First-check myths, checklist for moving to Miami, standout SaaSy startups

This seems like a good time to start a SaaS startup, but the landscape is full of well-designed apps that promise “lightning-fast and wonderfully simple” experiences, according to John Chen, seed investor at Fika Ventures.

Most SaaS launches fail, but not due to a sour marketing campaign or server downtime. The majority of these companies fall victim to what Chen calls the “smooth onboarding myth”.

Despite the hype about usability, companies always ask their customers to give up familiar tools so they can learn something new.

“Just like a new fitness program, participants feel good after a workout, but it takes a lot of activation energy to get started and hard work to get there,” notes Chen.

Full Extra Crunch items are only available to members
Use the discount code EC Friday to save 20% on a one or two year subscription

Instead of getting customers to roll up their sleeves, he suggests that SaaS startups learn from the cryptocurrency culture and find ways to “motivate users to do the work it takes to get the right experience”.

But how can you get users to invest the time and effort it takes to get the best customer experience?

“In a world where there is a surplus of alternatives for every task to be done, content, tools or hacks and tricks are not scarce resources,” says Chen. “It’s attention.”

We have Monday, May 31st, off to remember Memorial Day. I wish you a relaxing weekend!

Walter Thompson
Senior Editor, TechCrunch
@ Your protagonist

Break down the myths surrounding raising your first check

Full length side view of young woman carrying a large pink block against white background

Credit: Klaus Vedfelt (opens in a new window) / Getty Images

As startups and venture capital grow at the same time, fundraising has moved from being a formal affair on Sand Hill Road to a process that can happen anywhere from Twitter to Zoom.

The story goes on

While fundraising may no longer require a trip to California, it may depend on whether or not you received an invitation to a private audio app. And while you don’t have to be an insider, second founders – mostly men and whites – still have a competitive advantage.

The increasing complexity of fundraising offers the opportunity to make technology either inclusive or exclusive.

VC is the eye-catching gold medal, but the rapid growth of aspiring fund managers means a first check can be compiled from multiple sources. The funding options seem endless: syndicates, public crowdfunding, VC firms, accelerators, leverage, rolling funds, and, for the few, profitable bootstrapping.

Doximitys S-1 could explain why healthcare drains are warming

Credit: Nigel Sussman (opens in a new window)

The telemedicine startup Doximity applied for an IPO today. Specifically, the company has not raised funds since 2014, a year that it raised nearly $ 82 million at a value of $ 355 million, according to PitchBook data.

How did she manage not to collect money for so long? By making and benefiting a lot of money over the years. As it turns out, healthtech communication can be a lucrative endeavor.

What Vimeo’s growth, profit and value say about the online video market

Credit: Avishek Das / SOPA Images / LightRocket via Getty Images

The spin-off of the video platform Vimeo from IAC was completed this week, and the smaller company is now trading as a separate entity under the ticker ‘VMEO’.

If you missed the news that the internet company is bringing out the video service, don’t feel bad. it slipped past many radars. With the company acting now, with access to its historical results, and with our minds still intrigued by YouTube’s recent financial performance for Alphabet, it is well worth taking a moment to digest the health of the company.

Flywire’s IPO suggests the IPO slowdown is behind us

Credit: Nigel Sussman (opens in a new window)

Flywire’s initial public offering is neat and notable from a financial standpoint as it is an exit from Boston as opposed to another IPO in New York or San Francisco. It’s nice to see several other cities writing dots on the board.

Additionally, this IPO is a useful benchmark for keeping track of the entire IPO. This year and last will be important exit periods for startups and unicorns of all shapes and sizes. Many venture capital fund returns are based on these public debuts.

Dear Sophie, are there unique immigration strategies for a quick hiring?

lonely figure at the entrance to the maze hedge with an American flag in the middle

lonely figure at the entrance to the maze hedge with an American flag in the middle

Credit: Bryce Durbin / TechCrunch

Dear Sophie,

I am recruiting for tech startups. With an increase in VC investments, many startups are urgently hiring new employees.

Which visas offer the fastest options for international talent? Are there any unique strategies that we would recommend to you?

– Outsiders in Milpitas

7 questions to ask yourself before moving your startup to Florida

A pastel gradient photo of an Art Deco building in Miami

A pastel gradient photo of an Art Deco building in Miami

Credit: Artur debate (opens in a new window) / Getty Images

Cities like Miami, Pittsburgh, and Austin have been drawing talent and wealth from Silicon Valley for years, but the COVID-19 pandemic accelerated the trend.

In the past few months, many investors and entrepreneurs have traveled loudly to Miami, citing the area’s favorable business climate and quality of life.

It’s always good to think about your options, but before renting a moving truck for the Sunshine State – or an emerging tech hub – business owners should ask themselves some basic questions.

Samir Vasavada, CEO of Vise, and Shaun Maguire of Sequoia explain the art of pitch

Credit: Sequoia Capital / Wolfe + Von / TechCrunch

In just a few years, Vise has evolved from starting on the Disrupt Battlefield stage to being a unicorn. Co-founders Samir Vasavada and Runik Mehrotra met Sequoia’s Shaun Maguire at an after-party at the event, and Maguire eventually led a seed and Series A round while Sequoia led the Series B.

Last week, Vise increased its Series C for $ 65 million and was officially valued at $ 1 billion upon receipt of funds.

We spoke to them about the early fundraising process for Vise, what Vasavada learned about running a good fundraising pitch, and what stands out about the pitch and product for Maguire.

Acorns’ SPAC listing shows a consumer fintech business with a SaaSy revenue mix

Credit: Nigel Sussman (opens in a new window)

Another day, a new public offering for unicorns.

On Thursday it was Acorns, a consumer fintech service that combines saving and investing in a freemium product.

Acorns fits in with the bigger savings and investment boom of the past four or five quarters when consumers, hit by the economic changes caused by COVID-19, decided to hold onto cash and increase their frequency of stock investments to rise.

This is old news by now, but we don’t have a clear picture of the economics of fintech startups in the consumer space accelerated by the pandemic. Now that Acorns has decided to list a SPAC – more on that in a moment – let’s do it.

Bad onboarding is the enemy of a good attitude

Image of a person speaking to two colleagues using video conferencing.

Image of a person speaking to two colleagues using video conferencing.

Credit: Olga Strelnikova (opens in a new window) / Getty Images

The world of hybrid work is here, and the usual 10-minute intro call, swagbag and team lunch on the first day are not enough to make your new hire feel welcome.

While many companies have found a way to interview and select candidates in a completely remote setting, few have devoted the time and resources to adapting the pre-boarding and onboarding process to the new hybrid world of work. Despite our completely different work environment, many employers still rely on the old way of hiring new employees.

It is important to harness the enthusiasm and zeal of candidates from the time the offer is signed, rather than signing up on day one, as first impressions can determine or influence a candidate’s chances of staying with a company.

Comments are closed.