When a startup takes form, the first weeks and months and years are spent furiously. The team assembles itself. The lightbulb illuminates. The idea is formed and reformed again and again as customers supply feedback. Eventually the team hews the right product. The startup raises capital. Then the team returns focus to hiring, evolving the product, closing customers. However, continuing this way isn't the path to huge scale. There's a critical step missing.
This is one of the best pieces of advice I've collected about writing. Put each sentence on a separate line when you write.
Recently, I wrote about customer/revenue operations, an idea that seems to be taking hold at many different SaaS companies. Instead of optimizing the performance of each individual step of the customer lifecycle, customer operations optimizes it over the entire journey. This is a fundamental change in the way a business manages its customers, and it's now starting to be reflected in the organizational structure of SaaS startups.
In SaaS, machine learning has become an essential component to many different products. Whether it's automating responses to inbound sales queries, identifying expense reports for audit, or surfacing anomalies in data, machine learning improves workflow software. To date, most software imbued with machine learning reduces costs rather than increase revenues.
My goal is to make you love rowing That's how my first practice started. I had never picked up an oar or stepped into a racing shell before. With 100 other freshman men, I had assembled at the boathouse along the maple and conifer lined Connecticut River. I'll never forget those words. I had played many sports before. In every other case, the focus, the mission, the motivation had always been to win. This was different.
Last week, I shared a presentation with an executive team at a large public SaaS company on everything I've learned about pricing. Here's a summary of the frameworks and theory that I've aggregated over a decade of investing in startups.
In December 2017, the amount raised in ICOs nearly equaled the amount raised by Series A investments globally. The technology innovation catalyzed by Bitcoin and Blockchain is creating many multibillion dollar economies quickly. The ICO market today bears many similarities to the dotcom era. Startups can raise hundreds of millions of dollars on an idea. Twenty years ago, the idea had to be sketched on a napkin. Today, the protocol must be detailed in a white paper. But the ability to access huge amounts of capital at a similarly nascent stage is identical.
Below are 7 predictions about the startup software ecosystem. How many of them do you agree with?
There's a crisis in the scientific academic world. It's called the [Replication Crisis](https://en.wikipedia.org/wiki/Replication_crisis). Scientists have found that they cannot replicate the results published by many scientific studies. The same thing is happening in the world of business.
When negotiating your next fundraising round, should you talk valuation in premoney terms or postmoney terms? Premoney is the valuation before the investment, employee stock option pool (ESOP) expansion, debt-to-equity conversion and investment. Postmoney is the value of the business after all that.