Valuation Multiples Don’t Matter If Your Startup Is Growing Exponentially

Jason Lemkin has written an excellent post pointing out that a major drop in public market valuations is about to affect SaaS startups: Lemkin points out that major SaaS players like Workday and Cornerstone have fallen by nearly 50% since February 2014, and predicts that early-stage startup valuations will plummet. Bad news?  Maybe.  But … Continue reading Valuation Multiples Don’t Matter If Your Startup Is Growing Exponentially

To Succeed In The Market, Be Specific

Since I started advising Cube26, I’ve been paying a lot more attention to gesture-based controls.  The most hyped company in the space has been Leap Motion, which raised over $44 million to bring its 3-D motion control technology to the market. Quite a number of investors to whom I introduced Cube26 begged off, citing the … Continue reading To Succeed In The Market, Be Specific

Crappy Product + Great Market = Success

Many people in Silicon Valley, including me, advise entrepreneurs to build insanely great products.  But every once in a while, it’s a good idea to remind yourself that at the very beginning of your startup, you should focus more on finding a great market…for which you can then build an insanely great product. The founders … Continue reading Crappy Product + Great Market = Success

You’re not your audience

Judd Apatow is probably the most influential person in the movie industry today.  Thanks to a string of hits that he directed or produced, like Old School, Wedding Crashers, Superbad, and Bridesmaids, his brand of comedy has become the dominant school. So given his success, you’d think that Apatow would rely on his billion-dollar comedy … Continue reading You’re not your audience

After the Fire

One of the best times for seeds to grow is after a forest fire. There’s plenty of nutrient-rich ash and daylight. The same principle applies to startups. Many times, you can find great opportunities in the wake of spectacular flameouts. Palm revolutionized handheld computing after the spectacular failure of Go. Zappos built a billion-dollar business … Continue reading After the Fire

Triumph of Markets: Get Paid To Poop

I’m both disgusted and delighted by the fact that the town of Musiri is now giving its residents the opportunity to earn up to $0.14 per month for pooping into a special toilet. The government wanted to reduce the common practice of defecating on the riverbanks (spreading disease), and the enterprising Marathi Subburaman came up … Continue reading Triumph of Markets: Get Paid To Poop