New Venture Capital Rules, AI Biotech Investor Survey, Instagram Ads Case Study • TechCrunch

When a cat is scared, it may hide under the couch; a surprised fish will swim in a black hole. And when humans feel uncomfortable, we tell stories.

An example: “Growth at any cost” is a fairy tale made possible by the cheap money that has helped venture capitalists set expectations for founders – and each other – for years.

“Growth at any cost” is a fairy tale made possible by the cheap money that helped VCs set expectations for founders — and each other.

Likewise, “everyone needs 18-24 months of trail” is a nice motto, but when it takes three times longer to lift a tower than it used to, that might not be helpful advice anymore. .

“These ‘VCisms’ born out of an era of abundance have permeated boardrooms and investor meetings everywhere,” Neotribes Ventures partner Rebecca Mitchem notes in a TechCrunch+ post this morning.

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“It’s time to ask ourselves if these VCisms are still relevant or if it’s time for a change.”

In a data-driven article that examines post-money valuations, deal sizes and dilution rates dating back to 2012, Mitchem says we are now heading into a new era where the tech industry will embrace “growth at reasonable costs”.

Founders can continue to water down their ownership by pursuing big rounds, or they can decide to grow more slowly, which will leave everyone involved with a bigger stake over time.

“While it may seem counterintuitive, given the recent market environment, the value of equity for all parties – investors, founders and employees – is higher in the more conservative growth scenario,” says Mitchem. .

Thank you very much for reading TC+ this week,

Walter Thompson
Editorial Manager, TechCrunch+

6 investors explain why AI is more than just a buzzword in biotech

Digital image of artificial intelligence human brain on black background.

Picture credits: Andriy Onufriyenko (Opens in a new window) /Getty Pictures

Biotech companies are widely using AI and machine learning to reduce R&D expenses and get products to market faster, but “the biggest question for investors is to better understand what exactly AI is trying to do.” to model and predict,” says Shaq Vayda, director at Lux Capital.

In her latest investor survey, Anna Heim spoke to six biotech investors about AI creating value, near-term market shifts, and how they would like to be approached by founders:

  • Robert Mittendorff, MD, General Partner and Head of Healthcare, B Capital
  • James Coates, Head of Health and Human Performance, Decisive Point
  • Shaq Vayda, Director, Lux Capital
  • Franck Lescure, Partner, Elaia Partners
  • Francisco Dopazo, General Partner, Humboldt Fund
  • Sarah Guo, Founder, Conviction

Which Instagram ad placement is the most profitable: Reels, Feed Posts or Stories?

Row of ice creams with different amounts of scoops

Picture credits: Jonathan Knowles (Opens in a new window) /Getty Pictures

Consumer-facing startups are spending more on platforms like TikTok and Instagram to reach customers, but which advertising products offer the best return?

In a case study based on Instagram campaigns for a site that facilitates bookings for independent beauty professionals, digital marketer Angelina Liparteliani examined Instagram Reels, Feed Posts and Stories.

Her very detailed breakdown includes examples of ads used in various campaigns, the process she used to optimize creative media, and a cost-per-click analysis that shows how she reduced CPC from $1.51 to 17 cents. .

“Certainly don’t chase trends,” advises Liparteliani. “Diversify your advertising strategy, test different ideas, and don’t give up if your ad doesn’t deliver results immediately.”

Pitch Deck Teardown: MedCrypt’s $25 Million Series B Deck

Picture credits: Medcrypt (Opens in a new window)

Many medical devices are just as vulnerable to cybersecurity threats as other IoT products, which is why Y Combinator graduate MedCrypt creates software to protect patients.

The company predicts manufacturers will need to secure $1 trillion in “new and legacy” devices over the next three years, a truly tantalizing TAM.

After drafting some customer adoption details, the founders of MedCrypt shared with TC+ the 12-slide deck that helped them raise $25 million in Series B:

  • cover slide
  • problem slide
  • Target Audience/Market Size Slide
  • Opportunity Slide
  • mission slide
  • Product Slide: Vulnerability Tracking
  • Product Slide: Behavior Monitoring
  • Product Slide: Cryptography
  • Product slide: MedISAO
  • Team slide
  • Summary/traction slide

Dear Sophie: When can I register my employee for the H-1B lottery?

Lone figure at the entrance to the maze hedge which has an American flag in the center

Picture credits: Bryce Durbin/TechCrunch

Dear Sophia,

We are a pre-seed startup considering sponsoring a first employee’s H-1B visa to stay in the United States and work for us.

How does the process work?

— Research in San Mateo

A guide to navigating your first 90 days as a new CISO

Red color navigation compass on red background directly above view.

Picture credits: Mirage C (Opens in a new window) /Getty Pictures

I’m used to working under pressure, but accepting an information security manager position seems extremely stressful: people are much more likely to learn of your failures than your successes.

Managing an entire organization’s cybersecurity needs is “a big job that touches just about every part of the organization,” says Heather Gantt-Evans, CISO at SailPoint.

She has written a guide for incoming CISOs that contains a framework for setting goals, creating action plans, and most importantly, documenting risks.

“The first 90 days of a new CISO’s tenure are critical,” writes Gantt-Evans. “They’re the best chance you’ll ever have to research, gather documentation, and assess where things stand and how they can be improved.”

In a turbulent market, it’s time to be methodical about sales

Teacher preparing pencils for the school day;  align the product team with the product vision

Picture credits: Pierre Dazeley (Opens in a new window) /Getty Pictures

Many SaaS sales teams haven’t worked in an environment where so many customers are cutting back, and it shows: when everyone is in the mood to buy, it’s less important to develop a critical understanding of customer needs. your client.

“Sellers shouldn’t jump right into adding features,” advises Steve Goldberg, chief revenue officer at Salesloft. “They should illustrate the unsustainable nature of a customer’s current behaviors and processes.”

In this article, Goldberg looks at MEDDPICC and design thinking, two sales methodologies that are “particularly effective when times are tough.”

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