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INTERNET | Internet Software & Services / Advertising Network or Exchange
launchbit.com

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Founded Year

2010

Stage

Acquired | Acquired

Total Raised

$1.06M

About LaunchBit

LaunchBit is an ad network for email that helps advertisers reach target demographics through email channels, and helps email publishers monetize emails. The company has created a self-serve product for publishers called NewsletterDirectory (www.newsletterdirectory.co). Publishers can paste HTML into email templates to start running LaunchBit ads, then track results on the NewsletterDirectory website. Users can also bring up a list of ads that will potentially show up in newsletters and remove ones they donA¢t like.

LaunchBit Headquarter Location

317 S. 6th Street

Las Vegas, Nevada, 89101,

United States

Latest LaunchBit News

Meet Elizabeth Yin, the VC reforming the industry by openly sharing some of venture's ugliest secrets

May 6, 2021

Elizabeth Yin's Twitter is a sharp rebuttal to VC norms. "I just hated how all these VCs would put on a smile and grin, but you just never really knew what they were thinking," Yin told Insider. So the Hustle Fund cofounder took to Twitter to be brutally honest about venture capital. With her almost daily, extensive threads about the industry, Yin has earned a reputation among her 41,000 followers for saying what others are afraid to. It's a reflection of Yin's career, much of which has been spent trying to reform the venture industry. After selling her company LaunchBit in 2014, she began mentoring other startups through their fundraising process, quickly realizing that fundraising is "actually a pretty crummy experience for most people. "  She cofounded the Hustle Fund in 2019 as an antidote to this crumminess. The pre-seed firm invests in about 50 companies a year, with portfolio companies like Webflow and NerdWallet. Hustle Fund typically makes a decision within 48 hours of first meeting a founder and strives to support founders that are often overlooked — in the first fund, 38% of portfolio companies had at least one female cofounder and 17% have a Black or Latinx cofounder . The firm recently raised a $33.6 million second fund, with the goal of investing in 200 more companies. It's hard to separate the firm's success from Yin and her Twitter presence: Yin says over 50% of the pitch applications she and her partners receive come from Twitter in one way or another. This is great, according to Yin, because founders know what they're getting. Newsletter Email address By clicking ‘Sign up’, you agree to receive marketing emails from Insider as well as other partner offers and accept our Terms of Service and Privacy Policy . "Our tone on Twitter is fairly similar to what it would be like to talk with us," Yin said. "We are very direct and transparent. "  For social media, Yin said she and her partners follow two loose guidelines. First, they ask themselves, "Who are we as real authentic people? "  And then: "Put that on Twitter. "   Here's some of Yin's most influential threads:  1. She wouldn't have invested in her own startup Yin admitted something few founders ever would: as a VC, she probably would've passed on her own startup, LaunchBit. In a revealing thread, she explained how founders and investors have different incentives. While founders seek first and foremost to build great businesses, investors have to focus on what will give them the highest returns. This might mean prioritizing companies with the potential to be groundbreaking, at the expense of more stable, well-run startups. As Yin wrote, "Your best winners are not necessarily your best companies! "    2. VCs don't actually have much cash on hand  This thread covered a lot, with some of the replies heralding it as "Limited Partner 101." Yin broke down the finances of venture funds, explaining how they don't actually have millions on hand. Instead, most of the money is tied up for years with their limited partners, the people whose money VCs are investing. VCs will do regular "capital calls" to collect part of an investor's commitment. "I'm sure our founders' bank accts have MORE cash than we do at a given time," she wrote. "Isn't that nuts? "  Yin goes on to explain how expensive it is for venture firms to operate. Between things like management fees, legal costs, and accounting expenses, she said it's not uncommon for a $10 million fund to only have $7.5 million to invest. The rest of the 25-part thread covers recycling capital, the ways limited partners make money, and strategies VCs use to game growth metrics. 3. The truth about accelerators  One person called Yin's tweets on the topic of startup accelerators "the greatest thread on accelerators." She explored the less-discussed aspects of startup accelerators starting with the obvious pros: money, connections, and a cohort of founders to bond with. But then she opened up about the downsides. For people that want a quick injection of cash, she warned that many accelerators don't pay upfront. For people who want camaraderie, she wrote about how your peers turn into your competitors come demo day. And for people who just want structured time to bury themselves in work, she said it's actually a poor time to be "heads down," and that founders should use accelerators to constantly network. 4. Valuations are not about how much your company is worth  Sky high valuations may dominate the headlines, but Yin wants people to see past the smoke and mirrors. "It is NOT actually about your company's worth," she tweeted. In a twelve part thread, she explained exorbitant valuations. "Investors don't just naturally offer you a high valuation," she wrote. Instead, Yin said that founders get high valuations when "you have lots of investors circling AT THE SAME TIME." Founders need to utilize their network, get many VCs simultaneously interested, and create a sense of urgency, she said.

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