Bartosz Skwarczek

📊Crunchbase counted 11 new unicorns in March, including the first unicorn from Central Asia - Uzbekistan. Interestingly, among these unicorns, only one is related to AI, but three are related to crypto and web3. However, only 4 out of 11 unicorns are from the United States. Among the curious unicorns is the fairly well-known Liquid Death project, which sells water in cans. He had a $67 million round at a $1.4 billion valuation. Details in the following link: https://lnkd.in/erqXE7MR #startups #unicorn

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5 basic things to know before raising your first investment round in Europe for Pre-seed Tech Startups ($0 to $25k MRR) about the definition, from whom, and how much? Type of Investment? Valuation? & My advice to you 1. 𝐏𝐫𝐞-𝐬𝐞𝐞𝐝 𝐝𝐞𝐟𝐢𝐧𝐢𝐭𝐢𝐨𝐧 𝐢𝐧 𝐭𝐡𝐞 𝐄𝐮𝐫𝐨𝐩𝐞𝐚𝐧 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐥𝐚𝐧𝐝𝐬𝐜𝐚𝐩𝐞? => has a complementary team => has a Minimum Viable Product => has started to talk and sell to customers => usually has revenue between €0 to €25.000 MRR 2. 𝐅𝐫𝐨𝐦 𝐰𝐡𝐨𝐦 𝐜𝐚𝐧 𝐈 𝐫𝐚𝐢𝐬𝐞? => Angel investors and Accelerators mostly, => But VCs also focus on the entry of the funnel (pre-seed) because they don't have munition in seed/series A/B. => There are also a few family offices, but this is a new concept in Eastern Europe, where I live. 3. 𝐇𝐨𝐰 𝐦𝐮𝐜𝐡 𝐝𝐨 𝐈 𝐫𝐚𝐢𝐬𝐞? (𝐚𝐭 𝐩𝐫𝐞-𝐬𝐞𝐞𝐝) => between €10k to €300k => receive all of the investment vs the investment is unlocked by milestones achieved 4. 𝐖𝐡𝐚𝐭 𝐭𝐲𝐩𝐞 𝐨𝐟 𝐭𝐫𝐚𝐧𝐬𝐚𝐜𝐭𝐢𝐨𝐧? => through direct equity or a convertible loan. There are some SAFE models from Ycombinator and other companies you can use. => In this part of the world, our culture is designed on Ownership. So, you will probably give away equity directly. 5. 𝐓𝐡𝐞 𝐒𝐭𝐚𝐫𝐭𝐮𝐩 𝐕𝐚𝐥𝐮𝐚𝐭𝐢𝐨𝐧? => is subjective. For ex if you create equations demonstrating the valuation based on discounted cash flow, that's 0. => between €100.000 to €3.000.000 => You give away between 1% to 20% of your company. => A maximum of 15% is recommended at this stage. 𝐏𝐞𝐫𝐬𝐨𝐧𝐚𝐥 𝐀𝐝𝐯𝐢𝐜𝐞 𝐈 𝐨𝐟𝐟𝐞𝐫 𝐭𝐨 𝐭𝐡𝐞 𝐟𝐨𝐮𝐧𝐝𝐞𝐫𝐬 𝐈'𝐦 𝐰𝐨𝐫𝐤𝐢𝐧𝐠 𝐰𝐢𝐭𝐡? => the chemistry is the most important => we need Smart, not Fool Money => let's find the Angels/people with whom we have the chemistry and vision => and also who can offer expertise on the main business pillars that your startup has and has time to invest their knowledge and expertise in you. for this, I would think about my startup in this way >> What are the Core Foundations of this Startup? >> for ex: 1. Core Business Skilss 2. Specific Business Industry Expertise 3. Advanced Technical Expertise in the Technology we are developing it 4. Go-To-Market expertise // Sales - Marketing and I would find the right people who want to invest € and come to the table with the right expertise on my main business pillars. if you need help attracting the right angels - on how to prepare - & how to open doors & build a relationship with them I'm a message away. cheers, and let me know if you have questions or want to approach in-depth subjects on this topic. #fundraising #techstartups #founders #preseed #adigheorghe

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A reported 50% of early-stage startup investments fall apart during the Due Diligence process. Many tech founders usually think all the legal, finance, and accounting data is just bullsh*t. But it matters a lot to professional investors. Here's a comprehensive guide to Venture Capital Due Diligence, thanks to Rubén D for sharing. Here's a tip: start organizing your data room internally from the early days and you'll effortlessly double your chances of closing investment deals for your startup. DM me if you need help with preparation for a DD. Happy to jump on a call and share some insights.

