Insights on financing and building companies from an experienced venture capitalist


“I’ve invested in many successful companies which earned great returns for their founders, management and investors. I’ve invested in some which lost money. After more than 30 years in the industry, I have developed a sense for the variables which increase the probability of startup teams creating great companies.  I offer the following articles as a guide for those interested in uncovering the keys to entrepreneurial success.”

fundraising

Understanding the topics covered in this section will increase your chances of raising capital.  Some of the many topics covered include:

  • What do founding teams need to do prior to contacting venture firms?
  • What rate of return do venture firms expect to earn, based on the stage of development of the company?
  • Description of eleven factors which affect valuation.
  • How do venture firms make investment decisions?
  • Legal terms venture firms consider when making investment.
  • How should founding teams manage the venture evaluation process?

building a company

This collection of articles provides guidance on how to build a successful company after funding is received. Among the important topics covered are:

  • Hiring the ideal CEO will enhance the probability that your company will thrive.
  • What should founding teams look for, and how can they find a great CEO/leader for their company?
  • What is the difference between sales and marketing, and why is understanding the distinction so important to the success of any company?
  • How can the founding team can use effective market and marketing research to guide the evolution of the company?
  • Biotech companies will likely raise capital from corporate partners.  What are the variables founding teams need to consider when approaching these potential partners?

venture capital as a career

The articles in this section describe what venture capitalists do.  Understanding the process they employ, and the backgrounds from which they come, will give founding teams insight into how to deal with venture capitalists and increase the chances the founding team will be able to raise venture capital.  This section will also provide guidance to anyone considering a transition to a career as a venture capitalist.

  • What are the backgrounds of most venture capitalists?
  • What are the important functions which venture capitalists perform?
  • What can newly-named venture capitalists do to improve the probability that they will be successful?