The Startup Velocity Question: What Hinders Acceleration in VC Funded Companies?

I have been running 1Mby1M since 2010. I find myself saying to entrepreneurs ad nauseam that VCs want to invest in startups that can go from zero to $100 million in revenue in 5 to 7 years.

Startups that do not have what it takes to achieve velocity should not be venture funded.

Experienced VCs, over time, have developed heuristics to gauge what constitutes a high growth venture investment thesis. 

1Mby1M Udemy Courses with Sramana Mitra: Bootstrapping

Over the course of two years, we have released over 70 courses on Udemy with the aim to democratize entrepreneurship education at scale globally. This series of posts aims to help you find the one you need easily and provide you with discount coupons.

Bootstrapping Using Services First, Raising Money Later: Rohyt Belani, CEO of PhishMe (Part 1)

Following up on our ‘Bootstrapping Using Services‘ and ‘Bootstrap First, Raise Money Later’ case studies, here’s the story of PhishMe, a cyber security company that has scaled nicely.

Sramana Mitra: Let’s start at the very beginning of your story. Where are you from? Where were you born, raised, and in what kind of background?

Rohyt Belani: I am originally from India. I was born and raised in India. I was there till the age of 22. I did my engineering in India.

Sramana Mitra: Where in India are you from?

Rohyt Belani: Bombay. I came to the US to pursue my graduate studies at Carnegie-Mellon back in 2000. >>>

Featured Videos

Bootstrapping with a Paycheck: Aytekin Tank, CEO of Jotform (Part 1)

If you haven’t already, please study my free Bootstrapping course. 

Aytekin is a Turkish entrepreneur who has bootstrapped his company with a paycheck. He has used a freemium business model, and a virtual team strategy to scale.

Sramana Mitra: Let’s start at the very beginning of your journey. Where were you born, raised, and in what kind of background?

Aytekin Tank: I was born in Istanbul. I spent my childhood moving from city to city since my family worked for the government. Constantly having to adapt and make friends instilled in me an appreciation for different cultures and meeting new people. We have offices in San Francisco and in Turkey. We have remote workers in 20 countries.

Sramana Mitra: You spent your childhood in Turkey, then?
>>>

Long Journey in Healthcare: Canadian Entrepreneurs Matthew Sappern and Emily Hamilton of PeriGen (Part 1)

Perigen is an amalgamation of a couple of different companies. This story relates how the entrepreneurs navigated a long journey.

Sramana Mitra: Let’s start by telling us a little bit about your personal background. I’d like to do that with both of you since you are co-founders.

Matthew Sappern: Just for clarity’s sake, Emily developed this technology. I was brought in by the Board a number of years ago to essentially restart this company.

Sramana Mitra: I see. Emily is the founder.

Matthew Sappern: One of the initial founders, and the developer of the core technology. >>>

Bootstrapping to $15 Million: Ernie Bray, CEO of ACD (Part 1)

Ernie leveraged his domain knowledge in auto insurance claims processing, and has built a robust, sustainable business. He uses a virtual workforce strategy to scale.

Sramana Mitra: Let’s start at the very beginning of your story. Where are you from? Where were you born, raised, and in what kind of circumstances?

Ernie Bray: I was born in a small town in Central California called Porterville, California. It’s a farming community. My dad was a teacher. My mom stayed at home and took care of us. I grew up in a small town environment.

Sramana Mitra: Where did you do your schooling?

Ernie Bray: I was a basketball player and went on to play college basketball. I ended up getting a degree in Sociology and Institutional Analysis from UC Santa Cruz. At that point, I really didn’t know what I wanted to do. I did an internship for the DA of Santa Cruz County. >>>

Bootstrapping With A Paycheck: Katie Echeverry, CEO of Unique Vintage (Part 1)

If you haven’t already, please study our free Bootstrapping course and the Investor Introductions page.

Katie had a pharmaceutical sales job that she used to bootstrap with a paycheck for 5 years, before quitting to go full-time with her business, Unique Vintage. More stories like this can be found in my Bootstrapping With A Paycheck book.

