Karthik Narayanan

Startup decks vs Business plans. It's accepted that a startup needs a deck. Dax Dasilva of Lightspeed Commerce made an important point on 20VC. Writing a business plan - including financial projections - is an important step. It requires discipline. It provides a rigorous framework for thinking deeply about the problem you're trying to solve. Harry Stebbings countered that he doesn't even want to see a deck since it's all dreams. We spent a lot of time and energy on our business plan with the expectation that we would show it to no one ever. The business plan was part of our roadmap for the company. We researched customers - including having 50+ conversations. We wanted to understand them: their background, their interests, their presence on social media. We also wanted to understand how they were evaluated by leadership and how integrated they were with the business of the company they were protecting. We researched pricing both with potential customers and other products in our industry to find out if OpEx or CapEx was a better fit. How did they buy today? How would they like to buy? We did market research to understand the verticals and map the right entry point - we were wrong but that doesn't reduce the value of the research. We looked at competitors in depth to understand what they were seeing that we weren't. Dax is right. This is an invaluable document that should be updated every year - the company is changing, the market is changing, there's more feedback about price and ICP. It's not for sharing with the outside world. It's a map for driving forward. Decks won't get you investment - VCs invest in people. We make decks but we know they don't tell our story. The deck is a calling card. Dax and Harry are both right. https://lnkd.in/e25M82xY

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We are excited to back Morphing Machines. As Dr. Ranjani, CTO and co-founder says: “For the first time in India and globally, we have a processor that is truly runtime reconfigurable, catering to emerging workloads.” While Nvidia’s growth and high valuation are driven by robust demand for “infra-compute” in high-performance GPUs, spurred by Gen AI, there is a distinct need for innovative solutions tailored to a new wave of reactive applications. Enter Morphing Machines. It addresses this demand with its unique product designed for next-gen telecom, autonomous vehicles, collaborative robots, avionics, and online data analytics. This product is specifically engineered to handle heterogeneous workloads and diverse tasks with varying performance demands simultaneously, ensuring a high level of scalability. As we move from an institutionally-backed research team at IISC to productization, Golden Sparrow is collaborating with Speciale Invest and others to support Deepak Shapeti, who joined as CEO three years ago after earning his Masters at Stanford. He brings not only technical expertise but also the business acumen necessary to guide the product to commercial success. Venkat Raju Afreed Faizan Anand Rao Ritik Singh Michael Marmor

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Vishal Sachdev highlights the strategic integration of open source and proprietary tech in architecting tech stacks, developer ecosystems and resulting business models. The world class companies effectively balance value commoditization in open source and value capture in proprietary tech. This is the strategic challenge for companies operating in #blockchain and #AI. I believe those who operate at the intersection of blockchain *and* AI stand to win this strategic battle...

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Goldcast's startup journey has perfectly mapped the last 4 crazy years of SaaS. Palash Soni and his cofounders first started the company in 2021 to build great, customizable virtual event solutions for enterprise marketers. While their business kept growing past the pandemic, it was clear that overall spend was shifting back to IRL events fast. However, video consumption continued to rise and quickly became the best way to build your brand and an audience in software - if you knew how to operationalize video marketing. Goldcast's product evolution from a virtual events platform to an AI-native video marketing solution has been incredible to watch. The company had its best quarter yet, adding customers like OpenAI and Coupa Software and I couldn't be more proud. Here's Palash talking about their product evolution and the future of video marketing in an AI-native world.

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Building Factorwise, Modular SCF stack for enterprises. Supply chain financing reimagined and superpowered When a founder of growth stage startup(ARR~ 100Crs) compliments Factorwise and its utility. This opens new possibilities ground where Factorwise can be true partner in growth by making growth stage startups supply chain intelligent and capital efficient. Interestingly lenders(#Banks and #NBFCs) also want to be part of growth stage startups by providing more structured and ring fenced SCF programs. We welcome all growth stage startups (MRR~ min 5Cr ) to become capital efficient. Let’s connect with us at [email protected] #Supplychainfinance #SCFstack #supplychain #Factorwise #Capitalefficiency #workingcapital

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Thrilled to add 🚀 Vertex AI tool response support - https://lnkd.in/dvdWvY3f (+4 more updates 👇) 🙋‍♂️ [PR] GPT-4 'response_object' drop params support 🛠️ [PR] Vertex AI function calling chat history support 🛠️ [PR] Vertex AI system instructions support ⚡️ Vertex AI Function calling history + streaming support

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It would be amazing if someone could create a post detailing the unit economics of a fintech business. Gross profit margins, payback periods, LTV, and so on. Maybe even compare different types of Fintech startups, BNPL, payment processors, lenders, etc.

