Question:* What is an Exit Strategy?
Answer: • The method by which a venture capitalist or business owner intends to get out of an investment that he or she has made in the past.
Question:* What's the "DA" stand for in EBITDA?
Answer: • Depreciation and Amortization
Question:* What does it mean to be oversubscribed?
Answer: • More investors want to invest than you have room for in your round
Question:* What's CoCA?
Answer: • Cost of Customer Acquisition
Question:* What is a split test?
Answer: • Testing a variety of single-variable samples against one another in order to improve response rates
Question:* Entrepreneurs who operate a self-financed startup without external fundraising are said to be?
Answer: • Bootstrapping
Question:* What is a Cap Table?
Answer: • A breakdown of who owns what in the business
Question:* In start ups, the term "M&A" refers to:
Answer: • Mergers and Acquisitions
Question:* What is a convertible note?
Answer: • A debt financing in which the debt converts to equity at a future equity financing
Question:* What does "ramen profitable" mean for a startup?
Answer: • Makes just enough to pay the founders' living expenses
Question:* What is Due Dilligence?
Answer: • Process of vetting a business's financial information, team, and other important information that may influence the outcome of an investment.
Question:* What is one of the differences between a trademark and a patent?
Answer: • Trademarks, unlike patents, can be renewed forever as long as they are being used in business.
Question:* What does the legal acronym DBA traditionally stand for?
Answer: • Doing Business As
Question:* What does IPO stand for?
Answer: • Initial Public Offering
Question:* If you get $10,000 for 10% of your company, your company valuation is...
Answer: • 100,000
Question:* Which of the following isn't part of the traditional Marketing Mix?
Answer: • Partners
Question:* An entrepreneur who continually comes up with new ideas and starts new companies is considered a:
Answer: • Serial entrepreneur
Question:* What is "sweat equity"?
Answer: • A party's contribution to a project in the form of effort - as opposed to financial equity
Question:* What's the classic 80/20 rule (the Pareto principle) with regards to marketing?
Answer: • 80% of your profit comes from 20% of your customers.
Question:* What is an Incubator?
Answer: • Provides workspace, coaching, and support to entrepreneurs & early-stage company's.
Question:* What does the term "priced round" mean?
Answer: • An equity financing in which the company and investors agree on a pre-money valuation
Question:* Sequoia is a(n):
Answer: • Venture Capitalist group
Question:* What is a seed round?
Answer: • First investment round that 'seeds' the company's financials.
Question:* What is a sole proprietorship?
Answer: • A business owned and operated by one person.
Question:* What does CRM stand for?
Answer: • Customer Relationship Management
Question:* How many owners may an LLC have?
Answer: • Unlimited
Question:* Which of the following is NOT a recognized entrepreneurial influencing skill?
Answer: • Criticism and punishment
Question:* An Entrepreneur is a person who
Answer: • Takes a risk to found a company in pursuit of profit
Question:* What is the Valley of Death in regards to fundraising?
Answer: • time between first investment and first profits
Question:* True or False: In a limited partnership the day-to-day operations are controlled by general partners and funded by limited or silent partners who are legally responsible for losses based on the amount of their investment.
Answer: • True
Question:* What is attrition?
Answer: • A reduction or decrease in numbers, size, or strength of a start up company.
Question:* What is the primary difference between angels and venture capitalists?
Answer: • Angels invest their own funds, venture capitalists invest others funds
Question:* Which company did Larry Page co-found?
Answer: • Google, Inc.
Question:* What does it mean to "syndicate" an investment?
Answer: • To have multiple companies or groups participate in a single investment round and share diligence findings.
Question:* Which type of venture exit typically has the largest payoff for founders and investors?
Answer: • IPO
Question:* What are the "Three F's" of early-stage financing?
Answer: • Friends, Family, and Fools
Question:* Which of the following involves the least outside capital coming into the company?
Answer: • Bootstrap
Question:* For a company that runs a free web app, which of these metrics would be described as a vanity metric?
Answer: • Total registered users
Question:* The idea "fail fast, fail often" refers to?
Answer: • Lean startup philosophy
Question:* Sole proprietorships and LLC's are similar in that they:
Answer: • allow for pass-through taxation
Question:* What is "deal fatigue"?
Answer: • The negative signaling effect of trying to raise money for a very long time.
Question:* How is the post-money valuation of a company determined?
Answer: • Pre-money valuation plus the invested funds
Question:* What is a "discount rate" on a convertible note?
Answer: • A risk premium of additional equity for earlier investors.
Question:* What does "MVP" stand for in Lean Startup methodology?
Answer: • Minimum Viable Product
Question:* What is Guy Kawasaki's famous 10/20/30 rule?
Answer: • 10 slides, 20 minutes, 30 point font
Question:* The challenge of "crossing the chasm" refers to reaching which group of customers?
Answer: • Early majority
Question:* What is the maximum number of shareholders an S corporation may have?
Answer: • 100
Question:* What is another word/term for using feedback from users to improve your product/service?
Answer: • Customer Development
Question:* According to Dave McClure of 500 Start-ups, what three people does every tech start-up need?
Answer: • Hustlers, Hackers, Designers
Question:* What legal entity is the most Venture Capital friendly?
Answer: • C-Corp
Question:* An investment "term sheet" establishes the basic terms and conditions of an investment and is:
Answer: • Sometimes legally binding but usually is not
Question:* What type of branding is considered the default "brand architecture" and is used by most entrepreneurs?
Answer: • Corporate branding
Question:* For high-growth ventures, which series of funding is typically used for sales acceleration and marketing over initial product development?
Answer: • Series B funding and beyond
Question:* What's a "full ratchet"?
Answer: • A deal term used by investors to prevent dilution
Question:* Which of the following is NOT a benefit of registering a trademark?
Answer: • Retain the moral rights (control of modification)
Question:* What is the name for an initial time period during which employee stock options are not vested called?
Answer: • cliff
Question:* Developing a new idea by thinking without constraints is?
Answer: • Big-Dream Approach
Question:* Which of the following is an online Q&A video platform available for Entrepreneurs?
Answer: • Foundation
No comments:
Post a Comment