approach their pathway to funding with a unique approach. Join our fundraising experts for an in-depth discussion of what options you have for funding and how to decide which paths are right for you and your company. Topics covered will include investment criteria, time to closing, investment range, success rates, control features, compliance requirements and the overall costs of capital from each such source.
Jean Hammond – LearnLaunchX, LearnLaunch.org, Hub Angels, Launchpad Venture Group, Golden Seeds
Robert Bishop - Goodwin Procter
In partnership with:
Founders Workbench
Funding options early stage companies april30 v2-lsn.pptx
Are you thinking about what you need to fund your company? Where do you start?
Funding is not one size fits all. Every company has to approach their pathway to funding with a unique approach. Join our fundraising experts for an in depth discussion of what options you have for funding and how to decide which paths are right for you and your company.
Topics covered will include investment criteria, time to closing, investment range, success rates, control features, compliance requirements and the overall costs of capital from each such source.
www.thecapitalnetwork.org
Fairshare Model presentation for F50's SVE Demo Night @ Google Karl Sjogren
July 30, 2019 presentation by Karl Sjogren, author of the book "The Fairshare Model: A Performance-Based Capital Structure for Venture-Stage Initial Public Offerings."
This presentation was given to a group of Founders, CEO's and praticipants in the Financing of their growth companies at the Digital Media Zone at Ryerson University in Toronto today.
Similar to "How to maximize your potential to attract US capital" by John Bautista (20)
By Alison Eastaway, Head of People at Sqreen
Alison is a startup culture boss! She perfectly knows her way around implementing a culture & taking care of people especially in tech teams.
By Pierre-Camille Hamana (https://www.linkedin.com/in/pchamana/), CEO at Smartbnb (https://www.smartbnb.io/)
It’s fascinating watching Smartbnb grow. This solution for guests is a recipe for success: A fully remote team, with great culture & processes, extremely focused & super in terms of execution. What else? Oh yes, a super friendly & kind CEO, Pierre-Camille, who will be with us to describe the way they manage their team remotely. Good practices & learnings to expect from this one!
By Mathias Pastor (https://twitter.com/pastormhm), Director at The Family
Roch Delsalle, CTO at Proprioo (https://www.proprioo.fr/)
Jade Francine, Cofounder & COO at WeMaintain (https://wemaintain.com/)
Marc Lebel, CEO at LouerAgile (https://www.loueragile.fr/)
Real estate is everywhere. It’s part of our daily lives, of who we are and how we live, move, work - a pretty broad category. And it’s the kind of sector that can easily be termed “slow.” Slow in adapting to new technology, slow in responsiveness to customers…. Some people think having a spreadsheet is already a win
By Gil Dibner (twitter.com/gdibner), General Partner & Founder at Angular Ventures (www.angularventures.com)
Gil has backed several enterprise-oriented companies, including Front and Vault. Tips to understand how to absolutely nail Enterprise Sales.
By Alice Zagury (https://twitter.com/alice_zag), CEO at The Family
During The Family Begins, our open-door to The Family, we met 20 ambitious entrepreneurs and spend 2 amazing days with them.
Brand, identity, style, swag... Many words for similar things: The emotions people will feel when they're coming across your company. Alice, our CEO, shared her best tips to create a coherent identity.
By Dimitri Farber (https://www.linkedin.com/in/dimitrifarber/), cofounder at Tiller Systems (https://www.tillersystems.com/en/)
Since Dimitri, Vincent & Josef founded Tiller, many things have changed: new products, new offices, a company acquisition & even the launch of an incubator for restaurateurs.
When people talk about them, they are still described as a cash register solution, just like back on the first day. And yet, Tiller is much more than that. They now define themselves as an ecosystem that brings together cash registration + delivery + reservation + pre-order + analysis + integrations. They are not only addressing shopkeepers, but also passionate local entrepreneurs.
By Hugo Michalski, CTPO at Side
D-code (https://www.d-code.thefamily.co/) is a media & series of events where the best startup CTOs & tech leaders talk about their entrepreneurial adventures: Tech challenges converted into clear stories.
Join our D-code private community of CTOs & future CTOs: https://thefamily.typeform.com/to/MpHmFQ
By by Steve Anavi (https://www.linkedin.com/in/steveanavi/), cofounder at Qonto (https://qonto.eu/en/)
Qonto is our beloved bank for SMEs & freelancers. From day one their value proposal has been a no-brainer: simple UX, customization, reactivity, smooth financial management…
However, the new challenges they are facing now (after growing to a team of 150 people) is to create brand love. How they are dealing with that in a dusty industry where brand love is quite rare?
