The Startup Velocity Question: What Hinders Acceleration in VC Funded Companies?

I have been running 1Mby1M since 2010. I find myself saying to entrepreneurs ad nauseam that VCs want to invest in startups that can go from zero to $100 million in revenue in 5 to 7 years.

Startups that do not have what it takes to achieve velocity should not be venture funded.

Experienced VCs, over time, have developed heuristics to gauge what constitutes a high growth venture investment thesis. 

1Mby1M Udemy Courses with Sramana Mitra: Bootstrapping

Over the course of two years, we have released over 70 courses on Udemy with the aim to democratize entrepreneurship education at scale globally. This series of posts aims to help you find the one you need easily and provide you with discount coupons.

Capital Efficient Entrepreneurship: Don Mal, CEO of Vena Solutions (Part 1)

Don grew up in a small island off the East Coast of Canada, and has built a capital-efficient business leveraging some key strategic assets. Very instructive interview.

Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

Don Mal: I was born in India and immigrated to Canada when I was seven years old. We moved from Northern India to a small >>>

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An Unconventional Set of Financing Paths: SRAX Founder Chris Miglino (Part 1)

If you think venture capital is the only path to funding companies, you are, obviously wrong. Chris talks about a whole other world of OTC.

Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

Chris Miglino: I was born in Statten Island, New York. My parents grew up in the Lower East Side. My mom grew up in >>>

A Serial Bootstrapper’s Journey: Beyond Security CEO Aviram Jenik (Part 1)

Going against the grain of Venture Capital mania, in 1999, Aviram started his second bootstrapped venture. 18 years later, he is still running it. Happily!

Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

Aviram Jenik: I was born and raised in Israel. I moved to California about 10 years ago. I spent most of my adult life in >>>

Bootstrapping to $30 Million from Florida: SproutLoud CEO Jared Shusterman (Part 1)

SproutLoud CEO Jared Shusterman shared his wonderful bootstrapping story with me in 2017.

Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

Jared Shusterman: I was born in Miami, Florida. I’m one of the few South Florida natives. I grew up in a middle class family that had a very heavy focus on education. After I graduated high school, I went to the University of Virginia. I got a Bachelors degree with a Finance and Marketing concentration. Shortly after that, I moved out to San Francisco and worked for an >>>

Building a Two-Sided Marketplace: LawnStarter CRO Ryan Farley (Part 1)

As you know from our prior coverage, we like niche two-sided marketplaces a lot. Here’s another one to study. Please note, this company went through TechStars, and had a validated business before getting into TechStars, as we have seen in several other case studies.

Sramana Mitra: Let’s start at the very beginning of your personal journey. Where are you from? Where were you born, raised, and in what kind of background?

Ryan Farley: I grew up in Washington DC metro area. I went to school at Virginia Tech for Mechanical Engineering. I >>>

From Australia to Silicon Valley: Anthony Smith’s Journey with Insightly (Part 1)

Anthony started a CRM app in Australia that became the No. 1 on the Google App Store. VCs started calling. Anthony moved to San Francisco and has built a robust company with funding from Emergence Capital. Very cool story!

Sramana Mitra: Let’s start at the very beginning of your personal journey. Where are you from? Where were you born, raised, and in what kind of background?

Anthony Smith: I was born in a very small town of Hamilton in the northern part of New Zealand. It’s famous for its cows and

>>>

Bootstrapping to $100M+ from Arizona: JT Marino, CEO of Tuft & Needle (Part 1)

Online mattress is the hottest e-commerce category these days, and here is yet another one delivering venture scale growth without venture capital.

Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

JT Marino: I was born in Phoenix, but I grew up in Pennsylvania. I went to Penn State. That’s where I met my co-founder, Daehee Park. From there, my career took me to Silicon Valley working for several startups. That’s where my co-founder and I stuck together. We were >>>

Bootstrapping with Services: 2600Hz CEO Patrick Sullivan (Part 1)

Here’s yet another great case study of a successful bootstrapping whereby the entrepreneurs developed a solid product business eventually.

Sramana Mitra: Let’s start at the very beginning of your personal journey. Where are you from? Where were you born, raised, and in what kind of background?

Patrick Sullivan: I was born in California. I eventually went to school at Santa Barbara and got a degree in Computer Science. I graduated in 1999. I moved back to Tahoe to be a ski bum for a year to get that out of my system. Then I moved to San Francisco right before the dot-com crash happened. It was a pretty awful thing from a career standpoint.

Sramana Mitra: What brought you to San Francisco? >>>

Capital Efficient Entrepreneurship: Ephesoft Founder Ike Kavas (Part 1)

If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. 

Ike has bootstrapped Ephesoft and turned a relatively small $3.2 million investment into $12 million in 2016 revenue. Excellent execution.

Sramana Mitra: Let’s start at the very beginning of your personal journey. Where are you from? Where were you born, raised, and in what kind of background?

Ike Kavas: I was born and raised in Turkey. I’m from a very small village. My dad was a math teacher at the same school that I went to. Right after high school, I left to study Electronics Engineering. After graduating, I worked for a few companies and I got introduced >>>

Navigating Through Multiple Pivots: Convercent CEO Patrick Quinlan (Part 1)

If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. 

You learn from successes. You learn a lot more from mistakes and failures. Patrick freely discusses various missteps in his journey and how he managed to pivot out of various corners. Excellent discussion.

Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

Patrick Quinlan: I was born in Germany to a German mother and an American father. I spent most of my formative years in Germany and growing up very much in a German family. I moved to the States in my junior high years. I ended >>>