Your Ad Here
BA.NET better answers  
sponsors

search
web directory
news
travel
maps
forums
free voip
chat irc
games
video
live tv
add site
advertising



Finance Blogs: SeekingAlpha Venture Capital Silicon Alley Insider CRisk Personal Finance Blog Freakonomics TradersTrade VentureBeat FeldThoughts Small Business Trends Financial Times PaidContent Digg Finance Live TV Bloomberg | USA | Asia | UK | Brazil | CNBC News Forums: misc.invest.*
BA .NET

toolbar
send by email
bookmark
translate to ES IT FR PF DE CN KO JA AR
add to digg delicious stumble gbook reddit
text bigger smaller

BA.net feedsburner VentureCapital News 24/06/2008

Subscribe with an RSS reader News Home Archive

Venture Capital

read more

Venture Capital bloggers have a uniquely targeted audience of entrepreneurs interested in what they have to say. These Venture Capitalists write about technology, entrepreneurship, investing, the computer industry, and their random exploits.

en-usFeedBurner Networks http://www.feedburner.comTue, 24 Jun 2008 04:21:28 -0500442092http://www.feedburner.comThis is the spliced feed for "Venture Capital". Add this to your news reader to receive updates about the network.

Time to Be a VC Bull? [Paul Kedrosky's Infectious Greed]

read morepkTue, 24 Jun 2008 04:21:28 -0500

It's not often that Wall Street strategists notice the tiny semi-asset class otherwise known as venture capital. But that's what happened today as Merrill's Richard Bernstein wrote in a contrarian strategies report that it may just be time for investors to take VC more seriously again:

There may be two areas of alternative investments that seem relatively attractive in the current financial environment.  In both cases, these are areas that might benefit from the tightening of global credit.  The first is early-stage venture capital.  ... If return-on-investment does indeed tend to be higher when capital is scarce, the significant tightening of traditional credit funding to smaller companies seems to make early-stage venture capital strategies more attractive.

Granted, Bernstein is making some big assumptions, like that there are things worth investing in, that VCs will find exit markets receptive (the NVCA said recently that we have gone through the first period with zero venture-backed IPOs), and that investors have adequately starved the asset class for money, but it's still good fun to see VC get picked as a contrarian play.

[Merrill via Brad]

Yahoo, Google and Bear Stearns: The Employee Turnover View [Paul Kedrosky's Infectious Greed]

read morepkMon, 23 Jun 2008 23:17:35 -0500

Nice graph from the FirstRain research service showing employee turnover trends at Google and Yahoo over the last year. Red denotes turnover-related losses, and green denotes gains. While both companies have seen losses, the level at Yahoo -- especially in recent weeks -- is daunting. 

Just by way of comparison, I have also included the recently-deceased Bear Stearns, whose losses pale against Yahoo's executive exodus.

Picture 11

[Update] If you're thinking of leaving Yahoo, there is now a boilerplate resignation-letter generation tool out there. Check it here.

Rough Ride Ahead: Buckle Up & Get Your Money Now (if you can) [VC Confidential]

read moreFundraisingmbmccallMon, 23 Jun 2008 22:53:25 -0500

"Thus far in the second quarter of this year, there have been NO venture-backed IPOs.  There has never been a quarter where this situation has occurred (since NVCA has been tracking such data). "
  -- NVCA Mailing

I am pronouncing this cycle official dead at Q2, 2008. We have a general VC cycle that lasts 7-8 years and whose downturn generally lags the public markets by 6-9 months. With the credit crunch hitting in Q3 of 2007, I was expecting things to turn sharply in our business in Q1-Q2 of 2008. Just in the past month, term sheets seem to be disappearing and valuation dropping rapidly as firms begin to dig in. Groups that have been Lone Wolves for the past couple of years are suddenly looking to syndicate. Yes, things are about to get ugly for the next 2-3 years so brace yourself.

