Evan Vitale

Accounting Professional

Evan Vitale – Venture Capital Headlines

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By Evan Vitale

Here are the latest venture capital news stories making headlines this week.

According to Reuters, a Canadian plan to encourage private investment in the country’s venture capital industry raised more than C$1.35 billion ($1.03 billion), a government bank for entrepreneurs said on Tuesday, after the last of four funds closed to new investors.

Private equity investor HarbourVest Partners said its C$375 million ($285 million) fund, mostly dedicated to investing in venture capital funds that back Canadian companies, had been oversubscribed by the limited partners that account for two-thirds of the fund.

The remainder of the HarbourVest Canada Growth Fund was provided by BDC Capital Inc., a subsidiary of the federal government-backed Business Development Bank of Canada (BDC), which operates at arm’s length.

The full story is here: http://www.reuters.com/article/canada-tech-funding-idUSL2N17820X

In Dayton, Ohio, the Dayton Daily News is reporting that the creator of a technology meant to help feed millions will soon give his first public comments since his local company was acquired.

In February, Intrexon Corp. acquired Yellow Springs company EnviroFlight LLC to form a joint venture with Darling Ingredients Inc., the world’s largest publicly traded developer and producer of sustainable natural ingredients from bio-nutrients.

EnviroFlight’s idea was to feed people with fish, and to cultivate fish with insects. You can find the complete article here: http://www.daytondailynews.com/news/business/local-company-to-discuss-venture-capital-success/nqzDR/

Meanwhile, Apple insider is reporting that a pair of Steve Jobs lieutenants — former Apple CFO Fred Anderson and software chief Avie Tevanian — have reportedly banded together in a new venture capital fund dubbed NextEquity.

The fund includes personal contributions from both Anderson and Tevanian along with cash from outside investors, according to Bloomberg. The name was chosen as a nod to NeXT, the firm at which Tevanian first led software engineering under Jobs before following the mercurial Apple founder back to Cupertino in 1997.

Both Anderson and Tevanian were formerly involved with Elevation Partners, a multi-billion dollar private equity fund fronted by U2’s Bono that has begun to wind down operations.

The full story is here: http://appleinsider.com/articles/16/04/05/former-apple-execs-fred-anderson-avie-tevanian-raise-next-themed-venture-capital-fund

Evan Vitale – Latest VC Headlines

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By Evan Vitale

Here are the latest stories and headlines that are making the rounds in venture capital news!

According to the Wall Street Journal, venture-capital firms are raising money at the highest rate in more than 15 years, even as the values of some once-hot startups have begun to cool.

With the quarter nearly over, U.S. venture funds have collected about $13 billion, which would be the largest total since the dot-com boom in 2000, according to preliminary data from Dow Jones VentureSource.

Many prestigious venture firms have raised new billion-dollar funds in recent weeks, including Accel Partners and Founders Fund. Other big-name firms like Kleiner Perkins Caufield & Byers and Andreessen Horowitz are also looking to raise funds in the coming months, according to people familiar with the matter.

The full story is here: http://on.wsj.com/1RpO4TZ

The New York Times is reporting that despite a turbulent market and dwindling investor appetite for stakes in private start-ups, the robo-adviser firm Betterment has received $100 million from venture capital investors, pushing its valuation to $700 million, nearly double its value this time last year.

The Swedish investment firm Kinnevik led the investment round, which also included the previous investors — Bessemer Venture Partners, Menlo Ventures, Anthemis Group and Francisco Partners.

Betterment says it will use the money to increase product development and expand its business. It is its largest investment round yet.

The full story can be found here: http://nyti.ms/1RHKQXy

What are the latest trends in angel and venture capital investments?

The Upstate Business Journal says the Angel Resource Institute and the National Venture Capital Association recently released their annual reports for 2015, and the South Carolina Secretary of State recently reported 2015 numbers for the state’s Angel Investor Tax Credit.

A quick study of the data reveals several insights and trends worth noting for those of us working to improve the environment for early stage capital formation in the Upstate and beyond.  By many measures, 2015 was a record-setting year – but beneath the surface, disturbances began to create waves that entrepreneurs and investors shouldn’t ignore.

Catch the report here: http://bit.ly/236aWM6

Evan Vitale – Tax Deadline Alert

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By Evan Vitale

By the time you read this, we’ll be just a few weeks away from “tax day” in which we must file our annual tax returns.

However, the Internal Revenue Service is giving us a few extra days this year (2016) in order to get our returns completed and in the mail.

You see, normally, the much-anticipated date (or dreaded date, if you prefer) is always April 15, unless it falls on a weekend day. This year however, April 15 is on a Friday, but the due date is actually April 18, 2016.

Why?

