Twelve Years of Investing in Women

TechStars

I began investing in women over a decade ago. It was a major part of my investing thesis. And I invested. I invested in businesses that I believed had a huge opportunity that could grow to be worth $100M or more. Many of the companies I have invested in have done it.

Investing in Engineering

wepay

One of our core values has always been Investing in Relationships and it has done its part in shaping our philosophy of the lifecycle of employment in Silicon Valley. Today the investment in WePay engineers begins long before an engineer is ever hired.

Our Investment in Kustomer

Tom Tunguz

We’re excited to announce our partnership with and investment in Kustomer. Kustomer is a New York City-based company building the next-generation of customer support platform. In my first role at Google, I provided account management and customer support to internet publishers. I remember trying to understand the context around a particular customer case. How large is the customer? What recent interactions have we had with the customer? How satisfied are they?

A sneak peek into Point Nine's investment thesis

The Angel VC

Over the last couple of weeks and months we spent some time putting our investment thesis on paper. The purpose of this exercise was to challenge and discuss our implicit assumptions and to get everyone on our team aligned on what kind of investments we seek.

Do you invest in the companies that your corporation is using to run its business?

SaaStr

I was lucky enough to invest in Mixmax , Pipedrive, Salesloft and HelloOffice after I was already a user/customer. Also, while I did not use Talkdesk or Logikcull or Rainforest QA as a customer before I invested, I had deployed/worked with legacy versions of similar products.

Announcing our investment in ChartMogul

The Angel VC

We’re thrilled about the investment. The decision to invest in ChartMogul , which has developed an analytics solution for subscription businesses, was a very easy one.

Announcing our Investment in Chorus

Tom Tunguz

After researching the space for more than a year, we are thrilled to announce our investment in and partnership with Chorus , a pioneer in speech analysis for sales. Advances in machine learning are transforming the software world. Two of the most exciting applications of machine learning are speech recognition and natural language processing.

Four Investments to Grow Search Traffic in 2019

OpenView Labs

We interviewed some of the smartest minds in search to discuss what investments companies should make in the upcoming year if they want to grow their search traffic. Content pruning is a surprising technique most great SEO’s are investing in to grow traffic to their site.

Are We Investing Enough in Our Managers?

Tom Tunguz

” I wondered, are we investing enough in our managers? Talent is the largest investment of an early stage company. This is why investing in each creates a competitive advantage. That’s a quite an investment for an early stage company. How should startup invest in improving its management? I met a seasoned executive recently. He made a bold claim. “Management is an art, and one that is overwhelmingly undervalued in Silicon Valley.”

Why B2B is finally investing in brand

Chart Mogul

These SaaS companies are raising the table stakes for business software by leveraging the power of brand experience. So what does it take to build a standout B2B brand in 2018?

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Q1 2016 Startup Investment Trends

Tom Tunguz

Q1 venture capital investment remains steady relative to Q4 2015 at about $15 billion, but down from the near records attained in 2015. So, on a historical basis, venture capitalists are still investing at rates substantially above average. In Q1 2015, venture capitalists invested $17.5 Seed investments in dollar terms have fallen by about 30% in the last two quarters. Series As are flat at roughly $2 billion invested per quarter.

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Startup Investment Trends in 2015

Tom Tunguz

In the last six months, VCs have invested more than $57B according to Mattermark data , which puts 2015 on pace to exceed 2000 as the year the most venture capital will be deployed, ever. The chart above contrasts the top 12 sectors receiving venture funding in the US, and plots the relative share of dollars invested by month. Sectors receiving an increasing amount of investment include biotechnology, financial technology, healthcare, and social networking.

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Our Investment in Gremlin - Leveraging Chaos to Create Resilient Systems

Tom Tunguz

His insights are directly applicable to running software at scale, and those observations informed our latest investment in Gremlin. Richard Cook, formerly an associate professor at the University of Chicago, published a paper in 1998 entitled How Complex Systems Fail. In his paper, Dr. Cook lists 18 observations from his research in medicine about failure of complex systems.

Why Your Startup Doesn't Invest Sufficiently in its Differentiators

Tom Tunguz

As the product team talks to customers, they are likely to hear feedback encouraging more investment in MMRs and neutralizers. The startup must invest in that differentiation to sustain their market lead. Defending differentiation, investing in it, and reinforcing the startup’s competitive advantage. There are three types of product features, a seasoned head of product told me recently. MMRs, neutralizers, and differentiators.

SaaS Companies Must Invest in Building Their Brand

Sales Enablement, SaaS and Growth

A strong brand grows your moat Companies invest in building their brand as it creates familiarity, credibility, and trust, which further down the line leads to increased brand recognition, so people are more likely to buy a product or service.

Consumer investment fatigue

Tom Tunguz

I’ve been asked a few times whether there is consumer investment fatigue as a result. It would be foolish for any investor to write off consumer investing as a category because of the massive opportunity consumer internet companies offer. Option 1: pursue a contrarian growth strategy investing in a few consumer Internet companies at similar prices to the previous several years. Invest much earlier and much more broadly, expecting a lower average outcome.

