There is an investor survey, B2B metrics, and down rounds.


Tuesday, May 9, 2023|

 Since the downturn began, investors have raised their expectations. It is more important for founders to have a firm handle on the key metrics VCs are likely to consider before saying yes or no. Paris Heymann shared formulas for calculating Gross Dollar Retention and Net Dollar Retention in his latest article.

 

 He included GDR and NDR benchmarks for enterprise and SMB. Predictable businesses are usually rewarded with higher valuations than unpredictable ones. Retaining an existing customer can be more expensive than landing a new one. It also creates increased conviction around investing to fuel future growth by listing more logos on your customer page.

 

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 As a rising tide lifts all boats, a sustained drought is an exercise. According to Rebecca Szkutak, the number of down rounds had nearly quadrupled in Q1 2023 compared to the same time last year. Russ Wilcox said that with valuations falling, founders who accept down rounds no longer have the taint of failure. He said that when you set a $700 million valuation, it looks like you are winning, but actually, you just raised the bar so high.

 

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 The founder who raised 3 in a row says down rounds are a ticket to try again. Some onus lies on investors to make sure these new technologies are built with ethics in mind, given its potential to transform so many aspects of how we work and live. She interviewed four investors to get their thoughts on empathy, building equitable systems and how founders can be encouraged to think more about doing the right thing. In his latest outing, Haje Jan Kamps revisits a seed deck he covered last year by Supli.

 

 He writes that they didn't get it perfect. In this post, we will look at what can be improved and how we can do that. I founded a startup in Zimbabwe a few years ago. I was going to visit the United States for the first time next month and apply for a visitor visa.

 

 I plan to stay in the U. S. I have a passport that expires in September. I understand that I need to have at least six months left on my passport in order to travel to the United States.

 

 Is that still true, do I need to delay my trip? The median seed-stage pre-money valuations and deal sizes grew over the course of the year, even though it was the slowest period for seed deals in 10 quarters. There has been a drop in outreach for seed deals and valuations have softened, according to several seed investors. Has the seed stage come back down to earth? New episodes drop at 7. M.

 

 On Mondays, Wednesdays and Fridays, you can subscribe on Apple Podcasts, Overcast or Spotify. When you consider the alternative, down rounds are just fine. People can agree that startup valuations have been overvalued for a long time. I don't think this is a market correction, but it seems like it is.

 

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 In the first quarter, down rounds accounted for nearly one-fifth of all venture investments. He writes that he doesn't see any reason for the trend to reverse. As power shifts to VCs again, down rounds are prevailing. .