The Venture Crew

Khosla Venture's Guide: Pitch the way VCs think As an entrepreneur, you’ve nurtured your idea from a spark of inspiration into a full-fledged startup. You’ve put in countless hours, overcome numerous obstacles, and are now ready to take the next big step: pitching to venture capitalists (VCs). However, many first-time founders struggle to pitch their ideas effectively. In 2019, Vinod Khosla shared a video and presentation offering the investor's perspective and providing advice on how to best present to them. Some key points to consider - → Stop stuffing each slide with as much content as possible. Whitespace is your friend. → Focus on A FEW key takeaways. → Address risk & show your business is well thought out. → Powerful titles > vague/buzzword titles → Have a clear ask & traction → Show/visuals > telling Khosla’s talk/presentation will provide a basic understanding of what to expect and how to organize a deck to secure funding. I highly recommend that founders read this presentation and watch his YouTube video (link in the comments). 💫 Check out my free newsletter for more insights: https://lnkd.in/dFyTK7RW . #startups #venturecapital #vc #founders #founder #angelinvestors #investors #guide #startuptips #fundraising #fund #angelinvestors #investor #venturecapital #money

Venture Capital Fee Economics - Guide For Aspiring Venture Capitalists There are three common types of fees associated with Venture Capital Funds (excluding Carry): 1️⃣ Setup Fees 2️⃣ Management Fees 3️⃣ Organizational and Administrative Fees Setup and management fees are usually capped at 1.0% of committed capital or actual cost, whichever is lower. Management fees, ranging from 2.0-3.0% annually depending on fund size, can be structured in various ways, affecting TVPI despite identical MOIC 🤷🏻♂️ The median lifetime fee for a VC fund is 21.38%, including all fees. Understanding fee structures in venture capital is crucial as they directly impact a fund's performance. Here's why: The way General Partners (GPs) structure fees affects how much capital they can actually deploy into their portfolio companies. This, in turn, influences the Total Value to Paid-In (TVPI) ratio, even when the Multiple on Invested Capital (MOIC) remains the same. To illustrate this, let's consider five different fee structures: → A flat 2.0% management fee on committed capital during the investment period, switching to 2.0% on invested capital during divestment. → Starting with 2.0% on committed capital during investment, then gradually stepping down by 0.25% annually on invested capital during divestment. → Front-loading with a higher 2.5% on committed capital for investment, maintaining 2.0% on committed capital during divestment. → Beginning at 2.5% on committed capital for investment, then gradually decreasing by 0.25% annually on committed capital during divestment. → A more complex structure: 2.5% for years 1-2, 2.0% for years 3-5 on committed capital during investment, then sharply dropping to 1.00% on committed capital during divestment, with 20% recycling allowed. Each of these structures will result in different amounts available for investment and, consequently, different TVPI outcomes. This highlights why investors and GPs need to carefully consider fee structures when evaluating or setting up VC funds. Check out the attached document for more details. 👇 If you find this helpful - please like, comment and share in your network. 💫 For more insights, check out my free newsletter and Join 62000+ founders & investors: https://lnkd.in/dFyTK7RW . Thanks, Marc Penkala for sharing this. #startups #vc #venturecapital #funding #founders #investors #angelinvestors #fund #tech #ai #founder

The best time to invest in a company is when it’s most in violation of a popular narrative... I’ve been digging into Bedrock’s investment strategy lately, their approach is seriously unique. Rather than chase popular narratives, Bedrock’s approach is to invest when companies are incongruent with the narrative. Simply put, search for narrative violations, which is contrarian to most investment strategies. Narrative violations are some of the best investment chances in technology today. These companies either stand out as unique or challenge what most investors think is possible. Think about it: → Tesla in 2010, when everyone thought cleantech was dead → Roblox in 2011, when social gaming was supposedly a "horrible business" → Tinder in 2012, because "dating apps are always fads," right? Each of these companies violated the popular narrative of their time. They were the ideas too weird, too risky, or too "out there" to fit neatly into analyst reports or startup pitch competitions. Building a company that violates popular narratives is a lonely path. These founders don't get the buzz, the easy funding, or the startup scene cred. But that isolation can be a superpower, granting immunity from copycat competitors and allowing them to grow in the shade until they're unstoppable. Investor's job is to resist the narrative thrall. To look beyond the hype cycles and Twitter threads. To find those brave entrepreneurs who are quietly bending reality to their will. Because here's the truth: The best time to invest in a company is when it's most in violation of a popular narrative. But how does Bedrock spot violations? We have shared a detailed article on Bedrock's investment strategy in our recent Venture Curator newsletter. Check it out here: https://lnkd.in/di7hhH7W 💫 If you find this helpful - please like, comment and share in your network. . #startups #investment #founders #funding #fund #vc #strategy #venturecapital #founder #funding #startup #entrepreneur #entrepreneurship