Sramana Mitra: Let’s start at the very beginning of your journey. Tell us where you’re from. Where did you grow up? Where were you born and raised?

Katie Echeverry: I was born in Burbank, California. I still reside in Burbank, California. I went to school and got my Bachelor’s degree in Sociology, but I ended up in sales. When I was about 26 years old, I ended up being a pharmaceutical sales rep, which I enjoyed. What I liked about sales is the harder I worked, the more money I made. I was a natural entrepreneur, but I just didn’t know the word for it. I worked really hard but that wasn’t enough for me. >>>

Bootstrapping a $10 Million E-Commerce Business: Seismic Audio CEO Steve Acree (Part 1)

E-commerce companies are relatively easy to bootstrap. Steve tells the story of his journey bootstrapping Seismic Audio to almost $10 million in revenue.

Sramana Mitra: Let’s go back to the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?

Steve Acree: I was born in Tennessee, about 60 miles north of Memphis. I went to school for computers but I’ve never used my degree. I chose the wrong computer industry. I chose the repair side instead of the software side.

Sramana Mitra: What did you do after you finished college?
>>>

Bootstrapping from Australia: Emagine CEO Dave Peters (Part 1)

Dave Peters has managed to bootstrap a significant software company from Australia. The focus is on TELCO churn management, and the customer base is primarily Australian, Asian, and African. Read this interview to learn more of the nuances.

Sramana Mitra: Let’s start at the very beginning of your story. Where are you from? Where were you born, raised, and in what kind of background?

Dave Peters: I’m Australian. I grew up in a little town of 8,000 people, about five hours west of Sydney. It was a farming community and my father was an Anglican minister. That’s a pretty unlikely starting point for an entrepreneur.

Sramana Mitra: Where did you do your schooling?
>>>

Bootstrapping to $200 Million: Jorn Lyseggen, CEO of Meltwater (Part 1)

If you haven’t already, please study our free Bootstrapping course and the Investor Introductions page.

Jorn started Meltwater in Norway and has scaled the company organically to $200 million. Fascinating journey!

Sramana Mitra: Let’s start at the very beginning of your story. Where are you from? Where were you born, raised, and in what kind of circumstances?

Jorn Lyseggen: I was actually born in Korea. I came to Norway as a very small child. I was three years old. I actually grew up in a little farm in the middle of a deep, dark forest in Norway. You drive for hours into the deep, dark forest and then suddenly, there’s a small opening. Then, you come to a little village with 168 families. One of those families is mine.

Sramana Mitra: That’s charming.
>>>

Bootstrapping from London to $10 Million: Alexandre Wentzo, CEO of Casewise (Part 1)

Alex tells the story of a bootstrapped company from London that has gone all the way to $10 million in just over 10 years and is now looking to scale further, perhaps with outside capital.

Sramana Mitra: Let’s start at the very beginning of your story. Tell us where you’re from, where you were born, raised, and in what kind of background.

Alexandre Wentzo: I was born outside of Paris in a little suburb. I come from a low social background. I would say that when I was around 13 years old, I started to set up my business. I used to check out every shop around my place. I started to offer brochures and create any marketing collaterals they needed and offered the complete package, from the design to the printing.

Sramana Mitra: Where was this? >>>

Bootstrapping Lessons: FairWarning CEO Kurt Long (Part 1)

Kurt has tried different permutations and combinations of bootstrapping, several of them successfully. Listen to his perspective on each of those.

Sramana Mitra: Let’s start at the very beginning of your journey. Where were you born, raised, and in what kind of background?

Kurt Long: I was raised in Clearwater, Florida. I grew up in Florida at a very special time where we enjoyed being outside and in the waters. As I grew up, I watched the Apollo missions and other NASA-based missions take off from the Kennedy Space Center, which is on the other coast but you could still see the launches. From a very early age, those made an impression on me that I wanted to participate in innovation and exploration. That’s something that has stayed with me through my whole career. As I went through high school and college, I held on to the dream and even wrote letters to Kennedy Space Center to ask about the Space Center and how it worked. >>>