Posts by: David Skok

About David Skok

David is a serial entrepreneur who founded a total of four companies, and did one turn-around. In 2001, he joined Matrix Partners, who had backed his last two startups, as a VC investor. Successful exits as a VC include: HubSpot, JBoss, AppIQ, Tabblo, Netezza, Diligent Technologies, CloudSwitch, TribeHR, GrabCAD, OpenSpan and Enservio. David currently serves on the boards of Atomist, CloudBees, Digium, Meteor, Namely HR, Salsify, and Zaius.

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Here are my most recent posts

Overview The old formula that everyone uses for customer lifetime value (LTV)) –average gross profit per customer divided by churn – ceases to work properly when you have very long customer lifetimes and negative churn. LTV can become infinite, which clearly doesn’t reflect reality. This post offers a new way to...

The competition for hiring the best top talent in startups has never been higher. The best people are almost never on the market, so it’s imperative to develop recruiting processes to find and sell passive candidates. It may take months or years of relationship building with these candidates to find the right moment...

Last week I posted the results from Part 1 of our survey in which 300+ SaaS companies shared data on their growth and go-to-market strategies. This week I’m sharing the results from Part 2 of the survey where we compare application delivery methods, operational costs and gross margins, contract terms, churn rates,...

For the fourth year in a row, we worked together with Pacific Crest Securities, an investment banking firm with a specific focus on SaaS, to survey 305 SaaS companies. This survey represents deep benchmarking data and insights on the growth and operations of the companies in this space. I want to extend my personal...

We’re excited to share the forEntrepreneurs SaaS Survey Infographic, which highlights major parts of this year’s SaaS Survey results. With all the data in the survey to help SaaS companies benchmark their growth, we thought it would be useful to show the major insights in a more graphical form. For the full results and...

Hello, and welcome to the re-designed forEntrepreneurs blog site!   We’ve updated the design of the forEntrepreneurs blog site in an effort to bring you the same in-depth content and resources but with an improved experience. I wanted to make it easier for you to browse and find what you’re looking for, especially...

This article was originally published as part of a series of posts on GigaOm. In my two previous blog posts, I’ve discussed the first two of three key phases in a startup life cycle: finding a product/market fit, then determining a repeatable and scalable sales model. Once you’ve determined that the sales funnel...

This article was originally published as part of a series of posts on GigaOm. Different phases of a startup’s lifecycle require different approaches to spending. In my previous post, I talked about the first phase: finding product/market fit. I described how entrepreneurs should have a laser-like focus on finding it,...

This article was originally published as part of a series of posts on GigaOm. As a VC and five-time entrepreneur, I frequently see two common mistakes being made by startups: Companies spend too much attempting to grow the business when it’s not ready for such growth; or Companies don’t spend enough money when the...

An Interview with Andrew Quinn of HubSpot Having a high performing team means: Hiring the right people Creating a structure and culture for them to do great work Equipping them with the knowledge and skills to work effectively These first two topics have received a lot of attention in the startup community. In fact,...

It’s just after the end of a quarter, and for VC’s that means many board meetings to review how portfolio companies have performed. Over the years of doing this, I’ve been shocked and surprised how many times I’ve seen good companies with great product/market fit miss their sales targets for an incredibly avoidable...

I used to believe that there were two critical startup skills: 1. Building a great product that has clear product/market fit. 2. Building a sales and marketing machine. I would argue with my partner at Matrix Partners, Antonio Rodriguez about whether you could get away with just having a great product. Or whether you...

  The following is an example of a Hiring Scorecard, which was put together as an example for a blog post on recruiting. It shows the scorecard that was used to hire a Matrix Partners Associate. Mission Lead proactive research, investigation, and analysis of specific sectors identified by the partnership.  Create a...

Survey results from 342 B2B SaaS companies on key inside sales metrics including group structure, ramp and retention, quota and compensation, activity & technology and leadership. Intro The SaaS model has become mainstream, and is everywhere. Gone are the early fears of data privacy and security, and now even late...

Consumer VCs like to make light of the Founders Fund mantra ‘We wanted flying cars, instead we got 140 characters.’ For those of us working in the enterprise, it’s actually the reverse, “They promised us 140 characters, instead we got Workday.” Since 2010, SaaS applications were supposed to “consumerize”, but...