Building an insurance startup with Alan, Luko, Coverd & BaldertonTheFamily
Global overview of the sector & today’s insurance trends by Rob from Balderton
How to build insurance brand awareness
By Hugo Saias, CEO at Coverd
How to be an insurer without historical data & capital
By Léa Joussaume, Head of Marketing at Luko
Beyond product and coverage
By Mihaela Albu, Growth & Sales Strategy at Alan
Mixing Product & Tech by Jean Lebrument, CTO & CPO at BrigadTheFamily
Brigad connects hospitality businesses with qualified & flexible staff.
Jean is Brigad’s co-founder, CTO & CPO, managing four teams: Product, Engineering, Quality and Data. Yes, all at the same time :)
He will share both his experience from 3 years of handling these functions, what he learned in the process & his beliefs about the mix: Should all startups have a CPO & a CTO?
A new breed of CTO - Philippe Vimard, CTO & COO at DoctolibTheFamily
By Philippe Vimard (https://www.linkedin.com/in/philippev...), CTO & COO at Doctolib (https://www.doctolib.fr/)
There’s probably no need to introduce Doctolib, one of France’s newest unicorns after raising €150M a few months ago. Philippe has been their new COO & CTO for the past year after occupying a similar role at eDreams (GoVoyages, Opodo, Travellink, Liligo).
Get the maximum amount of knowledge out of this extremely experienced executive, who shared with us the why and how of mixing Tech & Ops! His approach is super business-centered, always looking for ways to be closer to other functions: A truly entrepreneurial & business CTO.
Building a logistics startup with Trusk, Totem & SpaceFillTheFamily
After a global overview of the sector & today’s logistics trends by Nicolas Colin (https://twitter.com/Nicolas_Colin), cofounder at The Family, we welcomed three startups on stage. Each one delivered a 15-min talk:
⛓️ (Re)designing the supply chain from scratch
By Maxime Huzar, CEO at SpaceFill (https://www.spacefill.fr/)
✅ Total quality & tracking from A to Z
By Julie Pathé, Head of Operations at Totem (https://thetotem.co/)
5 lessons from our journey to revolutionize last-mile delivery
By Sébastien Tronel, Cofounder at Trusk (https://trusk.com/)
Building an accounting startup with Fred de la compta, Acasi & ChaintrustTheFamily
Accounting changed the world forever both when it was “invented” in Mesopotamia & when it became a double-entry system 500 years ago. Today, the profession of accountant & the practice itself are again undergoing major revolutions - revolutions that startups are initiating ⏱️
Looking at what is currently happening in the accounting world, we may automatically think that the profession of “accountant” is dying: The number of accountants has decreased by 25% in just the last 15 years.
This “threat” is enabled by new technologies that are shifting everything within the space. Cloud, AI, blockchain & data are changing the game. But total automation is still very far away. And obviously, in such an ancient & symbolic sector, the opportunities are infinite. And we have a few examples of startups who are ready to seize them!
By Robin Choy (https://twitter.com/robin_choy), CEO at HireSweet (https://www.hiresweet.com/)
This is definitely one of the biggest challenges any startup faces. Having high quality engineers who join your company in the early days, taking a risk on you while more mature companies are also chasing them can truly be game-changer.
Robin is the co-founder of HireSweet, a team helping startups recruit Software Engineers by developing cutting-edge AI tools. 700+ startups have scaled their teams with their help, often from 10 to 100+ people. The knowledge Robin has acquired about the process is pure gold. Join us to discover how to set up a super efficient process to build the best possible tech team for each stage (0 to 3 people in the tech team, 3 to 8 people, 8 to 20 people).
Onboarding developers and setting them up for successTheFamily
By Jean-Baptiste Aviat (https://twitter.com/jbaviat), CTO at Sqreen (https://www.sqreen.com/)
Hiring developers is definitely hard, but that's only the beginning of the journey - you’re far from being done. Your next job as an employer is to make sure they have all the keys in hand to make the most out of their jobs.
Jean-Baptiste knows this topic particularly well as his company, Sqreen, the tool democratizing security and making it easier to implement & use for developers, has a large tech team that represents a big part of Sqreen’s workforce. Let's find out together how to build that within a fast-moving organisation, with constantly evolving teams and complex technical products at stake!
Workshop animé par Maud Camus (https://twitter.com/maudcamus)
Vous voulez découvrir les astuces clés pour être au top de sa PR-forme ?! C'est par ici ☝️
Journalistes, storytelling, interviews, media : apprendre à naviguer ce milieu n'est pas forcément chose facile donc Maud a décidé de venir nous livrer ses meilleurs tips pour savoir comment raconter et sublimer son histoire entrepreneuriale sans non plus entrer dans le royaume du bullshit
Collective Mining | Corporate Presentation - May 2024
"How to maximize your potential to attract US capital" by John Bautista
1. Private and Confidential
Orrick, Herrington & Sutcliffe LLP
John V. Bautista (Silicon Valley) and Ben Cichostepski (Paris)
May 4, 2015
How to maximize your potential to attract US
capital
2. Prototyping Product or Service
Building Team
Seeking Capital
Working with Advisors
Where are you now?