Marc Andreessen's All-in-One Guide for Founders A must read guide for founders, It includes: 1. "But I don't know any VCs!" 2. When the VCs say "no" 3. Why not to do a startup 4. The only thing that matters 5. The Moby Dick theory of big companies 6. How much funding is too little? Too much? 7. Why a startup's initial business plan doesn't matter that much Andreessen's Guide To Hiring 8. Hiring, managing, promoting, and firing executives 9. How to hire a professional CEO 10. How to hire the best people you've ever worked with Andreessen's On Big Companies 11. Turnaround! 12. Retaining great people Andreessen's Guide On Career, Productivity & Some other Things 13. Opportunity 14. Skills and education 15. Where to go and why Andreessen's Guide On Personal Productivity 16. The Psychology of Entrepreneurial Misjudgment: Biases 1-6 17. Age and the Entrepreneur: Some data 18. Luck and the entrepreneur: The four kinds of luck 👉 If you find this helpful, please like, comment & share so that it reaches founders. 💫 For more insights, check out my free newsletter and Join 62000+ founders & investors: https://lnkd.in/dFyTK7RW . #startuptips #guide #founders #investors #invest #founder #entrepreneur #entrepreneurship #investing #jobs #startups

15+ VC Job Opportunities.... We shared over 15 venture capital job opportunities in our Friday edition of the Venture Curator newsletter. You can find these listings here: https://lnkd.in/duJmRXyH 💫 Want daily VC Job updates/want to learn about VC from basics... Join our VC Crafters (Break Into VC)' Slack community to learn, network and craft your path to venture capital... Join Slack Community Now: https://lnkd.in/gby478Up . #startup #venturecapital #funding #fundraising #vc #vcfunding #vcfund #founders #fundraising #job #siliconvalley #summerinternship #usa #indianstartups #startups #business #analyst #associates

All-In-One Resources For Aspiring Venture Capitalists Books To Read 📚 → Venture Deals By legendary VC Brad Feld https://lnkd.in/dWPQDtA3 → Secrets of Sand Hill Road: Venture Capital and How to Get It: https://lnkd.in/dtPC8XzR → Angel: How to Invest in Technology Startups by Jason Calacanim, a famous investor and podcaster (All In, This Week In Startups). → Mastering the VC Game By Jeff Bussgang, a seasoned VC investor and Senior Lecturer at Harvard Business School: https://lnkd.in/dtizDwnk → Super Founders: What Data Reveals About Billion-Dollar Startups By Ali Tamaseb → The Power Law: Venture Capital and the Making of the New Future By Sebastian Mallaby: https://lnkd.in/dnPymf4d Video) → Zero to One: Notes on Startups, or How to Build the Future by Peter Thiel: https://lnkd.in/e6ZZJ-xE Newsletters To Subscribed📬 → First Round - https://lnkd.in/dKG6CKrN → SWE2VC - https://lnkd.in/dCEhgizR → Break Into VC - https://lnkd.in/dkczenDp → Open VC - https://lnkd.in/dUn-UBTv → Benedict Evans - https://lnkd.in/dyW5mXpJ → AVC Newsletter - https://avc.com/subscribe/ → Entrepreneur - https://lnkd.in/daPZYrYN → Venture Curator - https://lnkd.in/dqZj4q_j → Venture Daily Digest - https://lnkd.in/dQuvt5xR → a16z's newsletter - https://lnkd.in/gyghyfCZ → Law & Economics in Venture Capital - https://lnkd.in/diN_dtqc Podcast To Listen 🎧 → All-In Podcast → Aarthi and Sriram → 20VC with Harry Stebbings → Stanford Graduate School of Business → Build In Public Podcast → This Week in Startups → Associated Anything you want to add to the list ... Want daily VC Job updates / want to learn about VC from basics... Join our VC Crafters (Break Into VC)' Slack community to learn, network and craft your path to venture capital... 👉 Join Slack Community Now: https://lnkd.in/gby478Up . #startups #jobs #vc #founders #analyst #associate #founder #funding #internship #venturecapital

