Categories
Tech

Venture Capital is a Game of Outliers – Here are the Numbers / Chances of Success

Venture Capital by Numbers:

Venture Capital business is 100% a game of outliers

  • 4000 venture fundable businesses per year
  • 200 will get by top tier Venture Capital
  • 15 will some day get to $100 million in revenue
  • Those 15 – provide 97% of all the returns for the entire Venture Capital category for the year.
Categories
Business Tech

Coinbase Valued at Over $100 billion – You Have to Be Kidding Me (From $8 billion to $100 billion in a year)

Coinbase is looking to go public very soon and its valuation in the secondary markets has just gone over $100 billion.

Coinbase’s valuation over the years:

  • 2016 — $500M
  • 2017 — $1.6B
  • 2018 — $8B
  • 2020 — $100B

Coinbase reported revenue of $530M for 2019 and $691M for the first nine months in 2020. The company posted a net income of $141M between January-September 2020, up from a loss of $30M in overall 2019. Notably, these numbers don’t include 2021, when the Bitcoin price surged more than 90% YTD.

Categories
Tech

Jetbrains (Kotlin Creators) Have No VC Funding and Valued at $7 Billion

Great article on Bloomberg about Jetbrains – the company behind the popular programming language Kotlin.

Key numbers:

  • Company is profitable ($200 million EBITDA expect this year)
  • No VC funding from the beginning
  • Valuation $7 billion
  • 1,500 staff (750 in St Petersburg) – Prague HQ

It’s great to hear from other founders who are far more interested in the issue they are trying to fix than the billions of dollars they could be personally making.

Categories
Business

Is getting venture capital similar to winning the lottery?

NO!

A lottery win means you receive the money with no obligations.

Getting Venture Capital means it is only the beginning of your journey and that you are selling part of your company with an expectation that it will grow and be worth more money in the future. This comes with a huge amount of pressure and a lot of work!

Categories
Stock Market Tech

How much Venture Capital has Spotify Raised and From whom?

Spotify raised a total of $188 million from venture capital and private equity companies before its IPO.

Series A, 10/08 $21.6M
Creandum
Northzone
Li Ka-shing

Series B, 8/09 $50M
Wellington Partners
Li Ka-shing

Series C, 2/10 €11.6M
Sean Parker
Founders Fund

Venture Round, 6/11 $100m
Kleiner Perkins Caufield & Byers
Accel Partners
Digital Sky Technologies

source: http://www.crunchbase.com/company/spotify