It may seem as if startup exits are getting more difficult, with IPOs taking longer and big tech companies buying fewer startups in this new antitrust environment. But in the meantime, there are more startup liquidity options now: eg. bigger startups, PE firms, venture studios-type roll-up entities, startup acquisition platforms (acquire.com, tiny.com), etc. There are more exited startup founders now than ever, and many of them become repeat founders or angel investors. While there might be more potential acquirer options, everyone is using revenue and EBITDA as the key metric. But this also means, if your company is generating revenue and (better yet) profits, you’ll always have liquidity options. It’s not that you have to sell - with infinite runway, time is on your side.
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We are happy to introduce Lever X Studio. Here, we do cool stuff with passionate and obsessive individuals. We build and co-found start-ups in SaaS, transactional businesses and digital marketplaces. We will allow individual investors to back our investment syndicate by investing as low as $1000. We do this while leveraging talent, capital, code and media. Follow to stay up to date with our journey #startupjourney #startups #venturestudio #venturebuilding #startuplife #startupinvesting
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🚀 "How Big Is Your Market?" Is the Wrong Question for Investors 💡 Sam Altman believes that when investors ask startups about the size of their current market, they’re missing the real opportunity. The better question is: How fast is that market going to grow? 📈 The best startups thrive in small markets today that are poised to explode 💥 in the coming years. Early success in a niche is often a signal of massive future potential. Just look at Airbnb 🏠, which captured NYC’s apartment rental market, or Stripe 💳, which dominated payments within its YC cohort. For investors, it’s not about the market’s size now, but how fast it's evolving. 🌱 Keep your eyes on the future! 🌟 #startup #venturecapital
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How do you increase the odds of getting acquired for $1 billion? Forget the 5-year IPO dream. Since 2018, only 0.1% of startups have achieved an IPO within that timeframe. Acquisitions aren't a guaranteed path to riches either. Sure, in the past five years, 5% achieved M&A, but here's the reality: > One-third sold for more than 3x the cost of their last funding round. > Some were likely "aqui-hires," valued more for their talent than the product. Instead, early-stage startups should focus on: 𝗕𝗲𝗰𝗼𝗺𝗶𝗻𝗴 𝗖𝗮𝘁𝗲𝗴𝗼𝗿𝘆-𝗗𝗲𝗳𝗶𝗻𝗶𝗻𝗴 𝗕𝘂𝘀𝗶𝗻𝗲𝘀𝘀𝗲𝘀 (𝗶𝗳 𝘁𝗵𝗲𝘆'𝗿𝗲 𝗵𝗶𝗴𝗵𝗹𝘆 𝗮𝗺𝗯𝗶𝘁𝗶𝗼𝘂𝘀) These companies fundamentally change how an industry operates. Uber and Netflix are good examples. 𝗙𝗶𝗻𝗱𝗶𝗻𝗴 𝘁𝗵𝗲 𝗥𝗶𝗴𝗵𝘁 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿𝘀 Seek investors who can actively support your growth, not just offer the highest valuation. 𝗕𝗮𝗹𝗮𝗻𝗰𝗶𝗻𝗴 𝗚𝗿𝗼𝘄𝘁𝗵 𝗮𝗻𝗱 𝗣𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 Focus on growth & unit economics first, then "glide" to profitability as you scale. The data speaks for itself: Unicorn SaaS companies typically take 11.7 years to reach a billion-dollar valuation. My take? Don't get obsessed with "unicorn" status. A stake in a smaller, thriving company is better than a 100% stake in a failed venture. And, for all you know, even if an IPO becomes an option, you might decide to stay private. What's been the most challenging stage of your startup's growth? Credit: Jason M. Lemkin and Carta. 🔔 Follow me for strategies and resources for startups and VCs! PS Looking to raise capital? 💸https://fundingstack.com/ for VCs and investors 💸https://foundersuite.com/ for startups At only $250/month: Fundingstack gets you access to 147K+ global investors. Or you can send me a direct message with "FREETRIAL" and I'll give you a secret access link.