If you are close on terms with an investor, do what you need to get it closed now. If you have access to capital, draw it down and don't touch it as it may need to last a while. If you have a high burn rate, you had best start aggressively cutting it now. If you are going into this cycle burning $1m/mo, you will have no ownership left by the time the cycle turns up and if you are burning more than $500k/mo, your cap structure is going to take a hit if things turn out as badly as I fear. In these kinds of times, breakeven is great (wait out the competition) and $100-200k/mo burn is manageable.

Ad rates are starting to fall so expect the carnage to start piling up in the coming year in the "ad-based model" world. The cycle is coming around and I don't think rate cuts are going to holds things off much longer. I hope that I am being Peter (and the Wolf) and not Cassandra here!

Patient has flatlined Q2...

"Thus far in the second quarter of this year, there have been NO venture-backed IPOs. There has never been a quarter where this situation has occurred (since NVCA has been tracking such data). " -- NVCA Mailing I am pronouncing...

It's Time to Go Solar [pascalsview]

read moreEnergy ConservationPascal LevensohnMon, 23 Jun 2008 21:55:38 -0500

Sc_logo
Images

In the continuing spirit of permanently changing my energy consumption patterns to reflect the new reality of our "here-to-stay" twin energy and climate change crises, I am converting my house to solar power. I was referred to SolarCity by my friend John Fisher of DFJ, an investor and a director of the company, as a one-stop shop to get this conversion done. We are at the front end of the process, and I will report further on my experience with the transition as it occurs. John recently converted his San Francisco home to solar and is very happy so far (it's good to be a satisfied user of your company's products/services).

Why am I doing this? Very simple-- it's a win/win. With my new 11.400kW DC (STC) 9,672kW AC(CEC) solar power system -- yes, you must convert from DC to AC -- I will immediately save almost $4,000 in utility bills in Year 1, which also means an 85% reduction in my electricity bill. Because I am actually buying the equipment myself, the cash flow break even runs about 6 years, depending on what your assumption is for the future annual escalation rate of electricity prices-- historically it has averaged 5% per year, and many expect this to accelerate.

So depending on how bearish you are about the world energy consumption situation (or how bullish you are on the price of oil) the break even may be sooner. In any event, I am reducing my fossil fuel consumption (lots of cute statistics available to make you feel good about yourself) and paying far less money to PG&E.

SolarCity is a very interesting venture, but it is not a technology company. This is a construction services company (procurement, construction, installation, and monitoring of solar panel arrays and meters) and, most interesting, a financial services company.

If you cannot afford the capital cost of owning your own solar array, SolarCity will do this for you NO MONEY DOWN. The difference between self financing and 'going all the way' with SolarCity is that you will pay about 15% lower monthly electricity bills, not 85% lower, while you pay off the system over 15 years. SolarCity will also cap your annual rate increases at 3.5%-- which is well below what you would experience with PG&E. You get to feel good, SolarCIty makes a lot more money, and I hear that some financial organizations in New York may be interested in aggregating these solar system financing costs and securitizing them-- no surprise.

The SolarLease vs. Buy Option

Sc_solarcitylease_51_chart1_2


So here are some cute statistics:

Over the next 30 years, my system will offset:

588,706 lbs of CO2;

404 lbs of NOx;

101lbs of SO2; and

117lbs of particulates.

This amount of CO2 is equivalent to the amount absorbed by 1.27 acres of trees over their lifetime and the amount emitted by driving an average car 758,642 miles.


Are you feeling good yet? I am. Seriously, check out SolarCity. Make a difference!

In the continuing spirit of permanently changing my energy consumption patterns to reflect the new reality of our "here-to-stay" twin energy and climate change crises, I am converting my house to solar power. I was referred to SolarCity by my...

