3 ms·
$5m cap? what is this, 2014? four years later, you've got, in all likelyhood, three dead companies, and one company that has raised another round and you've be
by joshu 5y ago
$5m cap? what is this, 2014?
four years later, you've got, in all likelyhood, three dead companies, and one company that has raised another round and you've been diluted, perhaps significantly.
don't use stories to make decisions.
(FYI, I've been angel investing for 15 years over 250+ companies)
- option_greek 5y agoCan you add more reasonable numbers based on your experience. Also why is 2014 significant?
- joshu 5y agobecause very little is happening at a $5mm cap in 2021 in silicon valley. other people have posted publically: a third of companies die, an third eventually return a 1x, a third go on to offer better returns than that. tweak that based on investor skill/insight/luck. i've done better but remember pareto.
- beambot 5y agoI still see $5M-$6M pre-seed rounds for first money, friends & family rounds with just an idea & founding team -- the type of deal flow you're most likely to encounter while embedded in FAANG? Post-revenue, post-YC seed rounds are going to be $10M-$15M+. Then again, I've also heard of companies raising at $40M+ in the last 6 months with less than $300k ARR. YMMV. (I've only been angel investing for 3-4 years, and as a very part-time endeavor. 8 of 12 initial seed investments survived past SeriesA (so far), with 1 unicorn. Looked up your track record on AngelList: Mad respect!)
- deleted 5y ago[deleted]