Published in DataDrivenInvestor·PinnedYour Cap Table Tells an Important Story. Is it the Story You Want Told? [Theranos Edition]Do You Know the Story Your Cap Table is Telling? The Elizabeth Holmes Theranos trial is underway, which has brought the story back front and center in the minds of investors — and what a story it is. Yes, there were plenty of underhanded things (and I mean plenty) that…Private Equity7 min read
Published in DataDrivenInvestor·Jun 23Even in Turbulent Times, Funds Will Keep Funding…Is the Capital ‘Spigot’ Open or Closed? Investing is a strange beast. One day all you see in the news is stories of the capital markets closing. The next day you read a story about large investment managers raising new funds and pushing into new areas. We see an example…Private Equity4 min read
Published in DataDrivenInvestor·Jun 8Want Investor Capital? Be Prepared to be Vulnerable and Show Your Passion‘WHY’ YOU DO SOMETHING IS SOMETIMES MORE IMPORTANT THAN ‘WHAT’ YOU DO. — “Most company founders know that showing passion is important, but often they become focused on getting all the information they can into a pitch. It’s crucial for them not to forget to display how much they care about their company” — DR. CHIA-JUNG TSAY Want to Showcase Your Company’s Uniqueness…Private Equity5 min read
Published in DataDrivenInvestor·May 27Is Rocket Ship Growth Really the Correct Path for Your Company?“One of the terrible things Silicon Valley has done is convince founders that the only way to build a big company is by raising lots of money and hiring people constantly.” — WILLIAM HOCKEY Everybody Wants Rapid Growth. Right? ‘Rocket ship growth’. Doesn’t that sound exciting? You identify a problem…Private Equity4 min read
Published in DataDrivenInvestor·May 3Two Different Financial Crises — Two [Very] Different PE/VC Funding Environments“The effects of the [2008/09] financial crisis and the pandemic differed dramatically; the financial crisis put the brakes on funding, while the pandemic was an inflection point.” — CRUNCHBASE.COM Different Crises. Different Causes. Different Outcomes. I am a big fan of pattern recognition, and try to employ it my life…Private Equity6 min read
Published in DataDrivenInvestor·Apr 14Growth-Stage Companies Increasingly Must Embrace the ‘Micro Fund’ Ecosystem“Micro-VC managers tend to benefit from being early movers, as they are able to set the tone, gain higher ownership and develop strong engagement and relationships before the Series A groups get involved.” — StepStone Separating the Investing World into Two Camps — Private Equity and Venture Capital — is…Private Equity6 min read
Published in DataDrivenInvestor·Apr 4Is ESG a Viable Performance-based Strategy, or is it Marketing Noise?“Demand for ESG [environmental, social, and governance] is going to transform all investing.” — LARRY FINK, BLACKROCK CEO Question: is ESG a viable investment strategy, or is it just marketing hype? The answer is complicated. ESG is one of the hottest themes in investing today. To be very clear, I…Private Equity6 min read
Published in DataDrivenInvestor·Mar 1SEC is Aiming for Unicorn Quarterly Reporting. As a CEO, this is Why You Should Care…“The SEC would love to see more companies go public earlier, and if companies face enhanced reporting requirements, it is possible they may look at doing just that.” — CRUNCHBASE.COM When most people hear of the Securities and Exchange Commission (the SEC), they primarily think about US stock markets. That…Private Equity4 min read
Published in DataDrivenInvestor·Feb 21Another Path to Liquidity? The Secondary Market Continues to Grow“A postponed IPO “can be a moral hit to a team, so when you can, provide that liquidity through another means” — JON BASSET — NEXTGEN VENTURE PARTNERS (CRUNCHBASE.COM) Valuation growth is amazing. However, eventually, investors want liquidity too… Funding a company’s growth using private equity and/or venture capital is…Private Equity5 min read
Published in DataDrivenInvestor·Feb 15Do we HAVE to Sell this Great Company? PE and VC Funds Increasingly Utilizing ‘Continuation Funds’“The strategy is increasingly being viewed by both general partners and limited partners as a viable exit path for portfolio companies — just as if a general partner takes a company public, or exits through a trade sale or a secondary buyout,” said Dennis Scharf, a managing director on the…Private Equity5 min read