Well, “Emancipation Day” is April 15, 2016 in the District of Columbia. It usually falls on April 16, but when April 16 is a Saturday – which it is this year – then Emancipation Day moves to the previous day (Friday, April 15).

The IRS states “The term ‘legal holiday’ includes a holiday observed in the District of Columbia – Emancipation Day, April 16, is a legal holiday in the District of Columbia. When April 16 is a Saturday, the preceding day is the observed holiday.

Now, if you live in Maine or Massachusetts, then you have until Tuesday, April 19, 2016 to file your individual income tax returns. That’s because Monday, April 18, 2016 is “Patriots Day” which is observed as a statewide legal holiday every third Monday of April. IRS offices are closed in those states on Monday, April 18 and, since taxpayers are allowed to file their returns by hand-delivering their forms to a local IRS office, the due date is extended to the next day (April 19).

And, just as a friendly reminder, the first installment payment for 2016 estimated tax is also due by April 18 – the same deadline for your 2015 Federal tax returns. Double bonus! This deadline applies to all residents (even those in Maine or Massachusetts).

Whew! Got it?

Evan Vitale – Family Cash For Your Business

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By Evan Vitale

Over the past few months, this blog has looked at many funding opportunities for startup businesses, including venture capital, equity financing, bank and Small Business Administration loans and crowdfunding.

However, based on your current credit and cash situation needs, you may not be a candidate for VC money or an ideal customer for a traditional loan for a bank. If you are low on self-funding options, you might give some consideration to seeking a loan or an investment from one or more friends or family members.

Family members know you and your personal character (that can be good and bad). They can consider some options that banks won’t consider. However, approaching a family member or a good friend for a loan adds an extra level of “pressure” to all parties involved.

You, for example, might find it difficult to call your parents; siblings or an aunt or uncle and ask for a loan. On the other hand, they are going to have to make a difficult decision whether they answer “yes” or “no” to your request. 

It can be extremely uncomfortable. If they say “no” will it cause harm to your family relationship? If they say “yes” and there is a repayment problem, then there are other concerns to consider. 

However, if you approach a friend or a family member – just like you would a bank or a private investor – everyone will appreciate your business-like approach to the matter. Here, you should share your business plan, how much financing you are seeking, what interest rate you are willing to pay and a full payback plan (including a monthly payment plan).

Taking the professional approach to a loan from a friend or family member allows them to ask questions and feel more comfortable about loaning you the money you need for your startup. In either case, never take advantage of a family member or friend. Always remain professional, upfront and honest with them about your plan and how you are going to repay the loan.

If you are asking for a large sum of money, perhaps you can ask for smaller loans from multiple family members or friends. If trust and payback plans are a concern, you might start out with a small loan request to show you’re capable of paying back loans to family members.

Evan Vitale – Venture Capital Headlines

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By Evan Vitale

Here are the latest headlines in venture capital news!

The Wall Street Journal’s Venture Capital Dispatch is reporting that GreatHorn Inc. wants to stop phishing attacks, a social-engineered form of cyberattack, before they even reach an employee’s inbox.

The company has raised $2.25 million in seed funding, led by ff Venture Capital and SoftTech Ventures. Techstars Ventures, RRE Ventures and Walter Winshall also participated, alongside Zelkova Ventures and V1.VC.

The funding comes after fraudsters have been using phishing attacks to file tax returns. There have been several incidents this year in which human-resources employees received fake emails from scammers impersonating company executives. The emails request W2 forms or personal information about other employees, such as Social Security Numbers. If the employee thinks they are actually coming from the top brass and responds with the information, it can leave other employees vulnerable to identity theft and tax fraud.

Read the full story here: http://blogs.wsj.com/venturecapital/2016/03/21/greathorn-seeded-for-preventing-phishing-attacks/

The St. Louis Dispatch reports Two St. Louis venture capital firms and a German technology giant are funding an expansion by Adarza Biosystems in O’Fallon, Mo.

Adarza announced Monday that it had completed a $5 million funding round led by Cultivation Capital Life Science Fund, Lewis and Clark Ventures and Siemens, the German engineering and medical-products company. Adarza will expand production capacity at its O’Fallon plant, launch a commercial line of diagnostic immunoassay kits and accelerate development of new products.

Learn more here: http://www.stltoday.com/business/columns/david-nicklaus/adarza-adds-million-in-venture-capital/article_12374e0d-c2cf-5e4b-b921-d614ccf306a4.html

A year ago, business software vendor Domo Inc. was expecting to go public by the end of 2015, Chief Executive Josh James told VentureWire.

