Basil Peters on Early Exits
For early-stage angel-backed deals it's been a measure of success when VCs come along and invest in the next round.
Angel investor Basil Peters suggests we re-think that outcome, "I think that there are things that have changed which angels should think carefully about, in developing the financing strategy for the companies in which they have invested and, even more importantly, to think about before they make their next angel investment".
As VC funds have grown to an average of $300 million, this means the math for each deal "increases the minimum exit valuation... probably into the hundred million dollar range". Angel investors will be waiting for years for these exits.
Basil discusses his new book: Early Exits, Exit Strategies for Entrepreneurs and Angel Investors (But Maybe Not Venture Capitalists). It'll make you think...
Show #227 (38:12) Listen
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Comments
Basil's interview, understated as always, was OUT of the PARK (great).
Posted by: Dave Berkus | April 28, 2009 03:08 PM
Fantastic interview, as always Frank! I think Basil solidifies some concepts that have been in mind for a while now. I've already ordered his book and look forward to reading more in depth.
Posted by: J Michael Smallwood | May 3, 2009 03:37 PM