Just the beginning [Seth Levine's VC Adventure]

read moreseth@foundrygroup.comMon, 23 Jun 2008 21:13:04 -0500

In case there was any doubt how far advertising on the Internet has to go, consider that The University of Phoenix is the single largest brand advertiser on the Internet (with some $20m in monthly spend, which is pretty minimal in the context of brand ad spending) and that Internet advertising per household (dollars spend on online advertising divided by total US households) was $288. Compare that with $818 on newspapers (or just over $1k on "direct telephone") (sourced from Mary Meeker's TechTrends June 2008).  We've got a long way to go, baby!

Sabbath Day: Most Succesful Start-Up of the Jewish People [VCinJerusalem]

read moreJacob Ner-DavidMon, 23 Jun 2008 21:02:34 -0500

The Jewish people was founded on revolutionary ideas, and throughout the millennium has continued to spawn some of the most trans formative movements/religions/political parties. The Jewish people has never been "big," in terms of corporate development, never truly centralized, always with a bit of healthy chaos (much like any start-up).

For now I want to focus one of the Jewish people's first major start-up social initiatives, the Sabbath. One the one hand, hugely successful, so much so that in the US and parts of Western Europe there are  two Sabbath days....but it all  started  with one day,  on weekly cycle, which three thousand years ago was quite a move away from the norm, which was never ending back breaking work, especially for the Jews-to-be,  the  descendants of  Jacob who ended up slaves in Egypt.

Recently the concept of Sabbath has become trendy, in an age of 24/7, blackberry addiction, messaging on the go globalized world, there is a need to rediscover the Sabbath day. A few months ago Mark Bittman wrote an engaging piece in the New York Times on the move to a "secular sabbath" (see  http://www.nytimes.com/2008/03/02/fashion/02sabbath.html?_r=2&pagewanted=all&oref=slogin&oref=slogin).

Bottom line,  Bittman wants a break from the laptop,  the cellphone, etc, all the trappings of  the digital information age.

Even more powerful for me, however, than the Sabbath itself are the preparations for the Sabbath day. Knowing that either you have been commanded or have chosen to set aside a day for non-profit pursuits, to step off the fats track, there is a necessity to prepare. In the talmud we read of the discussions about what projects can be started on a Thursday, because you don't want to start something that will necessarily roll into the Sabbath day. Traditional Jews do all their cooking, baking, in the days leading to Friday night, when the Sabbath starts.

I bring all this up because sometimes we forget just how revolutionary old ideas were and are--human nature is not to set aside a day a week for a different lifestyle. But at least I feel I am a much healthier and well-balanced person by "shutting down" for the Sabbath. But I do need to prepare.

Much like the counseling I give all entrepreneurs -- work hard but have life balance. And prepare all the time.  And then rest. You need it and deserve it.

The Jewish people was founded on revolutionary ideas, and throughout the millennium has continued to spawn some of the most trans formative movements/religions/political parties. The Jewish people has never been "big," in terms of corporate development, never truly centralized, always...

The Big Five for Face Painters and Entrepreneurs [Redeye VC]

read moreJoshMon, 23 Jun 2008 19:55:13 -0500

DutchwonderlandMy family and I spent the past weekend at Hershey Park and Dutch Wonderland -- we had a blast at the two great amusement parks located in Pennsylvania.  (Near Sand Hill Road in Hershey, PA.  Not quite like the California version of Sand Hill Road -- it's full of houses/farms and it has cell phone coverage).

Anyhow, during our visit to Dutch Wonderland, I noticed this sign posted behind the door of the face painting booth.  While it was obviously intended for their employees I managed to grab a photograph. 

I thought that their "Big 5" tips were applicable to both face painters and to entrepreneurs:



Finance Blogs: SeekingAlpha Venture Capital Silicon Alley Insider Personal Finance Blog TradersTrade VentureBeat FeldThoughts Small Business Trends Financial Times Digg Finance Live TV Bloomberg | USA | Asia | UK | Brazil | CNBC News Forums: misc.invest.*


Your Ad Here



BA.net Brujula.Net © 2008 advertising

english español italiano germany japan france more bookmark
>