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Great visualization of what VCs are looking for at each stage of funding

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How to Navigate VC Dynamics. 🌏 8 insights to master the fundraising game: 🚀 1. Understand VC Behavior Patterns VCs often say "show more traction" as a default response. This demand escalates with each meeting, creating a moving target. 2. Leverage Social Proof and Herd Mentality A term sheet from a top-tier VC can dramatically shift perceptions. This highlights the strong influence of social proof in the VC ecosystem. 3. Balance Risk Aversion vs. FOMO VCs juggle the fear of missing out (FOMO) against their risk aversion. A respected VC's involvement tips this balance towards FOMO. 4. Build Trust Dynamics Initial hesitation from VCs often stems from a lack of trust. Third-party validation, especially from renowned VCs, acts as a trust catalyst. 5. Master the Fundraising Game Securing investment is as much about social dynamics as it is about business metrics. Understanding these unwritten rules is crucial for founders. 6. Target Respected Lead Investors Early-stage startups might benefit more from targeting respected lead investors. Building relationships with top-tier VCs, even if not immediately fruitful, can pay off later. 7. Decode the Paradox of VC Decision-Making Despite claims of data-driven decisions, VC behavior suggests a strong reliance on peer signals. This creates a circular system where VCs validate each other's decisions. 8. Focus Your Efforts Wisely Understanding these dynamics can help founders navigate the fundraising landscape more effectively. Focus your efforts where they're likely to yield the best results. And succeed! ♻️ Repost if you found this useful 💡 Follow David Kim for more 💡 Subscribe my newsletter, Founders' Edge on LinkedIn https://lnkd.in/g8w7GjAT

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Knetyk TM  Blockchain for Circular economies and value storage a Digitalized CyberTerra ePlatform Investor Pitch and Valuation Proposal Integrating XWeb, eTags, Charity, Entertainment, Declared Actions, and Tokenized Ecosystem  I've been working on this for the past 3 years. And Today the whole world and even the U.N is talking about us. (screenshots below). (Knowledge Index Taxonomy Ecosystem) platform, integrated with XWeb, eTags, declared actions, AI, blockchain, and tokenized knowledge markets, represents a paradigm shift in how we manage, monetize, and interact with knowledge. This advanced ecosystem not only aims to revolutionize education, work, charity, entertainment, and socio-economic actions but also ensures fair compensation, personal empowerment, and global scalability. The K.I.T.E. platform, integrated with XWeb, eTags, declared actions, and a tokenized marketplace, offers a liberating and just system where individuals can learn, work, and live in an ecosystem that compensates them for their intellectual contributions, time, and actions. This decentralized economy empowers people, promotes fairness, and provides the tools for economic independence. This is not just a project; it’s a movement towards creating a more equitable world, where knowledge and effort are the currencies of a better life.

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Top 5 SocialFi: A Trend to Watch The growth of cryptocurrency always brings significant trends that lead the market. However, this time it’s still unclear which segment will truly dominate. Discussions are ranging from DeFi, GameFi, AI, to SocialFi. Although the market is still small, SocialFi is an emerging trend that is beginning to gain serious attention. According to dAppRadar's 2023 industry report, SocialFi is the third most active sector, following DeFi and GameFi, with a growth rate of 518% from the previous year. The SocialFi market is expected to grow from $2 billion to $20 billion in the coming years. 📌 What is SocialFi? SocialFi combines the unique elements of Social Networking and Decentralized Finance (DeFi). Essentially, it is a social network system that leverages blockchain technology to address major issues in current social media, such as content ownership, data monetization by platform owners, content censorship, and unfair revenue sharing. SocialFi is primarily built on three core concepts: Decentralization: Platforms are not controlled by a single entity but are decentralized among all users. This is achieved through the use of tokens and decentralized autonomous organizations (DAOs), ensuring no central authority oversees user activities. Non-Censorship: Content creators have the freedom to create what they want and have greater control over their data. Content Monetization: Users on SocialFi platforms have multiple ways to earn revenue from their activities and followers, as there are no restrictions on monetization. This includes creating content, likes, shares, and answering questions in forums. Tokens are used as rewards for various user engagements. SocialFi aims to bridge the gap between personal branding, content creation, and commerce in a decentralized digital age, creating a new ecosystem that is fair, transparent, and empowering for users. 📌 Top 5 SocialFi There are various SocialFi projects today. Here are some notable examples: Theta (THETA): Theta Network is a peer-to-peer video delivery network powered by blockchain technology. Galxe (GAL): Project Galaxy is a leading platform for building Web3 communities. Decentralized Social (DESO): A layer-1 blockchain designed specifically for creating social media, supporting millions of users and large amounts of data. CyberConnect (CYBER): A decentralized social network dubbed the largest social network in Web3. Steem (STEEM): One of the first blockchain-based social media systems, known as Steemit. It automatically rewards content creators through voting. 📌 The Future of SocialFi According to former Binance CEO Changpeng Zhao, “In a Web3 environment, the connection between values, people, and economies is essential, and if these three elements come together to build an ecosystem, that will accelerate the mass adoption of the blockchain technology and crypto.”