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Startups buying other startups is on pace to be the largest slice of the M&A pie in years when it comes to overall VC-backed, U.S.-based startup dealmaking. This is noteworthy as VCs seek liquidity amid a frozen IPO pipeline and quiet M&A market.
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Startups buying other startups is on pace to be the largest slice of the M&A pie in years when it comes to overall VC-backed, U.S.-based startup dealmaking. This is noteworthy as VCs seek liquidity amid a frozen IPO pipeline and quiet M&A market.
Startup Buying Power — VC-Backed Companies Are Hunting For More Startups
news.crunchbase.com
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Startups buying other startups is on pace to be the largest slice of the M&A pie in years when it comes to overall VC-backed, U.S.-based startup dealmaking. This is noteworthy as VCs seek liquidity amid a frozen IPO pipeline and quiet M&A market.
Startup Buying Power — VC-Backed Companies Are Hunting For More Startups
news.crunchbase.com
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Startup shutdowns hit 770 in 2023, up from 467 in 2022, and for those startups lucky enough to get funding in 2023, 20% had their valuations reduced. Most observers knew these companies were past the cliff edge, although many hoped that they could stay suspended in mid-air until their problems went away. These troubled startups didn’t need more time, they needed better ideas. Venture capitalists had pressured them to grow and grow some more, but growth can’t be sustained if the underlying fake-it-til-you-make-it business model is flawed. https://lnkd.in/gU4bas5t #losses #pushing #venturebacked #startups #financial #disaster #lack #funding #ipomarket #low #valuation #vcfunding #venturecapital
Big losses are pushing venture-backed startups over a cliff — and taking the IPO market with it
marketwatch.com
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At Nomad Ventures, we understand the unique power and potential of marketplaces. With their strong network effects, asset-light scalability, and high barriers to entry, successful marketplaces often outperform other startups. But we also know the challenges they face—building them right from the start is crucial. That’s where we come in. Based in Los Angeles, Nomad Ventures is dedicated to investing in and supporting early-stage marketplaces. We help founders navigate the complexities of building a successful marketplace, providing the tools, guidance, and resources needed to scale effectively from day one. Our portfolio speaks for itself, with companies like AngelList, Zoe Financial, Autopilot, OpenHome, and Rove leading the charge in their respective industries. We’re not just investors—we’re partners in your journey to success. If you’re a startup founder, investor, or someone interested in the future of marketplaces, let’s connect. Together, we can build the next wave of industry leaders. 💼🚀 #VC #Startups #Marketplaces #Investment #Entrepreneurship #NomadVentures
Nomad Ventures | LinkedIn
linkedin.com
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Startups buying other startups is on pace to be the largest slice of the M&A pie in years when it comes to overall VC-backed, U.S.-based startup dealmaking. This is noteworthy as VCs seek liquidity amid a frozen IPO pipeline and quiet M&A market.
Startup Buying Power — VC-Backed Companies Are Hunting For More Startups
news.crunchbase.com
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🚨 Startups are dropping like flies in the US! Is the "VC winter" back for round two? 🥶 Just when we thought we'd forgotten about that chilly venture capital winter, it's making a frosty comeback. The folks at Carta (a famed fintech service for companies in the US) just dropped some fresh stats on startup closures. Sure, their clients aren't the entire market, but their data seems to reflect broader trends pretty well. And guess what? Q1 2024 saw a whopping 58% more startup shutdowns compared to last year. Cue the dramatic music 🎶 The twist: it's not just any startups closing—those who had raised funding rounds are biting the dust more often. Their shutdown rate spiked by 86%, versus a 34% rise among those that never snagged investor cash. 📉 It’s small numbers in absolute terms (14 shut down this quarter vs never more than 10 per quarter since 2020), but it’s clear—they couldn’t secure further funds and stayed unprofitable. ❄️💼 #Startups #VentureCapital #BusinessTrends
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