Valuations

  • Bill Gurley doesn’t think these giant new funds are such a great idea

    Bill Gurley doesn’t think these giant new funds are such a great idea

    “It’s not just the size of the funds but the velocity” at which VCs are returning to their investors, known as limited partners (or LPs), says an astonished Bill Gurley of the venture firm Benchmark. “The Kauffman fund said that billion dollar funds sucked, then everybody went out and raised billion-dollar funds.” Gurley is referring to a 2012 Kauffman… Read More

  • The SEC is voicing concern about ‘eye-popping’ startup valuations Crunch Network

    The SEC is voicing concern about ‘eye-popping’ startup valuations

    Management and boards at late-stage, or pre-IPO, companies are on notice that the SEC is paying attention to the late-stage financing arena, and should look internally to ensure that corporate governance and financial controls are befitting their scale, and should also ensure the accuracy of the disclosures they make when raising funds. Read More

  • Startups And The Big Lie

    Startups And The Big Lie

    A startup is hemorrhaging cash, and the VCs have yet to agree on terms for a capital infusion. The clock is ticking until deadpool, first weeks away then days. The founders, stress levels increasing to stratospheric levels, continue to sell their company to everyone, whether investors, employees, potential employees, or clients. They have little choice. Funding is contingent on growth, but… Read More

  • The Logic Of Crazy Valuations

    The Logic Of Crazy Valuations

    August is the traditional vacation month for venture capitalists, who stream out of their Sand Hill Road offices to quieter points, ostensibly to reflect on the year so far and prepare for the heavy fall fundraising season. And what a year it has been! We now have several companies valued at around $10 billion and above, including Airbnb, Dropbox, and Uber. Those valuations seem tame compared… Read More

  • Are Tech Companies Overvalued? | TC Disrupt NY 2014

    Are Tech Companies Overvalued? Top Investors Think So

    Is Winter coming? It’s already here, according to VCs like Fred Wilson of Union Square Ventures and John Lilly of Greylock. We asked some of the world’s most respected tech investors about “the bubble” at TechCrunch Disrupt NY. The consensus? Public tech company valuations soared too close to the sun, and the correction is now dragging down fundraising and IPO potential… Read More