the difference between pre-money and post-money valuation

Recently I was working with a few people on a new project we are collaborating on (all hush hush right now) and one of the topics was determining how to place a valuation on the company. While it’s not terribly important at this point, it can become an issue later in the life of the company if we don’t address these issues early. In passing I mentioned pre and post money valuation and got a virtual blank stare over skype. It’s one of those terms that is tossed around a lot in the VC/angel world and a lot of people nod and pretend to know what that means. Fortunately, pre and post money valuation isn’t a terribly complex issue grasp. In a nutshell, pre-money valutation is better for the entrepreneur and post-money valuation is better for...

eric schmidt starts spreadin’ it around – again

We beat up on Eric Schmidt on the podcast quite a bit mostly because he makes it easy by speaking what is on his mind without much in the way of a filter. But he really is a brilliant man in his own right and he tends to do things in a way that hasn’t been tried before. That’s the case with his new VC firm. Google’s former CEO and current executive chairman has reached in to his back pocket for a little petty cash and funded a new venture capital firm called Innovation Endeavors¬†about a year ago. Based in Palo Alto this VC firm is being headed up by 33 year old technologist Dror Berman. The interesting bit is that Berman has no formal investment or finance background and this is his first startup, something unusual for someone running a VC firm....

starting over at 45

I recently turned 45. This tends to be a milestone number for a lot of people, since it’s unlikely I’ll live past 90, we can say I’m over the hill at this point. The problem is, I don’t “feel” over the hill. In fact, if anything, I feel more optimistic and in control than ever. I guess that comes with age and truly understand that falling down only hurts for a little bit. As many of you know I became semi-retired quite some time ago. I had made my money, my wife was enjoying her job, and I didn’t really need to work to stay fed. So for my retirement I took a “job”¬†that I loved. I started making jewelry for the great folks at Images Jewelers. No hassles, no real stress, just a job I could go in, do something...