flatiron partners presentation to mit spring 2001 bob greene managing general partner flatiron...
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Flatiron Partners
Presentation to MIT
Spring 2001
Bob GreeneManaging General Partner
Flatiron [email protected]
257 Park Avenue South, 15th Floor, NYC 10010212-228-3800
Flatiron Partners
Presentation to MIT
Spring 2001
Bob GreeneManaging General Partner
Flatiron [email protected]
257 Park Avenue South, 15th Floor, NYC 10010212-228-3800
OverviewOverview
Who is Flatiron Partners Investment Philosophy Flatiron Portfolio How we work with Companies The Market Today
Who is Flatiron Partners Investment Philosophy Flatiron Portfolio How we work with Companies The Market Today
What Is Flatiron Partners?What Is Flatiron Partners?
One of the leading technology venture capital firms in New York
Founded in August 1996 Focused on early and mid-stage,
information technology companies Investment range $1 to $50 million
One of the leading technology venture capital firms in New York
Founded in August 1996 Focused on early and mid-stage,
information technology companies Investment range $1 to $50 million
What Is Flatiron Partners?What Is Flatiron Partners?
1996 fund capitalized at $150 million with two investors: JP Morgan Partners (JPMP) and SOFTBANK Technology Ventures
Current fund capitalized at $500 million with JPMP as sole active LP
1996 fund capitalized at $150 million with two investors: JP Morgan Partners (JPMP) and SOFTBANK Technology Ventures
Current fund capitalized at $500 million with JPMP as sole active LP
Our Partner:JPMPOur Partner:JPMP
A global private equity organization with approximately $24 billion under management whose sole limited partner is The JP Morgan Chase Corporation.Since 1984, has closed more than 1,500 individual transactions.
One of the largest most active private equity groups in the world.
Flatiron Partners – the PeopleFlatiron Partners – the People
Ten Investment professionals
Diverse backgrounds
Decades of VC, technology, Internet and media experience
Ten Investment professionals
Diverse backgrounds
Decades of VC, technology, Internet and media experience
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Our PhilosophyOur Philosophy
Invest in services, infrastructure/technology and content
Domestic, International Pervasive Computing
Generally, invest at an early stage As often as possible, invest locally Work closely with management Use the strengths of partner: JPMP
Invest in services, infrastructure/technology and content
Domestic, International Pervasive Computing
Generally, invest at an early stage As often as possible, invest locally Work closely with management Use the strengths of partner: JPMP
Transactions - ContentTransactions - Content Geocities
Starmedia Network
TheStreet.com
Gamesville.com
Onlinepartners - gay.com
Powerful Media – [Inside.com]
Urban Box Office (UBO)
The Industry Standard
The New York Times Digital
Geocities
Starmedia Network
TheStreet.com
Gamesville.com
Onlinepartners - gay.com
Powerful Media – [Inside.com]
Urban Box Office (UBO)
The Industry Standard
The New York Times Digital
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Transactions – ServicesTransactions – Services
Multex.com
ITXC
iXL Enterprises
Mainspring
Comscore
Acurian
Electron Economy
Return Path
Multex.com
ITXC
iXL Enterprises
Mainspring
Comscore
Acurian
Electron Economy
Return Path
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Transactions–Infrastructure/TechnologyTransactions–Infrastructure/Technology
Resonate
Ibiquity
Reciprocal
Portal Player
AppGenesis
Eshare Technologies
Resonate
Ibiquity
Reciprocal
Portal Player
AppGenesis
Eshare Technologies
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Transactions – InternationalTransactions – International
Starmedia Network
Sina.com
sportsya
Patagon
Submarino
Mercado Libra
Viajo
Starmedia Network
Sina.com
sportsya
Patagon
Submarino
Mercado Libra
Viajo
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Transactions–Pervasive ComputingTransactions–Pervasive Computing
Vindigo
Fusion One
Vertical One
Quixi
Kozmo
Kinkos.com
Vindigo
Fusion One
Vertical One
Quixi
Kozmo
Kinkos.com
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What do Venture Capitalists actually do ….? ? ?
What do Venture Capitalists actually do ….? ? ?
The Venture Capitalist’s Role … according to FlatironThe Venture Capitalist’s Role … according to Flatiron
We buy a part of the Company
We are Owners
We are on the Board of Directors
We buy a part of the Company
We are Owners
We are on the Board of Directors
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The Venture Capitalist’s Role … according to FlatironThe Venture Capitalist’s Role … according to Flatiron
We become Partners with the founders and management
We think like Owners
We help with …Strategy, Recruiting, Raising money, Opening doors, High level sales intros, Going public, Merging, etc
We become Partners with the founders and management
We think like Owners
We help with …Strategy, Recruiting, Raising money, Opening doors, High level sales intros, Going public, Merging, etc
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An Analogy – A VC is a ProducerAn Analogy – A VC is a Producer
A VC is like a Movie Producer
We help find money, people, bankers, clients, the Board, etc.
To Management, we are …friend, foe, shrink, cheerleader, teacher, idiot, partner.
A VC is like a Movie Producer
We help find money, people, bankers, clients, the Board, etc.
To Management, we are …friend, foe, shrink, cheerleader, teacher, idiot, partner.
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The Market Today…The Market Today…Movie Clip
U G L Y !U G L Y !Movie Clip
The Market TodayThe Market Today
To many questionable ideas funded the last few years
Portfolio Triage
Support or Euthanasia
To many questionable ideas funded the last few years
Portfolio Triage
Support or Euthanasia
Movie Clip
The Market TodayThe Market Today
Hard to put together financings
Investors focused on their portfolios
Valuations down – a buyers market
Hard to put together financings
Investors focused on their portfolios
Valuations down – a buyers market
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ExpectationsExpectations
Invest more slowly
Spend less & grow within your means
Conditions and psychology start to improve later this year
Invest more slowly
Spend less & grow within your means
Conditions and psychology start to improve later this year
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