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Wonder why you can't do LLM inference on a CPU? It was talked about at the KeyBanc Tech Summit. This blog explains why you need NVLink connected GPUs. Check it out here: https://lnkd.in/gKBSceh3

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who are we building for on ton & why? - existing onchain user base - user base onboarded via recent airdrops - apps looking to monetise but lack licensing + infra - casual user base that wants to pvp on their internal chat without any global restrictions data to back my thesis: 👉 there are 22m activated wallets 👉 there are 600K+ daily active wallets gas is almost ~$0.025 the onboarding stage on ton will soon turn into the adoption stage, that's what are we building for.

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𝐔𝐊 𝐅𝐢𝐧𝐭𝐞𝐜𝐡𝐬 𝐁𝐫𝐞𝐚𝐤𝐢𝐧𝐠 𝐓𝐡𝐫𝐨𝐮𝐠𝐡 𝐭𝐨 𝐏𝐫𝐨𝐟𝐢𝐭𝐚𝐛𝐢𝐥𝐢𝐭𝐲 The past few years have been brutal for #startups, with record layoffs, halted hiring, and widespread closures or down rounds. Yet amidst these challenges, some #fintech companies have not only survived but thrived — achieving profitability and making waves in the industry. Here’s a spotlight on some of the UK’s most profitable #fintechs: Revolut Launched in 2015, Revolut has solidified its position as a leading UK startup, recently reaching an impressive $45bn #valuation. Their 2023 performance was phenomenal: ▪️ $2bn in revenue ▪️ $545m in profit Monzo Bank Monzo’s latest annual report shows a complete turnaround, with remarkable growth across the board: ▪️ £15.4m in profit (a huge leap from a £116m loss in 2023) ▪️ £880m in revenue (+147% YoY) ▪️ 9.3 million users (+26% YoY) Allica Bank Positioning itself as a full-service #bank for SMEs, Allica has quickly gained traction since its 2019 debut and reached profitability faster than most UK fintechs: ▪️ Revenue surged by 141% to £191m ▪️ Pre-tax profit hit £16.1m Moneybox Moneybox’s latest results highlight significant growth, showcasing their ability to scale rapidly: ▪️ £77m in annual revenue (up from £28m last year) ▪️ £27m in pre-tax profit (a massive jump from a £4.1m loss last year) Starling Bank Founded in 2014, Starling achieved #profitability in 2022 and shows impressive 2023 results: ▪️ £453m in revenue ▪️ £169m in net income ▪️ 37% profit margin Zopa Bank Zopa bank became a #unicorn in 2021 when it raised £220m at a valuation of $1.03bn. After losses in 2022, FY23 results reflect Zopa's #profitability growth: ▪️ £222m in revenue (+44% YoY) ▪️ £16m in profit (compared to a £24m loss in 2022) ClearBank A leader in enabling real-time #payments, ClearBank’s 2023 results show impressive growth: ▪️ £111m in total income (+91% YoY) ▪️ £18m in profit (+109% YoY) ▪️ £6.1bn in deposits (+103% YoY) iwoca Founded in 2012, iwoca provides businesses with access to funding and just released its FY2023 report: ▪️ £143m in revenue (99% YoY) ▪️ £22m in pre-tax profit Atom bank Atom delivered its first year of operating #profit in FY23 and showed growth results: ▪️ £100m in revenue ▪️ £7m in pre-tax profit OakNorth A unicorn just two years after its founding, OakNorth’s latest figures highlight its staying power: ▪️ £466m in revenue (+73% YoY) ▪️ £187m in pre-tax profit (+24% YoY) ▪️ 30% net profit margin ClearScore ClearScore’s 2023 results emphasize consistent performance while helping consumers access free credit reports: ▪️ £77m in revenue ▪️ £5m in pre-tax profit These fintechs have proven their strength and adaptability — 2024 will show us how the fintech landscape will evolve with new milestones the industry can reach. #FY2023 #dmtech #dataminingtech #dataminingtechnologies

