What Venture Capitalists Expect of E-Retailers

For the past two years, the venture capital spigot has opened again and more money has flowed into online retail companies and the businesses that support them. But it's been a measured flow, unlike the torrent of the late 1990s, when anyone who could type WWW got funding. Today's investors—venture capitalists, underwriters of public offerings and the public buyers of shares—are looking for substance and realistic outlook. This session will feature a venture capitalist who makes e-retailing investments and a retailer who recently received venture funding. They will discuss what investors are looking for in terms of existing profits and future profitability, which key metrics investors examine when investing in a web-oriented retailer, how those metrics differ from what they scrutinize in other companies, and what the prospects are for continued investments in online retailing ventures.