Archive: startup investing

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What Went Wrong With Quibi

By Andy Gordon on October 22, 2020

In calling it quits, Quibi proved the adage that nothing guarantees success except success itself.  The company seemed to have everything going for it. A massive pool of capital — $1.75 billion worth. An A+ roster of investors that included Alibaba, Goldman Sachs, JPMorgan Chase and practically all the major studios — Sony Pictures, MGM Studios, Lionsgate, Walt Disney, NBCUniversal and Viacom. And it had Mexican business magnate Carlos Slim.  Two megastars led the…

Webinar: The Next Generation of Fintech

By Early Investing on October 21, 2020

Fintech is making an interesting transition — from disrupting big banks to disrupting the disruptors. Companies like Robinhood, Lemonade and Credit Karma grew by addressing consumer needs that banks had ignored. Now a new generation of fintech companies is emerging. And they say their solutions are even better.
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New Pick: Invest in Efficient Energy Use

By Andy Gordon on October 15, 2020

Deal Details Startup: COI Energy Security type: Crowd SAFE Discount: 20% Valuation (cap): $18 million Minimum investment: $100 Where to invest: Republic Deadline: December 1, 2020…

The American Startup Surge

By Andy Gordon on October 14, 2020

There’s no denying that the economy is weaker than it was pre-pandemic. While industries like gaming and work-from-home tech have soared, many other businesses have struggled to survive. But in the midst of all this economic hardship, something rather fascinating has happened in the U.S.  The…
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Startup Insider: The Importance of Traction

By Early Investing on October 12, 2020

As angel investors, we’re told to look for startups with traction. We’re told that startups with real revenue, customers and growth are the best startups to invest in. But when investors don’t like a startup, they find reasons to ignore traction. Some of them are good…
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Big Merger Indicates Crowdfunding Sector Is Changing

By Andy Gordon on October 8, 2020

In the last 12 months, we’ve sourced our startup recommendations from seven different portals. Eight were from Republic… five from SeedInvest… two each from Wefunder, StartEngine and Equifund… and one each from MicroVentures and Netcapital. Each of these portals has unique strengths. The companies raising on…

Why Crowdfunding Is Better Than VC Funds

By Andy Gordon on October 7, 2020

I don’t envy venture capitalists these days. The economics of startup investing are changing. And as of today, crowdfunders like you and me hold a significant edge over VCs.  I know that may seem like a bold claim. Right now, VC investors get all the respect…
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Choosing Between Startups and Tech Stocks

By Adam Sharp on October 6, 2020

Today we’re going to briefly compare tech stocks with startup investments. We’ve reached a point in the public market where many tech stocks are overvalued by what I would guess is a multiple that ranges  from 2x-to-10x.  The valuations at this point are simply silly, as…

Secondary Markets Have Hidden Benefits

By Adam Sharp on October 2, 2020

This month, U.S. equity crowdfunding platform StartEngine plans to open a “secondary market” where investors can buy and sell investments in startups that have already raised money using Regulation Crowdfunding and Regulation A+. This new service is…
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New Pick: Invest in Cheaper Energy for Everyone

By Andy Gordon on October 1, 2020

DEAL DETAILS Startup: Neighborhood Sun Security type: Future equity Agreement (Wefunder SAFE) Round size: Up to $1.07 million Valuation cap: $15 million Minimum investment: $100 Investment portal: Wefunder Deadline:…

Economic Freedom Plan

By Vin Narayanan on September 30, 2020

I’ve been thinking a lot about freedom in the wake of Supreme Court Justice Ruth Bader Ginsburg’s passing. As Americans, freedom is in our DNA. It’s written into the Declaration of Independence. We hold these truths to be self-evident, that all men are created…
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Don’t Be Tempted by More Liquidity

By Adam Sharp on September 29, 2020

AngelList is rolling out a new feature called Transfers, which will make it easier to sell private startup equity.  This has been in the works for a while now. Multiple platforms are working on similar “secondary platforms” to make it easier…

The 60/40 Portfolio Doesn’t Work Anymore

By Adam Sharp on September 25, 2020

It can be hard to see a bubble when you’re smack-dab in the middle of it. I think that describes our situation today. Let’s look at a few large tech stocks’ price-to-earnings (P/E) ratios.  Amazon: 115 Tesla:…
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Update: Yahyn Looks Stronger Than Ever

By Andy Gordon on September 24, 2020

We recommended Yahyn back in May. It lets you shop for your favorite bottles of wine online and have them shipped directly to your home.  Whenever I talk to Yahyn Founder and CEO Pierre Rogers — like I did…

Keep An Eye On the U.S.-China Tech War

By Andy Gordon on September 23, 2020

The U.S. government doesn’t trust big Chinese tech companies. Their close ties to the Chinese government mean that they can be used as instruments of the Chinese state. Hence, Trump’s ultimatum to TikTok to transfer ownership to willing U.S. buyers.  The Chinese internet colossus…
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The Hottest Sector in Venture Capital

By Adam Sharp on September 22, 2020

Generally speaking, I don’t believe that online startup investors should have a set-in-stone investment thesis. Since deals come to us, we have to invest in the most attractive ones that come along. If we stick to a certain industry or category, we screen out potentially good…