2
3. Delaware
• Going global quickly
• Investors will be US or French investors who can invest in Delaware companies
• Advantages: Access to more capital ($)
Ease of Company sale
Avoid Cost and Time needed for Flip
Set up SAS as wholly-owned subsidiary for French employees
Required for YC, not required for 500 Startups or others
Easy to set up: Clerky.com
• Disadvantages: May close the door to certain investors
Setting up the Company - Delaware or
French SAS?
3
4. French SAS
• Initial focus is European market (customers and employees)
• Smaller capital requirements
• Seeking local investors, government grants and loans
• Expand in US by setting up a wholly-owned Delaware subsidiary to
employee US sales and marketing
Setting up the Company - Delaware or
French SAS?
4
5. • Incorporate Delaware company – French citizens can be directors and officers
• “Flip” is the exchange (contribution) of French shares for Delaware shares
» Ownership ratios don’t change but usually we do a stock split (Usually 10 million
shares for 1,000 shares,)
» Ordinary Shares become Common Stock, usually subject to vesting
» Preferred Shares become Series A Preferred Stock with standard preferred rights
» Set up Preferred Stock Financing Documents (IRA, Voting and ROFR/Cosale)
» French subsidiary remains a wholly-owned or controlled company
» Set up US Option plan for employees globally with subplan for French employees
» Intellectual Property
– French employees assign IP to French company
– US employees assign IP to Delaware company
Flip Process
5
6. • Exchange Agreement – for stockholders who will not incur tax now
» Individual founders or their holding companies - Case by case analysis Tax
filing necessary for founders’ holdings.
» French VC’s who are structured as investment funds (FCPI, FPCI)
» Most other US and international VC’s
• Deferred Exchange Agreement – for stockholders who would incur tax, but sale
is deferred until (i) stockholder elects to Flip, (ii) IPO or (iii) Company sale.
– Founder retirement accounts (PEA’s)
– French VC’s who are not FCPI or FPCI or which have investment
restrictions
• Term Sheet – Important that all constituents agree before implementing
Flip Process
6
7. • Convertible Notes
• SAFEs and KISSs
• Series Seed Preferred Stock
• Crowfunding (Kickstarter and AngelList)
Financing Trends
7
8. • Historically the most common way to raise seed capital
• Converts automatically at Preferred financing at fixed valuation cap,
discount or both
• Rolling closings at any time, amount and valuation
• Limitations:
» Term usually does not exceed 1 year (Lender laws)
» Repayment risk on maturity date
» Interest rate
» Phantom liquidation preference
» Debt on balance sheet
Financing Trends – Convertible Notes
8
9. • Co-Authored with Y Combinator and Launched in March 2014 (500 Startups
created the KISS)
• Over $200M raised to date for YC companies, some $5M per company, and
average is $1M per company
• Converts automatically at Preferred Stock financing at fixed valuation cap,
discount or both
• Rolling closings at any time, amount and valuation
• No matury date(a SAFE is equity) and no phantom liquidation preference
• Investors have pro rata rights equal to Series A investors (regardless of
investment size)
• See sample term sheet
Financing Trends – SAFEs
(Simple Agreement for Equity)
9
10. • Pro Rata or Participation Rights in Series A financing
• Most Favored Nations (MFN) provisions
• Information Rights
• Issuance of Common Stock (Sweetener) for Advisors
Financing Trends – Side Letters
10
11. • Usually requires a Lead Investor
• Limitations:
» Costly Negotiation of Preferred terms, including board composition,,
price per share, size of employee stock pool, founder vesting, and other
standard investor rights
» Conversion of existing convertible securities
» More investor due diligence
» Less flexibility on different prices per share/valuations
» Higher legal transaction costs
» Sets precedent for future Preferred terms
Financing Trends – Seed Preferred
11
12. • Partner with incubators: The Family, YC, 500 Startups
• Practice your 30 second pitch for networking with Angels: Angels
“flock” together
• Angels are usually people you know
• Ron Conway (SV Angel) – Super Angel
• AngelList and Kickstarter
• Minimize number of investors
• All investors need to be accredited - $200k in income in last 3 years
($300k with spouse) or $1M in assets (excluding house)
• Usually $500k - $1M and avoid more than 15% dilution
Process to Raising Seed Capital
12
13. – Leverage your peers and publically available info
– Meet VC’s at networking events
– Sector and stage fit with VC’s
– Find your best intro (such as successful entrepreneur who has made
money for the VC or who is Founder of successful portfolio
company)
– Maintain momentum – keep investor updated with good news
throughout process
Process to Raising Venture Capital –
Engaging Investors
13
14. Inbound Introductions (mostly via email)
• Business plans are increasing by ~50% year-over-year.
