Embed Size (px)
DESCRIPTION
Slides for my keynote talk at Paradoxos' The Next event in Durham, NC.
Citation preview
@paulsingh @pdxs
PAUL SINGH
@paulsingh・[email protected]・resultsjunkies.com
THE EVOLUTION OF THE PRIVATE MARKET
THE RISE OF THE ANGELS (AND THE ENTREPRENEURS)
@paulsingh @pdxs
@paulsingh @pdxs
EARLY STAGE STARTUPS
HAVE CHANGED
@paulsingh @pdxs
STARTUP COSTS LOWER THAN EVER
BUT SCALING STILL COSTS MONEY
CLOUD, OPEN SOURCE AND ONLINE DISTRIBUTION DRIVING
@paulsingh @pdxs
WEB GETS BIGGER.WORLD GETS SMALLER.
@paulsingh @pdxs
TRACTION IS THE NEW INTELLECTUAL PROPERTYPLATFORMS (SEARCH, SOCIAL & MOBILE) PRIMARILY DRIVING THE CHANGE.
NO LONGER “GOOD ENOUGH” TO DEPEND ON TECH DIFFERENTIATION.
@paulsingh @pdxs
CAPITAL INCREASINGLY COMMODITIZED
RISE OF THE ANGELS, YO!
@paulsingh @pdxs
NEW REALITY: MONEY FOLLOWS
FOUNDERSRISE OF THE ENTREPRENEURS, YO!
@paulsingh @pdxs
SIGNALS ARE EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC
@paulsingh @pdxs
SIGNALS ARE EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC
@paulsingh @pdxs
TRANSPARENCY ISSIGNALS ARE EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC
@paulsingh @pdxs
WALL STREET BEAT US TO IT
@paulsingh @pdxs
@paulsingh @pdxs
UBS PROPRIETARY SATELLITE PARKING LOT FILL RATE ANALYSIS POINTS TO AN INTERESTING CADENCE INTRA-QUARTER AND POTENTIAL UPSIDE TO OUR VIEW.
“
@paulsingh @pdxs
@paulsingh @pdxs
TWICE A WEEK A SMALL HELICOPTER CIRCLES OVER CUSHING’S TANK FARMS ON AN OIL INDUSTRY SPYING MISSION.
“
@paulsingh @pdxs
WALL STREET ISN’T ALONE
THESE TECHNIQUES ALREADY USED TO UNDERWRITE IN-VITRO FERTILIZATION LENDING, PAYDAY LOANS, SUBPRIME AUTO LENDING, HOME/PERSONAL/AUTO INSURANCE AND MORE.
@paulsingh @pdxs
WE CAN DO IT, TOOSURPRISE!
IT TURNS OUT,
@paulsingh @pdxs
@paulsingh @pdxs
+ “GUT” + TRUSTED MENTORS + MUCH, MUCH MORE DATA.
@paulsingh @pdxs
WE CAN DO IT, TOO.
@paulsingh @pdxs
WE CAN DO IT, TOO.
@paulsingh @pdxs
WE’RE DOING IT, TOO.
@paulsingh @pdxs
@paulsingh @pdxs
VENTURE CAPITAL IS OPEN TO ATTACK BY DISRUPTIVE NEW BUSINESS MODELS AND TECHNOLOGY.
“
-- NAVAL RAVIKANT (@naval)
@paulsingh @pdxs
EARLY STAGE VCIS CHANGINGHAS CHANGED
@paulsingh @pdxs
STATE OF THE ART IN EARLY STAGE INVESTING IS NOT
VERY SOPHISTICATED
@paulsingh @pdxs
UNBUNDLING OF ADVICE, CONTROL
AND MONEY
@paulsingh @pdxs
USED TO BE ABOUT CAPITAL, DEALFLOW
AND JUDGEMENTTODAY, IT’S ABOUT ACCESS.
@paulsingh @pdxs
(500) CHECKLISTProduct solves a problem for a specific target customer
Capital-efficient businesses - operational @ <$1M funding
Primarily internet-based distribution - search, social, mobile, local
Simple revenue models - transactions, subscriptions or affiliate
Functional prototype before investment (or previous success)
Small but measurable usage - some customers, early revenue
Small but cross-functional team - engineer, design/UX, marketing
@paulsingh @pdxs
(NEW) FINANCINGS
@paulsingh @pdxs
(NEW) FINANCINGS Standardized terms
@paulsingh @pdxs
(NEW) FINANCINGS Standardized terms
No fixed amounts, no closings, no leads
@paulsingh @pdxs
(NEW) FINANCINGS Standardized terms
No fixed amounts, no closings, no leads
Continuous, not discrete rounds
@paulsingh @pdxs
(NEW) FINANCINGS Standardized terms
No fixed amounts, no closings, no leads
Continuous, not discrete rounds
Prices beginning to float
@paulsingh @pdxs
(NEW) FINANCINGS Standardized terms
No fixed amounts, no closings, no leads
Continuous, not discrete rounds
Prices beginning to float
No Board seats at the earliest stage
@paulsingh @pdxs
(NEW) FINANCINGS Standardized terms
No fixed amounts, no closings, no leads
Continuous, not discrete rounds
Prices beginning to float
No Board seats at the earliest stage
Herd mentality and oversubscriptions
@paulsingh @pdxs
BY ITS NATURE, THE INTERNET UNDERMINES ANYONE WHOSE STATUS DEPENDS ON PRIVILEGED ACCESS TO INFORMATION.
“
-- MICHAEL LEWIS
@paulsingh @pdxs
THE PRIVATE MARKET IS BECOMING MORE EFFICIENT.
AND, SOON, MORE LIQUID.
@paulsingh @pdxs
@paulsingh・[email protected]・resultsjunkies.com
THE EVOLUTION OF THE PRIVATE MARKET
THE RISE OF THE ANGELS (AND THE ENTREPRENEURS)LEARN MORE:
events.dashboard.io/paradoxos OR text “DASH [email protected]” to 51303
