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The Pros and Cons Of Working in Venture Capital

SaaStr

Q: What are the pros and cons of working in the venture capital space, and why? I’ll list the pros and cons, but before we get there, it’s important to note a few things: Venture Capital is a tiny industry. There are very limited promotion paths in venture. It’s a sales and finance job.

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5 Things To Be Wary of In VC Financings

SaaStr

Even these days, in The Best of Times for SaaS, many founders are wary of Venture Capital. But early-stage venture capital is so risky. The post 5 Things To Be Wary of In VC Financings appeared first on SaaStr. Aren’t they just trying to buy shares too cheaply? Well, yes, sometimes. And be honest.

Finance 271
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How Revenue-Based Financing and Venture Capital Funding Work Together

OPEXEngine

As Chief Credit Officer at Lighter Capital, I work behind the scenes grappling with the data that informs all of our decision-making regarding financing deals, from revenue-based financing (RBF) to term loans and lines of credit. What should VCs make of revenue-based financing? Funding options by stage of growth.

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What is Equity Financing?

Baremetrics

Equity financing is a method of capital raising via the selling of stock. They may need cash to meet immediate financial obligations or have a longer-term objective and require capital to invest in their development. What is Equity Financing in SaaS? Equity Financing 2. Debt Financing (Loan) 3.

Finance 98
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What are the key differences between venture debt and venture capital?

SaaStr

Venture capital / equity is expensive. But … with few exceptions, it’s 100% risk capital. But whatever the terms, venture debt is much, much cheaper than equity / venture capital. But the thing is, venture debt has to also be much lower risk. You often have to sell 15%, 20%+ of your company in chunks.

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How Much will the US Early Stage Venture Market Contract in 2023?

Tom Tunguz

In The Figures that Will Move the Venture Capital Market in the Next 3-5 Years , I wrote about the correlation between interest rates & venture capital investing. The correlation is strong enough to build a simple prediction of early stage venture capital activity in 2023. correlation to -0.51.

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How Bridge Rounds Work in Venture Capital: Messy, Full of Drama, and Not Without High Risk

SaaStr

What is a “bridge financing”? Simply put, it’s another round of venture financing from the same investors as the last round. So, bridge financings aren’t fun. The post How Bridge Rounds Work in Venture Capital: Messy, Full of Drama, and Not Without High Risk appeared first on SaaStr.