Domo, according to the Wall Street Journal, has now raised $131 million as it waits for the markets to become more receptive to information technology companies. The company extended its last funding round, a $200 million Series D round raised in April 2015, at the same valuation and same terms, adding money from insider BlackRock Inc. Credit Suisse and unnamed family offices, some in Asia and Russia, and taking total funding to $590 million, according to Mr. James.

You can read more here: http://blogs.wsj.com/venturecapital/2016/03/22/domo-raises-130-million-holds-its-2-billion-valuation/

 

Evan Vitale – Crowdfunding Lists, Resources

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By Evan Vitale

Rather than try to list ALL the crowdfunding opportunities, I thought it might be easier (and better) to share some crowdfunding “lists” that I have found. Here we go:

Top 10 Crowdfunding websites based on Traffic Rank (by gofundme)

https://www.crowdfunding.com

Top 10 Crowdfunding websites for Fundraising (by Forbes)

http://www.forbes.com/forbes/welcome/

Top 10 Crowdfunding websites for Entrepreneurs (by Entrepreneur)

http://www.entrepreneur.com/article/228534

Top 10 Crowdfunding websites to Fuel your Dream Project (by Honkiat)

http://www.hongkiat.com/blog/crowdfunding-sites/

22 Crowdfunding websites and How To Choose Yours! (by Inc.com)

http://www.inc.com/magazine/201306/eric-markowitz/how-to-choose-a-crowdfunder.html

The Ultimate List of Crowdfunding and Fundraising Websites (by Crowd 101)

http://www.crowd101.com/list-crowdfunding-and-fundraising-websites/

Crowdfunding Websites (by CrowdsUnite)

http://crowdsunite.com/crowdfunding-sites/

Top 10 Crowdfunding websites of 2016 (by Top Ten Reviews)

http://crowdfunding-sites-review.toptenreviews.com

Big List of Crowdfunding websites (by Marketing Moxie)

http://marketingmoxie.biz/the-big-list-of-crowdfunding-sites/

Other crowdfunding resources:

“Crowdfunding Secrets: 7 Tips For Kickstarter Success” (by Forbes)

http://www.forbes.com/sites/amadoudiallo/2014/01/24/crowdfunding-secrets-7-tips-for-kickstarter-success/#6a44b57d627f

“Kickstarter’s Biggest Hits – Why Crowdfunding Now Sets the Trends” (by The Guardian)

http://www.theguardian.com/technology/2014/apr/17/kickstarter-crowdfunding-technology-film-games

Search Google News for the latest in crowdfunding news.

Search Google for Crowdfunding presentation templates.

Create a Google Alert on the keyword “crowdfunding” (free Google account required).

Connect with and Follow Crowdfunding accounts on Twitter, Facebook, LinkedIn and Google+.

Read and follow Crowdfunding blogs.

Search, find and watch Crowdfunding webinars.

Evan Vitale – Finding A Business Angel

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By Evan Vitale

Can a business angel help your start-up or expanding business with the financing you need?

Probably.

However, this are many things to learn about a business angel; how they work and, most importantly, how do you find a business angel?

Simply put, a business angel is an individual who offers the financial backing you need to fund your startup or take your business to the next level. Angels are everywhere. They are professionals, retirees, doctors, lawyers, business owners. They are successful and they are interested in finding business investment opportunities.

The most difficult part about connecting with a business angel is finding them. It’s not like they are listed in the phonebook or have a website saying “I’m a business angel, please send me your proposals.”

Instead, you have to find them. How?

  • Start by talking to family; friends and close business associates.
  • Attend networking events and meet new people. Don’t rush in with your financial needs. You need to develop a relationship and build trust. This takes time.
  • Increase your marketing and social media efforts. Make you and your business more visible. Angels will be watching your progress.
  • Earn more local public relations. Write press releases; submit story ideas to local newspapers, television and radio stations. Again, all of this will not going get the attention of a potential angel, but it might also help you earn new clients and increase your revenues.

A friend of mine would eat lunch two-three times a year with a potential angel. The angel would invite him to lunch so he could be kept up-to-date on how his business was progressing. However, my friend had no idea his lunch pal was an angel that could someday be potentially interested in investing in his startup company.

The biggest key in finding an angel is to build strong, lasting relationships. Your connections might introduce you to an angel someday or, perhaps, an unknown angel will knock on your door when you least expect it.

Evan Vitale – What’s New in VC News!

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By Evan Vitale

Here are some of the latest headlines and stories making news in the world of venture capital.

According to WSJ’s Venture Capital Dispatch, Bot Home Automation Inc., which does business as Ring, raised $61.2 million in Series C funding led by Kleiner Perkins Caufield & Byers.

The Santa Monica, Calif., company produces Wi-Fi-connected video doorbells, which allow users to remotely see who is standing at their door from their phones. The product gives users a notification when someone rings the bell or if its motion sensors detect someone in front of the house.

