Dear Reader,
Welcome to the 32nd edition of the good reads newsletter by Malpani Ventures. Sharing your weekly dose of articles for this weekend’s reading!
The Insider’s Guide to Data Rooms: What to Know Before You Raise
https://a16z.com/2022/08/25/the-insiders-guide-to-data-rooms-what-to-know-before-you-raise/
Your startup is raising funds. You prepare a deck, practice your pitch, and start reaching out to investors. If a first meeting goes well, it often ends with a request to share your “data room.” But what is a data room, and what should be included in it? This post helps demystify.
Is my business ready for venture funding?
Mandatory plug :)
Dhruv answers the most fundamental question plaguing early-stage founders. Did you know Zomato and PolicyBazaar took 8 & 12 years respectively to cross Rs 800 cr (or $100mn) in revenues? That too despite raising a ton of money. This also shows us the reality that not every business requires venture funding, and shouldn’t run behind it.
Modern Software Moats
Software is still eating the world, but with the influx of free capital and the rise of me-too products, the importance of defensibility is more than ever. A wonderful essay by Canaan investor Nandu Anilal unpacks the 7 powers or moats in the context of modern software.
Until next time!