This Week in Startups Startup Bracketology: selecting the world’s best private company with Acquired FM PLUS future of VC | E1191
Mar 26, 2021
Ben Gilbert and David Rosenthal, co-hosts of Acquired FM, delve into the world of startups and venture capital. They explore the excitement of rebuilding social ties post-pandemic and share their nostalgic trips to Disneyland. The discussion shifts to soaring pre-money valuations and the rise of new investment syndicates. They analyze the dynamics of angel investing and a fun March Madness-style competition to find the world’s best private company. Lastly, they evaluate startups like SpaceX and Rivian, weighing future valuations in the tech landscape.
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Valuation Disconnect
- A company sought a 2.5x valuation increase in six months with no significant change in performance.
- Jason Calacanis advised them to return after reaching $1M in revenue, emphasizing performance over speculation.
Fundraising Timing
- Founders should fundraise when market conditions are favorable and momentum is on their side.
- Don't wait until capital is low; capitalize on opportunities when the market is hot.
Equity Crowdfunding Disruption
- Equity crowdfunding, with increased limits to $5M, allows founders direct access to investors.
- This bypasses traditional VC involvement and creates a direct founder-investor relationship.