A Must-Read Guide for Aspiring Venture Capitalists Every year, Harlem Capital opens its internship program (https://lnkd.in/gkpbCaE). For the first time, they have shared their internship syllabus along with curated resources. This guide covers various topics and provides valuable curated materials 1️⃣ Sourcing & Due Diligence 2️⃣ Product -Market Fit 3️⃣ KPIs and Unit Economics 4️⃣ Market Sizing 5️⃣ Valuation 6️⃣ Term Sheets & Financing 7️⃣ VC Exits 8️⃣ Fund Operations 9️⃣ Platform 🔟 Additional HCP Resources Check out the attached file for more info 👇 If you find this helpful - please like, comment & share so that it reaches aspiring venture capitalists. 💫 For more insights, check out my free newsletter and Join 66000+ founders & investors: https://lnkd.in/d_Fz3adn . #startups #vc #founders #investors #investing #startup #angelinvestor #jobs #analyst #associate #fund #funding #venturecapital #guide

20+ VC Job Opportunities.... We shared over 20 venture capital job opportunities in our Wednesday edition of the Venture Curator newsletter. You can find these listings here: https://lnkd.in/d_ycetEu 💫 Want daily VC Job updates/want to learn about VC from basics... Join our VC Crafters (Break Into VC)' Slack community to learn, network and craft your path to venture capital... Join Slack Community Now: https://lnkd.in/gby478Up . #startup #venturecapital #funding #fundraising #vc #vcfunding #vcfund #founders #fundraising #job #siliconvalley #summerinternship #usa #indianstartups #startups #business #analyst #associates

All-In-One Startup Metrics Guide - What to track, when and why. One of the biggest challenges founders face is choosing the right metrics for their startup. Too often, entrepreneurs make the mistake of tracking vanity metrics that don't accurately reflect their business's health. If you're unsure which key performance indicators (KPIs) to monitor, the guide I'm sharing today can help. It covers the essential metrics for various sector, startup stage and explains how to leverage them effectively as you build and grow. It contain 👇 1. Metrics Matter 2. North Start - Theory and Applications. 3. What to track when - - Deep Tech - Fintech - Health & Consumer Tech - Industrial Tech - Marketplaces & Network Effects 4. Metrics Explained 4.1 Acquisition Metrics - On-Page Events - Conversion Rate (CR) - Click-Through-Rate (CTR) - Virality Coefficient (K factor) 4.2 Activation Metrics - Activation Rate - CAC 4.3. Retention Metrics - Customer Retention Rate - Active Users - Churn Rate - Cohort Activity Heatmap 4.4 Referral Metrics - Net Promoter Score 4.5 Revenue Metrics - LTV - LTV : CAC Ratio - Revenue - MRR - MRR Growth - Annual Contract Values (ACVs) - Average Revenue per User (ARPU) - Burn Rate - Runway 5. Tips From Investment Managers & Startups - Product-Founder Fit vs. Product-Market Fit - Kicking-off Data-Drivenness Early On - Don't Forget About Retention - Grow Sustainably - Track & Optimize KPIs - Know How to Tell Your Story Remember - metrics are not just numbers but reflect a business's vision. While no metric is perfect, consistently monitoring the right metrics is crucial as they drive what matters most. Start by identifying your key metric or "North Star," then set up tracking from day one. Without defined metrics and goals, you can't identify success. The right metrics, consistently measured, provide a powerful tool to reduce complexity and drive data-based improvements, rather than relying on gut feelings. If you find this helpful - please like, comment & share so that it reaches founders. 👉 Check out my free newsletter for more insights: https://lnkd.in/dKZQKHg2 💫 For more insights, check out my free newsletter and Join 62000+ founders & investors: https://lnkd.in/dWYBKyjm . #startup #metrics #founders #earlystartup #founder #startups #fundraising #funding #entrepreneur #metrics #tractions #fund #vc #venturecapital #entrepreneurship #track #data #analysis #research

Jensen Huang got his best career advice from a gardener in Japan. For more insights, check out our free newsletter and Join 62000+ founders & investors: https://lnkd.in/d5ctbA8N . #startups #funding #valueproposition #book #startuptips #founders #startup #earlystage #entrepreneurship #entrepreneur #fundraising #vc #venturecapital #angelinvestors #investors #guide