Slides for my keynote at the Atlantic Venture Forum.

1. @paulsingh #avf2013
PAUL SINGH
@paulsingh・paul@dashboard.io・resultsjunkies.com
THE EVOLUTION OF THE
PRIVATE MARKET
THE RISE OF THE ANGELS (AND THE ENTREPRENEURS)

2. @paulsingh #avf2013
500 STARTUPS
PAUL SINGH
@paulsingh・paul@dashboard.io・resultsjunkies.com

3. @paulsingh #avf2013

4. @paulsingh #avf2013
EARLY STAGE
STARTUPS
HAVE CHANGED

5. @paulsingh #avf2013
STARTUP COSTS
LOWER THAN EVERBUT SCALING STILL COSTS MONEY
CLOUD, OPEN SOURCE AND ONLINE DISTRIBUTION DRIVING

6. @paulsingh #avf2013
WEB GETS BIGGER.
WORLD GETS SMALLER.

7. @paulsingh #avf2013
TRACTION IS THE NEW
INTELLECTUAL PROPERTYPLATFORMS (SEARCH, SOCIAL & MOBILE) PRIMARILY DRIVING THE CHANGE.
NO LONGER “GOOD ENOUGH” TO DEPEND ON TECH DIFFERENTIATION.

8. @paulsingh #avf2013
CAPITAL
INCREASINGLY
COMMODITIZEDRISE OF THE ANGELS, YO!

9. @paulsingh #avf2013
NEW REALITY:
MONEY FOLLOWS
FOUNDERS
RISE OF THE ENTREPRENEURS, YO!

10. @paulsingh #avf2013
SIGNALS ARE
EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC

11. @paulsingh #avf2013
SIGNALS ARE
EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC

12. @paulsingh #avf2013
TRANSPARENCY IS
SIGNALS ARE
EVERYWHEREBIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC

13. @paulsingh #avf2013
WALL STREET
BEAT US TO IT

14. @paulsingh #avf2013

15. @paulsingh #avf2013
UBS PROPRIETARY
SATELLITE PARKING LOT
FILL RATE ANALYSIS
POINTS TO AN
INTERESTING CADENCE
INTRA-QUARTER AND
POTENTIAL UPSIDE TO
OUR VIEW.
“

16. @paulsingh #avf2013

17. @paulsingh #avf2013
TWICE A WEEK A SMALL
HELICOPTER CIRCLES
OVER CUSHING’S TANK
FARMS ON AN OIL
INDUSTRY SPYING
MISSION.
“

18. @paulsingh #avf2013
WALL STREET
ISN’T ALONETHESE TECHNIQUES ALREADY USED TO UNDERWRITE IN-VITRO
FERTILIZATION LENDING, PAYDAY LOANS, SUBPRIME AUTO
LENDING, HOME/PERSONAL/AUTO INSURANCE AND MORE.

19. @paulsingh #avf2013
WE CAN DO IT, TOOSURPRISE!
IT TURNS OUT,

20. @paulsingh #avf2013
+ “GUT” + TRUSTED MENTORS + MUCH, MUCH MORE DATA.

21. @paulsingh #avf2013
WE CAN DO IT, TOO.

22. @paulsingh #avf2013
WE CAN DO IT, TOO.

23. @paulsingh #avf2013
WE’RE DOING IT, TOO.

24. @paulsingh #avf2013

25. @paulsingh #avf2013
VENTURE CAPITAL IS
OPEN TO ATTACK BY
DISRUPTIVE NEW
BUSINESS MODELS AND
TECHNOLOGY.
“
-- NAVAL RAVIKANT (@naval)

26. @paulsingh #avf2013
EARLY STAGE VC
IS CHANGING
HAS CHANGED

27. @paulsingh #avf2013
STATE OF THE ART IN EARLY
STAGE INVESTING IS NOT
VERY SOPHISTICATED

28. @paulsingh #avf2013
UNBUNDLING OF
ADVICE, CONTROL
AND MONEY

29. @paulsingh #avf2013
USED TO BE ABOUT
CAPITAL, DEALFLOW
AND JUDGEMENTTODAY, IT’S ABOUT ACCESS.

30. @paulsingh #avf2013

31. @paulsingh #avf2013
(500) CHECKLIST
Product 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

32. @paulsingh #avf2013
(NEW) FINANCINGS

33. @paulsingh #avf2013
(NEW) FINANCINGS
Standardized terms

34. @paulsingh #avf2013
(NEW) FINANCINGS
Standardized terms
No fixed amounts, no closings, no leads

35. @paulsingh #avf2013
(NEW) FINANCINGS
Standardized terms
No fixed amounts, no closings, no leads
Continuous, not discrete rounds

36. @paulsingh #avf2013
(NEW) FINANCINGS
Standardized terms
No fixed amounts, no closings, no leads
Continuous, not discrete rounds
Prices beginning to float

37. @paulsingh #avf2013
(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

38. @paulsingh #avf2013
(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

39. @paulsingh #avf2013
BY ITS NATURE, THE
INTERNET UNDERMINES
ANYONE WHOSE STATUS
DEPENDS ON
PRIVILEGED ACCESS TO
INFORMATION.
“
-- MICHAEL LEWIS

40. @paulsingh #avf2013
THE PRIVATE MARKET IS
BECOMING MORE
ACCESSIBLE.

41. @paulsingh #avf2013
THE PRIVATE MARKET IS
BECOMING MORE
TRANSPARENT.

42. @paulsingh #avf2013
Demo DayVideos ⟹ livestream.com/500startups
Sample Pitch Decks ⟹ slideshare.net/500startups
Venture Capital 101 ⟹ venturehacks.com/archives
Investor Thoughts:
Brad Feld ⟹ feld.com
Fred Wilson ⟹ avc.com
Chris Dixon ⟹ cdixon.org
Mark Suster ⟹ bothsidesofthetable.com
angel.co/valuations and angel.co/salaries

43. @paulsingh #avf2013
THE PRIVATE MARKET IS
BECOMING MORE EFFICIENT.

44. @paulsingh #avf2013
THE PRIVATE MARKET IS
BECOMING MORE EFFICIENT.
AND, SOON, MORE LIQUID.

45. @paulsingh #avf2013
YOUR KEY TAKEAWAYS

46. @paulsingh #avf2013
YOUR KEY TAKEAWAYS
Focus on Traction.

47. @paulsingh #avf2013
YOUR KEY TAKEAWAYS
Focus on Traction.
Learn to Communicate and Inspire.

48. @paulsingh #avf2013
ALSO...

49. @paulsingh #avf2013
ALSO...
Distribution > Product

50. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy

51. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy
Notability > Credibility

52. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList

53. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList
Raise 12-18+ months of funding

54. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList
Raise 12-18+ months of funding
Learn the basics of VC economics

55. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList
Raise 12-18+ months of funding
Learn the basics of VC economics
No. More. Grinfucking.

56. @paulsingh #avf2013
ALSO...
Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList
Raise 12-18+ months of funding
Learn the basics of VC economics
No. More. Grinfucking.
Shameless plug: dashboard.io

57. @paulsingh #avf2013
@paulsingh・paul@dashboard.io・resultsjunkies.com
THE EVOLUTION OF THE
PRIVATE MARKET
THE RISE OF THE ANGELS (AND THE ENTREPRENEURS)
LEARN MORE:
events.dashboard.io/avf2013