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Fundraising During A Pandemic? 4 Ways For Startups To Be Most Effective

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The fundamentals of pitching a startup during a pandemic are no different than pitching in normal times. In fact, there is a strong argument for looking at the crisis as an opportunity to start...
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Raising A Startup Round? How And When To Share Fundraising Updates

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How long does it take to raise capital? Why am I not getting term sheets when other companies are? Is that investor really interested? These are among the most common questions entrepreneurs ask themselves and VCs. Rounds...
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Hardware is Hard — 5 Practical Tips For Startups To Raise Successfully

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You had a great idea. You built a great team. You know that hardware is a significant part of the product but also provides defensibility. Then why are you still hearing too many polite...
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Have A Startup Idea? How To Raise A Pre Seed

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The term pre seed has really become institutionalized in the last couple years, before that the idea / powerpoint stage wasn’t called by any other specific name. Let’s delve into definitions before  1) Definitions There is...
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Closing Your Startup Round? 5 Practical Guidelines

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Previous articles have talked about party rounds and keeping momentum in your fundraising. This one will focus specifically on the close, which ideally is a foregone conclusion but sometimes becomes the period of highest...
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Nitty-Gritty Details Will Make (or Kill) Your Valuations. Here’s Why.

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Genius is in the details that other people skim.  Answer me honestly. When’s the last time you bothered to read beyond the first line of a Terms and Conditions agreement or take the time to...
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Going Crazy Managing A Fundraise? 5 Practical Guidelines For Entrepreneurs

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At Tau Ventures we believe the fundraising process is always a bit broken -- it works for some startups some of the time but by and large it’s inefficient. While part of it is...
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Fundraising is badly misunderstood

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If there is one thing that most startups misunderstand entirely, that’s probably fundraising. Thus, they create their own mental image of what needs to be done to raise money successfully. After interacting with more...
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Your Startup Is Doing Great? 5 Ways To Optimize The Fundraise Further

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Examples of previous articles: Raising A Bridge Round -- 3 Core Principles Insider Rounds -- the Good, the Bad and the Ugly How Best to Pitch to a VC The Art And Science of...
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Be a Better Entrepreneur

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Entrepreneurs always look for the right recipe to increase the odds of success. Steve Blank was probably one of the “recipe” pioneers as he started the lean startup movement. Before the lean movement, I would...
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What is Up With These Mega Rounds? Making Sense Of The Startup Market

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$530M round: Snyk snags another $530M as valuation rises to $8.5B $400M round: Cityblock Health raises another mega-round of funding, tipping its valuation over $5 billion $130M round: TrueLayer raises mega-round as open banking heats up These...
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Fundraising Intermediaries? Why Entrepreneurs Don’t Do It, And Where It Still Makes Sense

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When it comes to startup fundraising, using intermediaries is looked disfavorably in many if not most ecosystems. Three key reasons for this trend -- more investors around, technology has made coordination and communication increasingly...
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Uncapped Note? No Discount? Making Sense For Entrepreneurs

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What is the right cap and discount for your convertible? Should you even have them at all? The latter used to be a very rare situation, now it is a commonly asked question. This...
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So My Startup Is Not Growing As Fast — 5 Practical Tips To Still...

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Long sales cycle? Marketing got too expensive? Spent too much time fixing the product? There are so many reasons why things can take much longer than planned. In fact, our experience at Tau is that...
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Pre-emptive round? 4 Ways To Decide How Startups Should Approach It

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Someone wants to give you money before you start fundraising? When you still have cash in the bank? And you are getting a great valuation? Hurray! But while it’s almost always a good thing, there...
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Crowdfunding? 3 Principles For Entrepreneurs

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Oculus. Glowforge. Flow. Exploding Kittens. Veronica Mars. Tile. The Coolest Cooler. BauBax. Fidget Cube. What do all of these companies have in common? They are all successful and started with crowdfunding -- the list...
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Signaling Risk? How Early Startups Can Work Best With Big Funds

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Signaling risk typically happens when a large fund comes into an early round, creating an expectation in the market that they will lead the next round. For instance, if a $1B firm puts in...
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So Your VC Wants To Invest More? 5 Practical Tips For Entrepreneurs

If your VC wants to invest more in you then you have a good problem in your hands. Here are five practical ways to think about it. 1) Prorata (and Super Prorata) A prorata is the...