The company declined to disclose its valuation. PitchBook Data Inc. reported the company’s valuation jumped from $63.6 million to $202 million.

Chief Executive Jamie Siminoff said his goal is to use technology to make neighborhoods safer.

The full story is here:

http://blogs.wsj.com/venturecapital/2016/03/16/connected-doorbell-company-ring-buzzes-in-61-2m/

The International Business Times is reporting Intel is planning to sell some assets of Intel Capital as a part of the ongoing restructuring of its investments division. It has mandated UBS Group AG to look for potential buyers.

According to Bloomberg, the California-based chip-maker is looking for a buyer who would purchase its assets housed within Intel Capital, worth almost $1bn (£709m).

“Discussions over the structure of the sale are at an early stage, with Intel open to selling the assets as a whole or divided by geography or sector focus…. The portfolio, which is made up of companies across the world, is housed within Intel’s corporate venture unit, Intel Capital,” sources told the news agency. Intel is expecting to sell the assets to private equity firm.

Intel Capital is the venture capital, merger and acquisition arm of the business, which was started in 1991. Since then it has invested more than $11.64bn in 1,440 companies across 57 countries. In 2015, it invested more than $514m in 143 companies.

The full story is here:

http://www.ibtimes.co.uk/intel-planning-sell-assets-venture-capital-arm-1bn-1549544

Reston, Va.-based StreetShares has closed on $4.5 million in new equity in the first tranche of its Series A round, Mr. Rockefeller told VentureWire. Financial-technology venture firm Fenway Summer, founded by Raj Date, former deputy director of the U.S. Consumer Financial Protection Bureau, is leading the round. Endeavor Equity Holdings and Pivot Investments also participated in the deal. The round is still open.

The story can be found here:

http://blogs.wsj.com/venturecapital/2016/03/14/streetshares-nabs-series-a-for-small-business-loans/

 

Evan Vitale – Thinking About A Career Change?

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By Evan Vitale

Are you thinking about a career change? Don’t worry, you’re in the same boat with a lot of people who are considering changing careers.

A friend of mine told me his brother has changed careers many times – mainly due to shifts in the economy and workplace. He started with a marketing degree; switched to real estate and then to working in a mortgage office. When the real estate market went belly-up, he went to sales and then opted to go back to school to become a nurse!

Some people may not like their current job situation and are looking for a fresh start. Regardless, you need to figure out what it is you enjoy doing. Try not to look solely at the financial improvements. Yes, we all would like to make more money, but we need to be happy when we get up in the morning and head to work.

Here are a few questions you can ask yourself when thinking of a career change:

– Why am I not happy/satisfied with my current career situation?

– What am I looking for in a possible new career?

– Are you looking to accomplish something?

– Is your current job situation causing you too much stress and worry?

Aside from your salary, the ideal career for most individuals is one that offers job satisfaction. People want to go home at the end of their work shift feeling like they have accomplished something. In addition, you need to have a good work-life balance with your career. Work hard, play hard.

If you are considering a change, one good step is to take some additional training or classes to see how you feel about a career shift. It might not be what you expected or, perhaps, taking a course or two might energize and excite you about the possibilities.

Stick with your current career situation while you are taking classes and training. Don’t turn in your resignation notice until you have a new career and employment in place.

Evan Vitale – Does Continuing Education Make A Difference?

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By Evan Vitale

Let’s say you have a great career, good job with a decent salary and benefits. So, should you think about continuing education courses or are they solely for individuals who are seeking job advancements or a career change?

Continuing education is not like a traditional educational situation. In many cases continuing education is required by some professionals in order to earn or maintain licensing (such as those in the medical field). Some general continuing education opportunities offer adult learning, basic courses, occupational training or GED training.

Here are some reasons why continuing education might make sense:

– Continuing education can help you in advancing your current job or in starting a new career. In some cases, earning advanced degrees through continuing education can help you move up the pay scale and increase your income. In addition, your employer may have programs in place to help pay for or off-set the costs of taking continuing education courses.

– Continuing education can also help you keep your skills current and up to date with new technology; ideas; trends and other factors. Keeping your skills up-to-date makes you more valuable to your current employer. It’s very similar to attending a business conference where you will learn what’s new in your industry and gain new ideas and information.

– Of course, by taking additional courses, continuing education can also be a start in possibly finding a new job or switching to a new career altogether.

– In addition, there are other “fun” opportunities available in taking continuing education courses. Many colleges and universities offer courses in photography, welding, wine tasting, cooking, etc. While these classes probably won’t help you advance your career, they will make sure that you’re constantly learning and growing.

So, you see, there are many advantages to continuing education. Check with your employer to see if they cover any of the fees and check with local schools to see what courses they have to offer.