Measurement

Measurement

Venture Capital and Private Equity Principals

San Francisco Bay Area, CA 1,354 followers

Invest in Companies That Scale (Before They Scale)

About us

Invest in companies that scale (before they scale).

Website
https://www.measurement.fund/
Industry
Venture Capital and Private Equity Principals
Company size
2-10 employees
Headquarters
San Francisco Bay Area, CA
Type
Privately Held
Specialties
Venture Capital and Startups

Locations

Employees at Measurement

Updates

  • Measurement reposted this

    The path from inception to IPO is quite a challenge for new startup founders. For those that want to raise enough capital to build and scale their companies, they are asking themselves: what are the relevant benchmarks and performance metrics that matter to investors in this new market environment? Four charts from the OpenCloud 2023 report that Battery Ventures published last month might help. Something to keep in mind while studying these charts: · There are over a thousand software unicorns but only 74 public software companies with a $1b market cap or more. · Only 95 went public with a $1b market cap or more in the last ten years. · Generating a $1b in ARR before going public will soon replace the old standard of $100m. · From early to growth-stage, you must scale as always but much more efficiently.

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  • Measurement reposted this

    Do you ever wonder what a venture fund portfolio looks like? Here is a chart of a made-up portfolio. Assuming it's a $100m fund, $80m was deployed into 15 early-stage startups aiming for approximately 15% ownership in each. This would be a disciplined, concentrated approach. At year 5, it's in the middle of its 10-year life with 9 write-ups but 6 write-offs. No realizations yet but it's on the path to returning the fund. We'll know for sure by year 10.

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  • Measurement reposted this

    According to Charles D. Ellis, there are three difficult ways to succeed as an investor: · Intellectually: you have a deep and profound understanding of the true nature of investing · Physically: you work the hardest and longest, you do more research and go to more meetings, but so does everyone else · Emotionally: you figure out the long-term investment policy that is realistic, that works for you, and YOU STICK TO IT It's no wonder he was on the investment committee at Yale for over a decade.

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  • Measurement reposted this

    Spreadsheets replaced Human Computers, will LLMs replace Human Creators? It’s rare to hear about the role of “human computers” today. Human computers were people tasked with executing extensive, often repetitive, calculations by hand. These calculations were essential for a variety of fields such as budgeting and finance. Human computers worked with tools like slide rules, logarithmic tables, and mechanical calculators to perform tasks that are now easily performed by spreadsheets. It was extremely labor-intensive and time-consuming. Nobody misses those days. For a long time it was believed that art required people that had a spark of ingenuity. It was considered a sacred domain where the human touch, intuition, and creativity are irreplaceable. But art is mostly mundane, repetitive tasks done by hand. Painting, filming, and writing—mixing colors meticulously, capturing multiple shots for the perfect scene, or even writing and rewriting to find the perfect turn of phrase—are not immune to automation. LLMs threaten to expose that. Creating a piece that resonates with people and evokes an emotional response can be done step-by-step using time-tested methods from past works. LLMs can absorb a vast library of human-generated art, understand the patterns, styles, and techniques, and generate new material in an instant. If a machine can calculate complex equations better than us, what stops it from painting an evocative scene or writing a compelling story? Perhaps we should see the spreadsheet as a useful analogy for how LLMs will be adopted. Similarly to how we evolved to work with spreadsheets, we will also evolve to work with LLMs to create art. One thing we do know for sure is that it will remove the manual grind behind our work. And, somehow, we will find something else to replace it.

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  • Measurement reposted this

    2023 is turning out to be the year of the down rounds, layoffs, and lack of liquidity in the world of startups. · Only a quarter of deals in 2023 have disclosed post-money valuations, indicating a higher likelihood of down or flat rounds · Two-thirds of tech layoffs since March 2020 happened in the last 10 months · US VC fundraising dropped 66%, from $102b in H1 2022 to $35b in H1 2023 · 64% of US VC-backed tech IPOs since 2017 are below their IPO market cap, over one-third of those are below their last private valuation This is not an easy time for a lot of companies. But for the resilient founder who wants to validate a new idea and build a product behind it, this is a good time as ever to form a startup. Your adaptability, resourcefulness, and tenacity to create something out of nothing will shine through. There is always capital available for those that work.

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