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More funding rounds today (Seed - D / US-based / Ent Software, AI, SaaS) Wordware (YC S24) secures $30M Seed, supported by Spark Capital, to empower developer tools. Selector lands $33M Series B, backed by Ansa Capital, to innovate AI infrastructure. Federato raises $40M Series C, supported by StepStone Group, for insurtech advancements. Roboflow secures $40M Series B, led by GV (Google Ventures), to transform computer vision AI. OneRail garners $42M Series C, with Aliment Capital leading logistics SaaS growth. Spectro Cloud raises $75M Series C, supported by Goldman Sachs Alternatives, for cloud innovation. MatX secures $80M Series A, backed by Spark Capital, for AI-driven manufacturing. Enfabrica lands $115M Series C, supported by Spark Capital, to advance AI semiconductors. Cresta closes $125M Series D, led by Qatar Investment Authority. Cyera raises $300M Series D, with Accel and Sapphire Ventures driving AI cloud security.

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📢 📢I am actively looking for pre seed / seed stage C2C marketplace (aka eBay of India) startup. Yes, olx/Quicker are there, but no one uses them. It's time to imagine it fresh. India is ready for eBay now. Reasons: - The biggest one is that the economy is rising, and seller-side supply is available who want to give away stuff at a cheaper price - More people want to be branded and quality stuff - Logistics and Payment is solved - People are comfortable (trust) transacting via online platforms. Founders and operators please circulate among your network 🙏 IndiaQuotient

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waking up to a market that’s moving at supersonic speed. AI tokens are leading the way, breaking multiple levels as the bull run restarts. 🚀 but let’s not get ahead of ourselves - it’s a wild ride out there. NEAR Protocol bouncing back, Injective Labs showing promise, Bittensor (Opentensor Foundation) fighting resistance. these are exciting times for AI tokens, no doubt. but what’s driving this surge? and more importantly, how do we navigate it? at MC² Finance, we’re deep into this space, working on personalized portfolio insights and intent-based trading. we see the potential in AI tokens, but it’s crucial to approach with a clear strategy. it’s not just about jumping on the latest trend - it’s about understanding the fundamentals. this market is early, volatile, and full of opportunities. 🌍 my advice? stay informed, stay strategic, and always know your entry and exit points. these tokens could see massive gains, but they could also pull back just as quickly. don’t let the hype cloud your judgment - focus on the long-term vision. p.s. shoutout to the teams behind these projects - they’re pushing boundaries and redefining the space. it’s a tough job, but the innovation we’re seeing is nothing short of impressive. 💡 #Crypto #Tokenomics #AItokens #MC2Finance

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Sequoia Capital's recent essay on Generative AI presents a lot of hope for service companies who always wanted to ride the high margin game i.e. products. There has not been a better moment than now for service companies. With their domain and workflow capabilities, they can literally launch both horizontal and vertical solutions and compete with the erstwhile SaaS players. While Cloud technology helped Software to be sold as Services, Generative AI helps Services to now sell as Software. This is a much bigger market. Companies who can provide one or more of the below have a shot at unlocking lot of value: - Connect to multiple Gen AI APIs - Simplify UX (basically take input in a structured form > convert to prompt > convert it back to a consumable format) - Automate workflows (connecting multiple other systems) We cover this story in this week's UXH Mixology newsletter: https://lnkd.in/gyA6TSMU So what are you building with Gen AI?

