Slide 44 titled, "New Realities" has the following bullets:

o $15M raise @ $100M post is gone
o series B/C will be smaller raises
o customer uptake will be slower
o cuts are a must
o need to become cash flow positive

I know you said in a previous post that your portfolio companies didn't vary on revenue expectations outside the norm for Q3, and may have had more companies that exceeded, It would be interesting to post a response from your perspective on the "RIP" post.

I wonder, din't VCs give such type of advices all the time ? Or is it something new advice that is particularly for the current crisis.

In the context that Brad and Fred are talking about, capital efficiency is all about the value (and revenue) produced by a company that doesn't consume tons of cash to achieve its goals. One of the big failures of bubble-era startups was that they paid NO mind to capital efficiency. They thought nothing of burning through $500k a month prior to generating revenue or shipping product.

There are cost-effective ways to do things around development, web hosting, staffing, etc. that can save tons of money without limiting the ability of the team to execute. In times like these, the more efficient companies can be, the longer their runway and the more attractive the'll be for follow-on investment. This also means the company is more likely to be able to get to break even

A start up in the storage hardware space is unlikely to be all that capital efficient. They need a big office, a lab, expensive equipment, expensive, specialized engineers, etc. A web service company (like Filtrbox, for example) can be highly capital efficient because, today, there are powerful and cheap resources available. At Filtrbox, we use Cloud computing, open source software, best practices, and are very careful to no reinvent wheels already rolling. We invest in key areas but are always thinking "better, faster, cheaper".