Articles by Nick Hammerschlag

To Expansion-Stage CEOs Raising Money: The Market Sets the Price, Not You!

December 7, 2012 by

expansion-stage

I’m not really sure what’s going in the enterprise software market right now. Over the last 18 months, I’ve seen expansion-stage valuations steadily (and, on occasion, precipitously) rise.I keep reading articles and statistics to the contrary, but then again, perhaps I’m just experiencing the misfortune of chasing deals that are overpriced. Or maybe I’m not.…

How VCs Assess a Market Size / Opportunity

December 4, 2012 by

how a VC assesses market size and opportunity

When VCs assess investment opportunities market size is one of the most crucial factors. How do they evaluate it? Here’s an inside look at the process.

A Response to Dan Primack: Yes, LPs are a VC’s #1 Customer

August 22, 2012 by

Dan Primack

With Peter Thiel and the firm Andreessen Horowitz selling stock in portfolio companies Dan Primack’s hunch is that LPs are VC’s primary customer. He is right.

Sorry, But Your Expansion Stage Software Business Probably Ain’t Worth $100 million

February 18, 2012 by

startup valuation

Image provided by: ScottChan

I continue to be amazed by the number of entrepreneurs that can show a relative lack of sophistication or business acumen in a conversation until the topic of their business valuation comes up. Once it gets to that point, they can rattle off every Andreesen Horowitz deal and how “X” business was acquired at 10x…

Being a Dealmaker Means Believing Anything is Possible

December 31, 2011 by

thumbs up

In his book, The 4-Hour Work Week, I love the importance Tim Ferris places on being a “dealmaker” and his dealmaker manifesto: reality is negotiable. Unless you possess a hugely valuable technical ability, I believe that being a dealmaker and having the mentality that anything is possible (and the resolve to work your butt off to…

My Thoughts on “Networking”

December 31, 2011 by

Image provided by: {link:http://www.freedigitalphotos.net/images/view_photog.php?photogid=1152}jscreationzs / FreeDigitalPhotos.net{/link}

Image provided by: jscreationzs / FreeDigitalPhotos.net

I absolutely hate the term “networking.” Growing up, I had never heard the term and certainly didn’t use it as a verb in my daily lexicon. When I was in college, someone recommended that I read Keith Ferazzi’s book, Never Eat Alone, which I dutifully read and remember thinking how disingenuous it made personal interactions…

How to Present Your Business Opportunity to a VC on a Silver Platter

December 30, 2011 by

Image provided by: {link:http://www.freedigitalphotos.net/images/view_photog.php?photogid=2280}digitalart / FreeDigitalPhotos.net{/link}

Image provided by: digitalart / FreeDigitalPhotos.net

Do you have a killer business that you’d really like to fund with venture capital? Do you want VCs to battle each other for an opportunity to give you money? Here’s what you can do to present the business opportunity opportunity on a silver platter: Paint a compelling growth story: It goes without saying, but…

Productivity Tips from a VC Neophyte

December 29, 2011 by

Image provided by: {link:http://www.freedigitalphotos.net/images/view_photog.php?photogid=659}Salvatore Vuono / FreeDigitalPhotos.net{/link}

Image provided by: Salvatore Vuono / FreeDigitalPhotos.net

Probably the hardest single aspect of my job as a venture capital neophyte is efficiently managing my time for the greatest productivity. Making great investment decisions is pretty hard too but as far as this post is concerned, we’re talking time management. I’m fairly certain time management is an issue for many people in many…

Don’t Forget: VCs Are Sales People Trying to Make Money

December 14, 2011 by

Image provided by: {link:http://www.freedigitalphotos.net/images/view_photog.php?photogid=2280}digitalart / FreeDigitalPhotos.net{/link}

Image provided by: digitalart / FreeDigitalPhotos.net

I am just arriving at the end of my first year working in venture capital and I’m thrilled to say that I love my job and love the people that I work with here at OpenView Venture Partners. This past year has gone by exceptionally fast, though I’m beginning to think that every year of…

How Venture Capital Deals Fall Apart

December 6, 2011 by

14134b7r1lg4121

Over the last year, I have found that entrepreneurs contemplating taking on expansion stage venture capital are almost universally concerned with the certainty of deal consummation after signing a term sheet. Here at OpenView, we aim to fund 100% of the companies with which we sign term sheets and complete our due diligence, but occasionally,…