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Thrilled to add OpenAI TTS support on LiteLLM (YC W23) PROXY - https://lnkd.in/dz-9gE2t (+4 more updates 👇) 🚀 SDK - OpenAI TTS support 💪 404 Error Cooldown fix s/o Anand T. 🎉 [PR] Assistants API Proxy Endpoints s/o Jerome Roussin 🛠️ Assistants API async endpoints support

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Is this tech company and transformer technology a potential Nvidia disruptor? I need to dive deeper into the matter. This is an interesting piece of info.

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🌏 Open Banking & Bank Infra start-ups: what's the trend?  🌎 📊 📈 We’ve been hearing about “building for banks” but if we actually break it down, it seems to break into four segments: 1️⃣  Bank systems (CBS/LOS/LMS), 2️⃣ Credit Card Issuing and Management (CCMS), 3️⃣ Tech enabled banks 4️⃣ Account Aggregator model (AA) for open banking 💡 🎯 I’ve taken a look at Rev X (last valuation / ‘23 revenues). On average (out of the 10 I got details for), “building for banks” fintechs are trending at Rev X of ~21x. This is in line with what fintechs were trending at at IPO: ~19.6x. Deep dive: https://lnkd.in/ghb5w8iS 💡 📊 Visa is betting on this space. It acquired Tink (AA, Sweden) in 2024, Pismo (CCMS, Brazil) in 2022, and bid for Plaid (AA, USA) in 2020. And maybe more in the future? 1️⃣ Core Banking  / Lending Management Systems: Rev X: 11.3x - 20x ✅ Falcon: Founded 2012 (went through pivots), Raised 2 seed rounds, last round in 2022, HQ: India ✅ M2P: Founded 2016, Valued: ~$600M, Rev in’23: $53M, Rev X: 11.3x, HQ: India ✅ Lentra: Founded 2018, Valued: $400M, Rev in ‘23: $20M, Rev X: 20x, HQ: India ✅ Constantinople: Founded 2022, Raised $50M in 2024 Series A, HQ: Australia 2️⃣ Credit Card Issuing & Management: Rev X: 30-40x, only 1 ex, so may not be accurate M2P & Falcon who provide banking systems, also provide credit card issuing / management solutions. ✅ Pismo: Founded 2016, Valued: $1B at Visa acquisition in 2024, Rev in ‘23: $25M+, Rev x: ~30-40x, HQ: Brazil ✅ Hyperface: Founded 2021 by ex-Juspay founder, Valued: $65M, HQ: India ✅ Pomelo: Founded 2021, Valued: $100M+, HQ: Argentina 3️⃣ Tech enabled banks (fintechs with banking license): Rev X: 11.59 - 12x These banks provide payments infrastructure, as well as APIs to banks in their network. In the sample I’ve looked at, this segment seems to have the highest revenues. They also raised at higher multiples: ~11-20x. This is higher than what Indian banks are at as of ‘24 (range from 5x - 8x). And similar to start-ups building for bank systems. ✅ Cross River Bank: Founded 2008, Valued: $3B, Rev in ‘23: $150M+, Rev x: 12-20x, potential IPO in 2025, HQ: USA ✅ Solaris: Founded 2016, Valued: $1.6B, Rev in ‘23: $138M, Rev x: 11.59x, HQ; Germany 4️⃣ AA model (open APIs):  Rev X: 20 - 200x It’s possible some of these companies are overvalued. Plaid (200x), and Yapily (66x - 100x) seem to be trending on the higher side ✅ Perfios: Founded 2008, Valued: $1B+, Rev in ‘23: $50M, Rev x: 20x, HQ: India ✅ Tink: Founded 2012, Valued: $2B at acquisition by Visa in 2022, Rev in ‘23: $32M, Rev X: 62.5x, HQ: Sweden ✅ Plaid: Founded 2013, Valued: $13.4B, Visa acquisition bid $5B in 2020, Rev in '23: $64M, Rev X: 200x, HQ: USA ✅ True Layer: Founded 2016, Valued: $1B, Rev in ‘23: $45M, Rev X: 22x, HQ: UK ✅ Yapily: Founded 2017, Valued: $200-300M, Rev in ‘23: $3M, Rev X: 66-100x, HQ: UK For the detailed article, and more pieces like this, click here: https://lnkd.in/gYjh6H2c

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