Ideas we'd like to invest in: Industry-specific SaaS solutions

The Angel VC

Following my post about electronic signing I'd like to describe another area that we'd like to invest in. clio ideas we'd like to invest in jobber saas software as a service verticalsIt's not a specific idea this time, rather a category of startups that we're very interested in: Industry-specific SaaS solutions I talked about the topic before when I wrote about "The land of a thousand niches" and touched on it in my "1st DO for SaaS startups".

How much equity is fair for my co-founder that is leaving after 2 years and $50,000 invested in the company? The company is about to launch.

SaaStr

Here’s how I might think about it: $50,000 invested at say $1m valuation = 5%. The post How much equity is fair for my co-founder that is leaving after 2 years and $50,000 invested in the company? Stock contracts aside, the best you can do is what is fair. 10 year commitment as founders; he did 2 years of it. So vis-a-vis the 2 of you, she/he might get 20% x 40% (if your equity ratios are 40 you:40 her/him: 20 others), or 8%. So 5% + 8% = 13%. That’s a lot. It may be too much.

Why Should CEOs and Executives Invest in a Personal Brand?

The Marketing & Growth Hacking Publication

And investors don’t invest in your company. They invest in you. It will return the investment of time and effort in spades and is well worth it. Aaron Webber is a serial entrepreneur and CEO of Webber Investments LLC , as well as a Managing Partner at Madison Wall Agencies.

Why I Often Tell SaaS Start-ups Not To Invest In Content Marketing

SaaS Growth Strategy

And increasingly I find myself telling Founders that they should seriously consider NOT investing in content marketing. But everybody invests in content marketing! They've committed to content marketing as a long term investment that they won't see a return on for a long time.

Have VCs Changed Their Seed Investment Strategies?

Tom Tunguz

How much of this trend is due to greater participation of venture capitalists investing in the seed market? The withdrawal from the seed market in number of rounds seems to be broad-based, in that both traditional seed investors and venture capitalists, are investing less frequently. But when they do invest, they concentrate their dollars. Starting in late 2015 through the first quarter of 2016, founders have shifted their seed fundraising strategies toward a single investor.

Ideas we'd like to invest in: Mobile-first SaaS

The Angel VC

BYOD ideas we'd like to invest in mobile saasFollowing my posts about electronic signing and vertical SaaS , here's another area that we're very interested in: SaaS solutions with a mobile-first approach While my first two posts of this series were fairly specific, this one is pretty fuzzy as I don't have a good sense for what I'm looking for. I just have a feeling that there are huge opportunities ahead for startups which rethink how people will use business applications in the future.

How Much Should A SaaS Startup Invest in Sales & Marketing?

Tom Tunguz

How much should a SaaS startup invest in sales and marketing at different stages of the business? Sales and marketing investment depends on many different factors including establishing product market fit, the business’s sales model (inside, field, freemium), and not least, cash balance and fundraising capacity. The chart above shows the sales and marketing investment of publicly traded software companies at different revenue levels.

Investing in the Consumer Web is Dead

Tom Tunguz

Reading through the tech press since the Facebook IPO, you might get the impression venture capitalists are still reeling from that apocalyptic offering, believe no further successes can be had in the consumer web, and so are fleeing the consumer web in droves to pursue enterprise investments.

VC investment trends in the consumer web

Tom Tunguz

Fred Wilson’s perspectives on trends in consumer web investment created a big brouhaha over the weekend. Is the drought of consumer investment capital experienced by the internet monoliths common to earlier startups? What fraction of investment dollars have moved to enterprise?

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The Seed Investment Market in 2015

Tom Tunguz

The seed stage investment market feels like it’s changing quickly. These firms raised between $5 and $75M to invest in seed stage companies. In addition, VCs have been participating in the seed stage market as well, making 2013 a banner year for seed investment. Year Number Total Invested, $M Average Round Size, $k. 2014 saw 18% fewer investments, but an equal amount of investment at $1.3B.

The Decline of Investment in San Francisco Startups

Tom Tunguz

The slowing of venture investment more broadly across the US serves as a backdrop to San Francisco’s particularly strong correction. Because of the varying behavior of Series C and D investors across geographies, (invest less in San Francisco but invest more in the valley), I can’t argue that late stage investors have pulled out of the market broadly. Bloomberg published a post this weekend called San Francisco’s VC Boom is Over.

18 investors fueling Latin America’s SaaS superstars

SaaStock

Its partners boast diverse venture experience and have previously invested in more than 70 companies. SaaS Investments: Pipefy, HeyDoctor. SaaS Investments: Gupy, idwall, meetime, Qulture rocks, Social Miner, and Teravoz. SaaS Investments: Meetime, Aegro, GoCache, and Movidesk.