• ~300 new investment opportunities per month. An active VC firm
makes 1 investment per month.
Behind the Scenes – Inbound Introductions
14
15. What Happens When You Send A Pitch to a VC
Behind the Scenes – What Happens When
You Send a Pitch Deck to a VC
15
E-Mail to
VC
16. • Common reasons for passing without a meeting
» Too early: No product or customers
» Market: outside of VC’s sector focus / area of interest
» History: raised a lot of money, went nowhere, needs a recap
• Common reasons for passing after one meeting
» Team: “CEO” is not a CEO, team doesn’t inspire confidence
» Deal terms: unrealistic raise amount/valuation relative to traction
» Competition: company is too far behind a set of well-funded competitors
» Market: Market is too small to build a $100MM company
Behind the Scenes – Why investors pass?
16
17. • Common reasons for passing in diligence
» Financial: high churn (loss of customers)
inconsistent sales, plan is fiction
» Tech: product instability, technical risk
» Background: management references don’t look good
Behind the Scenes
– Why investors pass? (Cont’d)
17
18. • How to get investors’ attention
» Repeat entrepreneur – built successful company before with high quality
team
» Early traction and growth
– $100k/month in revenue for software company
– $200kk/month for a commerce company
– 1M+ users for consumer web business
– Fast growth
» Low Paid-in Capital
– Thoughtful approach to fundraising, not “take all you can get”
– Seed round at normal valuation, views investors as partners
» Big market with few incumbants
Process to Raising Venture Capital
– Company Status
18
19. • Manage timeline to receive term sheets from multiple investors
» Do not disclose identity of investors to each other
» First term sheet creates lots of leverage for future negotiations
• Model Tem Sheet: Decide in advance the terms that are most
important to you
» Get quality advice (lawyers, advisors, other founders), and those who
know the VC’s you are talking to
» VC’s will first propose terms orally – set their expectations
• Continue focus on building your business
Process to Raising Venture Capital
– After Initial Engagement
19
20. • Not understanding valuation (how it is calculated)
• Getting caught in the weeds (missing the big picture)
• Getting star-struck by a big name, focus on the VC partner who will
be your board member
• Not looking down the road (Series A as a precedent for future
rounds)
• Not respecting the process (relationship with potential investors)
Process to Raising Venture Capital –
Common Mistakes
20
21. • Pre-Money and Post-Money Valuation
• Control (Board and Stockholder)
• Exit Mechanics
• Founder Restrictions
Process to Raising Venture Capital
– Key Terms
21
22. • Capital Needed - Next 12-18 months or until next major milestone
» Series A are usually $5M in new capital
• Each VC will want at least 20% ownership
• Series A stock pool size ranges from 8-15%
• 15% dilution (on average) associated with earlier Seed investors
• Result = Founders as a group usually own 50% of the company
after Series A
Process to Raising Venture Capital
– Key Terms - Valuation
22
23. • At Board level (implemented through Voting Agreement)
» 3 members (2 founders and 1 investor)
» 5 members (2 founders, 2 investors and 1 independent nominated by founders)
» Investor representative will have veto power on certain matters
• At Stockholder level (implemented through Restated Certificate of Incorporation)
» majority or supermajority votes and class votes are better than series votes
» Preferred Stock veto power on Company sale, next round financing, debt
» Pro Rata Rights – right to maintain percentage ownership in next round
Process to Raising Venture Capital
– Key Terms - Control
23
24. • Most sales are merger transactions instead of shares sales
• Drag- Along provisions – to prevent minority stockholders from
blocking a Company sale and achieve 95% consent to Company
sale
• Preferred Stock liquidation preference – 1X non-participating
preferred versus fully participating preferred
Process to Raising Venture Capital
– Key Terms – Exit Mechanics
24
25. The Term Sheet – Exit Mechanics
Liquidation: 1x, non-participating
25
26. The Term Sheet – Exit Mechanics
Liquidation: 1x, Fully-Participating
26
* Additional examples attached.
27. • Reverse vesting of Founder shares (push for double trigger
acceleration of vesting on termination in connection with Company
sale)
• Right of First Refusal and Co-Sale Rights on Founder liquidity with
de minimums exceptions (10-15%)
• Secondary transactions where Founders sell shares to investors
• No Founder representations should be made to the VC’s
Process to Raising Venture Capital
– Key Terms – Founder Restrictions
27
28. Questions?
John Bautista : jbautista@orrick.com
Benjamin Cichostepski : bcichostepski@orrick.com
Process to Raising Venture Capital
28