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Our portco NodeKit is working with Particle Network to bring composability to chain abstraction and unlock the full potential of blockchain. The vision of #Web3 is to mirror the seamless experience of the internet, where users interact with services effortlessly. This is achieved through chain abstraction, which eliminates chain-specific balance management and composability which enables the facilitation of cross-chain balance transfers atomically. Chain Abstraction simplifies user interaction with multiple blockchains. Imagine buying an NFT with assets from one chain, used on another, without manual bridging. Composability allows applications to function together seamlessly across chains. The fusion of chain abstraction and composability is essential for unlocking the full potential of Web3. Together, they address both the user-facing and technical challenges of blockchain technology, paving the way for a decentralized web that is accessible, efficient, and powerful. Particle Network leads in chain abstraction with Universal Accounts, providing a single point of interaction across all chains. This simplifies user and developer experiences significantly. NodeKit provides composability with superbuilders, enabling atomic cross-chain transactions. This means transactions either complete across all chains or fail, ensuring no partial executions. More here: https://lnkd.in/dc4s-FA5

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Our clients called 170 top VC funds and angels in the last 6 months including A16Z, General Catalyst, Sequoia, Index Ventures, and many more well-known funds. Here is how it happened 👇 I do believe outreach can fuel a successful fundraise. But you need to ‘think smart and react fast’. Here's my checklist for getting great results from your outreach: 1. Carefully prepare all your materials before you start reaching out. Make sure your pitch deck, P&L, cohorts, and other key documents are in top shape. 2. Start with warm outreach. Think about anyone in your network who can make an introduction to a relevant investor. Personal connections can open a lot of doors. 3. Stay active in the startup community. Attend conferences and events, engage with other founders online, and work to expand your network with useful contacts. Personal offline connection is always better than a Zoom call. 4. Make sure your LinkedIn profile and email are ready to outreach. No funny emails, random photos, and no info in bio. 5. Find the right contacts to write to. NOTE: You can have 1000 contacts, but if they don't invest in your industry or stage - you are wasting your time. 6. Follow up potential investors with traction and product updates. To really fundraise like a pro, be sure to check out the first link in the comments. I'm launching a course that dives into groundbreaking strategies for effective outreach and fundraising. Will be glad to see you! #startups #fundraising #investors #seed #round #outreach

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Has Commercial Open Source finally become viable enough to attract VC investments? The first half of 2024 saw a remarkable $1.5 billion funnelled into open-source startups, making it one of the most successful semesters for open-source funding. Even if we remove Mistral AI $640 million Series B from the calculation (Mistral is open-weight, not open-source), the remaining transactions clearly show a trend of VCs becoming more comfortable investing significant sums in OSS. Vercel massive $250 million Series D embodies this trend, with many Series A and B rounds among the top transactions. This shows investors’ confidence in open-source startups' ability to create and grow a faithful community of developers and build other products they can monetise. It also shows that open-source founders have evolved from the initial free software believers to pragmatic business leaders who can be transparent and create profitable business models. This is clearly a new era for open-source startups, and I predict both a new influx of seed-stage open-source startups and bigger rounds of financing for the category leaders. P.S.: Curious about what's driving this trend? Join me for an exclusive webinar on September 18th at 6 PM CET, where I'll dive deep into the Avolta Global Developer-First Transactions - H1 2024 report. Register now to secure your spot and gain insights into the evolving landscape of developer-first startups (link in comments ⤵️)