5 Criteria to Consider Before Choosing the Right Investment Banker

Divestopedia

There are five key factors that should influence your decision when you're considering an investment bank for your business. Finding the right fit insures both parties get what they want out of the deal

How Zendesk Invested in Customer Success from a Product-First Perspective

Totango

As Zendesk grew and invested in people, the business and processes became complicated. This isn’t a perfect world, but the question was – how could they invest in customer success from a product-first perspective?

Ideas we'd like to invest in

The Angel VC

Inspired by Paul Graham’s “Startup Ideas We’d Like to Fund” post of a few years ago I’d like to start a series of posts about ideas that I find exciting and that we at Point Nine would be very interested in investing in. Here's the first one. Electronic signing I’m a huge, huge fan of electronic signing. Whenever I have to sign a document and I’m getting a “Please eSign.”

We came, saw and. invested

The Angel VC

Our last investment in the old year is a novelty for us – our first investment in a startup from Italy. What makes this significant (beyond its obvious significance for Cibando and for us) is that this is one of only a very small number of VC investments in Italy. It might seem odd that we as a Berlin-based VC invest in Italy, but part of our strategy is to be somewhat location-agnostic.

The Riskiest Investment a Startup Can Make

Tom Tunguz

Marketing investments are unlike any other investment a startup. They are the least-tangible, least-measurable investments and that’s why they are perceived as the riskiest investments. After raising a round of capital, a startup’s management team has a pool of capital to invest. All of the aforementioned products have long-term value and the benefit of the investment can be seen immediately.

What factors did your organization consider before investing in automation marketing?

Net-Results

The post What factors did your organization consider before investing in automation marketing? There’s a lot of things to consider when (potentially) purchasing marketing automation. The first thing you do is put together a business case. That will provide you (and your management) with a clear reasoning of why you need marketing automation right now – from a business perspective. Once that’s clear, you should look at the […].

What do growth investors look for?

SaaStock

Jos White, General Partner at Notion Capital , moderates the panel featuring Nicola McClafferty, Investment Director at Draper Esprit, Michael Brown, General Partner at Battery Ventures, and Tom Mendoza, Venture Investor at EQT Ventures. SaaS Revolution Show Investment

WP Engine passes $100M in revenue and secures $250M investment from Silver Lake

A Smart Bear

Of course a nice chunk is primary capital, i.e. for the company balance sheet, to invest in growth initiatives, security and quality, and advancing our existing strategic priorities through acceleration and de-risking. People said there’s no money in hosting. WordPress is just a toy.

What's Really Happening in the World of Bitcoin Investment

Tom Tunguz

In response last week’s post on The Fastest Growing Areas of Startup Investment in 2015 , in which Bitcoin topped the list, I received many questions about the underlying dynamics of this startup segment. Using Crunchbase data, I analyzed BTC investment patterns over the past 4 years. The chart above shows that Bitcoin investment started in earnest in 2013. This data implies 2015 should be the best year ever for Bitcoin investment.

The Fastest Growing Areas of Startup Investment in 2015

Tom Tunguz

Earlier this week, we examined the trends in the major categories of startup investment including eCommerce, Software, Social Networking and Education. Each year, starting in mid-2012 through mid-2015, these sectors have grown their investment dollars by more than 145%, according to Mattermark data. Others, like transportation and hospitality, fueled by Uber and AirBnB fundraising efforts, command more than 6% of the billions invested in the last 12 months.

VC consumer investment trends by sector and stage

Tom Tunguz

Yesterday, I showed the increasing share of venture capital investments consumer companies represent. So, I’ve created two charts: the first is a bar chart of consumer investment by segment and the second is a heatmap of of sector and stage. Early stage consumer investment is bustling.

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The Investment Banking Landscape: Different Types of M&A Firms

Divestopedia

You're ready to sell your business, but you're not clear what type of banking firm to choose to help you in the process. This article provides a breakdown of each type, as well as its individual pros and cons, so you can make the best decision for you

Announcing Redpoint’s $16M Series A Investment in Looker

Tom Tunguz

That’s why we invested. Big data technologies like Hadoop, HBase, Redshift, Vertica and others store ever greater quantities of data. As the capacity to store this data increases, so does the importance of extracting value and insight from it.

The Most Important Investment a Startup Can Make

Tom Tunguz

Returning to Google reminded me that great companies constantly invest in their people, helping them to understand the world inside the company and outside the company. It’s wonderful that massively profitable, public companies can make these investments. I think most people who have been through similar program will attest, it’s an amazing feeling when your company and manager invests in your personal success in this way.

The Seed Investment Patterns of Billion Dollar Startups

Tom Tunguz

As a result, seed investment volumes have roughly doubled in the past year. To fully understand whether theses seed strategies work, we would need perfect information on total dollars invested in seed, the returns of those dollars, the cost of servicing the seed portfolio and opportunity cost of exploring investment elsewhere. But on the whole, investing in seeds seems to pay off handsomely for VCs, particularly if the seed investing program lands a big winner.