Welcome to Exitround, the private, anonymous marketplace for founders to discreetly explore strategic acquisition opportunities. Exitround was created out of the current market need for founders of early stage tech startups to more easily evaluate all of their options when considering the next stage for their business.
There are hundreds, if not thousands, of smart, dedicated and hungry startup teams out there who are building incredible products. The large increase in early-stage funding over the past three years, without the commensurate increase of secondary stage dollars, has caused a disequilibrium in the funding lifecycle where dramatically more startups are competing for a relatively unchanged pool of venture dollars. Startup founders who are having difficulty raising a subsequent round face a series of options: extend their previous round, cut the burn and bootstrap, shut the doors, or occasionally consider a strategic acquisition by a complementary partner. This type of conversation with strategic acquirers is common for larger venture-backed companies, however, not as common or accessible for the large number of seed-funded companies out there. Exitround is the way for founders to more easily explore the strategic acquisition option.
Meanwhile, the search for strong talent has never been more intense. Large technology companies and growing startups are starving for talent. Because of this stretch for talent, many companies are looking to strategic acquisitions as the opportune way to bring in both high quality people, and strong teams with deep area expertise and a familiarity of executing together.
It is at the convergence of these widespread industry trends that Exitround was born.
Exitround is meant to be a place where founders can discreetly explore their strategic value by talking with potential acquirers. It is also meant to be a resource center to help provide more transparency into the entire acquisition process. There are resources ad nauseam teaching entrepreneurs how to fundraise, but there is very little information about the process, expectations, and potential outcomes of early stage tech startup acquisitions. Exitround will pull the covers off of this entire process through both online and offline content that will help educate founders on what to expect.
Lastly, Exitround is largely an experiment created by me, Jacob Mullins, from the acute needs that I’m personally seeing within the industry today. From my point of view in venture capital, daily do I talk to startups who come pitching me to raise a Series A, and I know how difficult it is. Daily, do I talk to our own portfolio companies who are simply can’t find enough great people. When actually, there are some incredibly smart people sitting across the table from me every day who could be a perfect addition to these teams. I’m trying to connect those dots, and in this case, those people, for the betterment of the employees, the investors and the founders. *Note: Exitround is completely independent from my role at Shasta Ventures; Shasta Ventures is not affiliated in any way with Exitround and there is no flow of information between the two entities.*
I hope it works; I’d love your feedback on the product, your questions on what you’d like to know about acquisitions, and generally any other input you have. Also, if you know a lot about acquisitions, I’d love to have you contribute your knowledge in blog or other format. Email me at firstname.lastname@example.org, tweet me @jacob.
Thank you for reading this and for exploring Exitround!