brian goffman startupday 2011 speech

Optify Confidential

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Optify Confidential 04/11/2023

Your Money or Your Life: 6 RulesSeptember 2011

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Who is this Guy?

• McKinsey & Company• Startups: PointCast, When.com• Austin Ventures, Madrona Venture Group• Microsoft• Optify

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Today’s Entrepreneur: Lots of Options, Even More Questions

? Should I raise angel or venture capital?

? When and how do I get liquidity??Should I join an

“accelerator”?

?How do I get the best VC terms and valuation?

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“All I ask is the chance to prove that money doesn’t make me happy.”

-Spike Mulligan

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VC Rule #1: The Most Important Day

» Entrepreneur: The day you release your product / service

» VC: The day you run out of money (OOC)

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VC Rule #2: Swing for the Fences

» Entrepreneur: All your eggs in one basket» VC: Lots of eggs, lots of baskets

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VC Rule #3: Scale Up» Entrepreneur: When you’re ready (Lean Startup)» VC: When you have the money

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VC Rule #4: Return on Investment» Entrepreneur: Set for life» VC: “You can’t eat IRR”

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VC Rule #5: Liquidity» Entrepreneur: As soon as possible» VC: When we say so

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VC Rule #6: Companies» Entrepreneur: People, products, culture, legacy» VC: Return on investment

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Raising Money = Long Term Relationship

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Bar / Prospecting•1st Meeting

Date / Opportunities•Partner Meeting

Engagement / Negotiating• Term Sheet

Wedding / Closed!• Funded

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Words of Wisdom

“What’s the use of happiness? It can’t buy you money!”

-Henny Youngman

“Speed is irrelevant if you are going in the wrong direction.”

-M Ghandi

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710 2nd AvenueSuite 840Seattle, WA 98104t: 1.206.388.4234f: 1.206.787.1410http://www.optify.net

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Brian Goffman, CEO & Co-Founderbrian@optify.net

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