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𝗛𝗼𝘄 𝗧𝗼 𝗕𝘂𝗶𝗹𝗱 𝗔𝗻 '𝗔𝗜 𝗳𝗼𝗿 𝗩𝗖' 𝗔𝗽𝗽 𝗜𝗻 𝗠𝗶𝗻𝘂𝘁𝗲𝘀 I've worked on 40+ editions of AI for VC over the past year. I decided I wanted to turn these tutorials into their own web apps. Here's how I did the first one 👇 𝟭. 𝗙𝗶𝗻𝗱 𝗔 𝗨𝘀𝗲 𝗖𝗮𝘀𝗲 One of my favorite newsletters was this one on turning a market map into a spreadsheet: https://lnkd.in/e2dHQJqC Only one problem. It was a multi step procedure... My standards are getting higher. Let's turn those 3 or 4 steps into 1. 𝟮. 𝗔𝗹𝘄𝗮𝘆𝘀 𝗦𝘁𝗮𝗿𝘁𝘀 𝗪𝗶𝘁𝗵 𝗖𝗵𝗮𝘁𝗚𝗣𝗧 💬 Here’s the first prompt I ever sent on this topic: “I want to build a web app for turning an image of a startup market map into a CSV file.” (See page 2) Now I have a bit of a framework for what this is going to look like. But I got greedy. I wanted ChatGPT to do everything. After a little more back-and-forth with ChatGPT, I started to get a good idea of the tech stack I would need. 𝟯. 𝗧𝗵𝗲 𝟯 𝗧𝗼𝗼𝗹𝘀 𝗙𝗼𝗿 𝗧𝗵𝗲 𝗝𝗼𝗯 🛠️ ChatGPT: We’ll use ChatGPT to help us write the code for our new web app. We also need an API key to send requests to OpenAI. You can get yours at https://lnkd.in/e8XRZtW9 PyCharm: PyCharm is a development environment for Python projects (the language we’ll use). Don’t worry if you don’t have much Python knowledge. You can download the IDE here: https://lnkd.in/eAWy-nHj Streamlit: Streamlit is a framework for deploying, managing, and sharing your apps with the world. This is where our final application will be hosted. Get a free account here: https://streamlit.io/ 𝟰. 𝗧𝗶𝗺𝗲 𝗙𝗼𝗿 𝘁𝗵𝗲 𝗛𝗲𝗮𝘃𝘆 𝗟𝗶𝗳𝘁𝗶𝗻𝗴 🏋️‍♀️ After getting familiar with our tech stack, our starter prompt evolved: “I want to build a Streamlit app using a Python script for turning an image of a startup market map into a CSV file. Please write the necessary code for me to do so. I would like to use OpenAI’s model 4o.” (See page 3) Naturally, I encountered a few bugs and glitches along the way, but it didn’t take long to resolve and update the code to get this program working. I copied the code and pasted it into a new Python file in PyCharm (See page 4) Before I ran the code, I needed to make sure all of the libraries were installed properly. I went to the terminal (see page 5) Then typed: “pip install streamlit requests pandas pillow” That did the trick. Now it’s time to run my application. 𝟱. 𝗧𝗵𝗲 𝗙𝗶𝗻𝗮𝗹 𝗣𝗿𝗼𝗱𝘂𝗰𝘁 📲 I used the terminal to run the program with this line: “streamlit run marketmap.py” A new window opened up in my browser (see page 6 for the result) Here’s a quick demo I put together to show how to run the program from inside PyCharm: https://lnkd.in/eveRFFhV LMK if you'd be interested in the final code!

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The show must go on only for the lead #investor. After two weeks of preparing, we are happy to announce a new #fundraising round - #SEED. Our traction: 1. Raised $0.86M on FFF round. 2. Community - over 10k unique, live followers on Twitter and Discord. 3. BETA (TestNet) - ready and launched for all. 4. We are ready to launch YAR this Autumn. 5. We have 5 exchanges ready to list YAR at any time. 6. 19 #VC's that are waiting for Lead. Round numbers: 1. Raising amount: $25M 2. Conditions: #SAFE/#SAFT 3. Minimal allocation: $60k = 50k YAR = 1 node 4. Maximal allocation: $6M 5. Allocation step: $60k 6. Currency: Crypto only 7. Cliff: 8 mo after TGE 8. Vesting: 24mo linear We are looking: For only lead investors. Hey VCs, are you ready for the rumble? #InvestmentOpportunities #web3 #Web3Startup #Blockchain #crosschain #Interoperability Deck: https://lnkd.in/ejJW7MzZ

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The show must go on only for the lead #investor. After two weeks of preparing, we are happy to announce a new #fundraising round - #SEED. Our traction: 1. Raised $0.86M on FFF round. 2. Community - over 10k unique, live followers on Twitter and Discord. 3. BETA (TestNet) - ready and launched for all. 4. We are ready to launch YAR this Autumn. 5. We have 5 exchanges ready to list YAR at any time. 6. 19 #VC's that are waiting for Lead. Round numbers: 1. Raising amount: $25M 2. Conditions: #SAFE/#SAFT 3. Minimal allocation: $60k = 50k YAR = 1 node 4. Maximal allocation: $6M 5. Allocation step: $60k 6. Currency: Crypto only 7. Cliff: 8 mo after TGE 8. Vesting: 24mo linear We are looking: For only lead investors. Hey VCs, are you ready for the rumble? #InvestmentOpportunities #web3 #Web3Startup #Blockchain #crosschain #Interoperability Deck: https://lnkd.in/ejJW7MzZ

