Blog :: Home

Why are investors unapproachable & unresponsive? And how to fundraise from them?
Why are investors unapproachable & unresponsive? And how to fundraise from them?
Tags: , ,

There are several grievances early-stage founders have against startup investors, especially related to approachability & communication. Some of them are — investors never respond to emails, they can at least acknowledge founder emails, they vanish after first call or meeting, and worse, they are snobs. Of course there are other criticisms, like investors don’t know what they’re doing, they fund bad startups, they don’t respect cash or profitability, etc. — but these are topics of another post.

Coming back to the complaints on approachability & communication, the answer is that these are both right and wrong. Some investors are good at this, some are bad.

Read More
Isn’t LinkedIn very cluttered nowadays?
Isn’t LinkedIn very cluttered nowadays?
Tags:

Linkedin is useful but extremely cluttered now, especially if you accept lot of connection requests (founders/ startup folk for me). Great posts used to surface easily earlier in the feed, but now it’s a chore to find even one good one.

Linkedin should have a setting where you don’t automatically follow every new connection, but can pick and choose who to follow.

Read More
Why Meesho is in our anti-portfolio
Tags: , , ,

In today’s Livemint, Globevestor’s co-founder & Partner, PN Raju writes about a successful company that’s in our anti-portfolio – Meesho. Here’s the complete article on Livemint.

Sometimes as investors, we don’t see the strength of the underlying trends as well as the entrepreneurs, so it’s useful for us to hear out and learn from them. If you’re building a venture to take advantage of some strong underlying trends in a sector that not many people see, ping me!

Read More
Basic accounting errors founders make
Basic accounting errors founders make
Tags: , , ,

Of late, have come across multiple early-stage startups making a basic accounting error. While digging their choppy monthly revenues, I realized these startups book revenues in the month cash was received, and not when the product/service was delivered. While this seems very tactical to founders early on, it’s important.

Examples – a SaaS startup charged & booked annual revenue upfront, while clients could cancel any month with refund.

Read More
Reverse Pitch for AI startups
Tags: , , ,

In today’s Livemint, I wrote about some of the areas we’re looking to invest in at Globevestor. In this article, the focus is on ‘AI at workplace’ companies. You can read the article on Livemint here.

We believe that for businesses to thrive in the future, human intelligence and artificial intelligence (AI) will need to work in tandem. And that the next wave of ‘AI at workplace’ startups would help employees become better at their jobs.

Read More
What’s the first step for founders?
What’s the first step for founders?
Tags: ,

Most tech founders start their journey by writing a lot of code. However, many times it’s better to begin with validating product need through a quick non-code/ light-code exercise. E.g. if you’re planning a market-place, you might try to get a couple of transactions done by matchmaking supply-demand simply over email/ offline. Or you might set up a single landing page to collect emails and try digital ads to figure out cost of customer discovery.

Protecting the idea, big bang launch, stealth mode, wowing customer at first experience, etc are all fine ideas if you’re very sure of who your customers are and what they want.

Read More
What can one make of the early-stage funding implosion?
What can one make of the early-stage funding implosion?
Tags: ,

There’s consensus now that seed to pre-Series A funding environment isn’t rebounding. In fact, 2017 has been worse than 2013/2012 globally, and trending back to 2014 levels for India.

There are no indicators that next 6 months will be drastically different. It doesn’t help that there’s too much noise in every sector, including AI, fintech, SaaS, etc. which leads to higher burden of proof for startups. Moreover, every investor is currently distracted by shiny new objects of blockchain & crypto, due to strong bull runs there.

Read More
Why do investors ask startup founders for stock vesting/ restrictions?
Why do investors ask startup founders for stock vesting/ restrictions?
Tags: , , ,

A majority of founders today seem to be comfortable with stock vesting provisions in termsheets. However, still encounter a few (usually first-time) founders who see vesting as investor tactic to gain more control. Some feel they’re being forced to ‘earn’ ownership in their own ventures.

This interpretation of vesting is harmful. Investors invest in the mid-long term future potential of a startup, and the team sticking around to achieve its ambitions is key. A non-executive founder (w/o day-to-day role) is as good as dead equity. If a founder leaves, it’s a big blow to the execution ability of a team.

Read More