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The story goes that a 3x LTV/CAC is the ideal benchmark for startups. But why should you care about this ratio? 🟩 Spoiler: higher LTV/CAC → higher margins → higher valuation In other words, you should get 3x more from the customer than you spend to acquire them. With this ratio, you should aim to cover all other expenses (R&D, SG&A) and potentially be profitable. A higher valuation is good motivation. Also, calculating your Unit Economics (LTV/CAC) can help with many questions: ▫️ Should I increase or decrease our marketing spending? ▫️ On what type of customer should we focus for scale? ▫️ What marketing channels are more efficient? In theory, LTV/CAC calculations look easy before you really start calculating them. 🟧 Here are the top 6 calculation errors we observed at Fuelfinance after working with hundreds of startups: 1️⃣ Not including sales and marketing tool costs in the CAC 2️⃣ Take ARPU for LTV and not multiply it by the Gross Profit Margin 3️⃣ Mistake in Gross Profit Margin Calculation. Here, you can find more: https://lnkd.in/dZC9sr_x 4️⃣ Not take into account the average sales cycle. If it exceeds a month, include expenses accordingly. 5️⃣ Use average numbers, not median values, for churn rate or revenue in cases when you are dealing with major outliers. 6️⃣ Do only average LTV/CAC calculations without cohorts. Cohorts are groups of users with specific criteria, like sign-up month or marketing channel. It helps to choose focus. Hope you will avoid them. ⏳ Timing: It’s reasonable to calculate LTV/CAC on a seed stage, before raising Series A. Or when you have good traction. On a screenshot is a dirty and fast LTV/CAC template. 👇🏼 Comment if you need this template, and I will send it to you. It’s not a full solution. You also need cohorts to make it right. May The Profit Be With You💚 Alyona Mysko

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5 Key Things to Understand Before Starting Your Fundraising Journey These tips are based on my experience and successful deals, and I believe they will be valuable for your startup. I would be grateful for your feedback. ⬛ Find Your Investor The phrase might sound odd, but it carries significant meaning. Instead of downloading lists of investor contacts or attending countless events you don’t have a reason to attend, focus on research. ◻️ Study the Market: Identify who invests in your niche — it could be venture capital funds, angel investors, or family offices. ◻️ Analyze: If it's funds, find out who is part of them; if it's angels, see which projects they've already invested in. This will allow you to take a more targeted approach with each investor. ⬛ Master Effective Communication Skills Communication is the foundation of any successful fundraising effort. ◻️ Goals and Approach: Every interaction should have a clear purpose, but be cautious — overly obvious intentions can be off-putting. ◻️ People Communicate with People: Remember that it’s important not just to write emails, but also to engage in face-to-face conversations. ⬛ Understand Cultural Differences It seems we share the same language, since the venture ecosystems speak English. But mentalities vary widely; we are quite different. ◻️ Learn the Nuances: Understanding how to communicate with people from different cultures will not only help you articulate your ideas better but also build strong relationships with potential investors. ◻️ Remember: Diplomatic communication opens all doors. ⬛ Outreach is Not Spam ◻️ Preparation: Don’t forget to prepare your emails in advance. A poor strategy could lead to your messages being blocked. ◻️ Personalized Approach: Never send the same email to everyone. Customize each message to show genuine interest. ⬛ Following Up is Not a Crime Your first email might get lost in spam or overlooked. ◻️ Be Persistent: Don’t hesitate to remind investors about yourself, especially when you’re wrapping up quarterly results. Share your progress, achievements, and milestones you’ve reached. This can rekindle interest from investors who may not have responded earlier. ❗ Fundraising is not just about securing money; it’s an art of building relationships. By focusing on these key aspects, you will increase your chances of success. Which points appeal to you the most? 👇 #fundraising #startups #vc #lifehacks

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The growth of new real estate funding platforms- Real estate tokenization is changing the real estate industry by enabling the fragmentation of physical assets into digital tokens, offering a more accessible and efficient way to invest in real estate. 1. Top 11 Best Real Estate Tokenization Companies https://lnkd.in/euk_DMKQ 2. Top 10 Real Estate Tokenization Companies to Know in 2024 https://lnkd.in/eQTgiS-r 3. Top 10 Real Estate Tokenization Companies in 2024 https://lnkd.in/e7Pw_ZZE 4. Real World Asset (RWA) Tokenization Ecosystem https://lnkd.in/exY_vuKH

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