Book contents
- Silicon Valley Bank
- Silicon Valley Bank
- Copyright page
- Contents
- Figures
- Tables
- 1 The Bank for the Innovation Economy
- 2 The Origin of the Idea
- 3 Bank Atrophy and Outliers
- 4 The Stanford Professor and Two Bankers
- 5 Be Different from the Beginning
- 6 Against All Odds
- 7 Convincing the Banking Regulators
- 8 SVB Tech Lending and the Birth of Venture Debts
- 9 Leveraging the VC Relationships for Expansion
- 10 Into the Premature Future and Banks’ Almost Embrace of ESG
- 11 SVB’s Sudden Death and Lessons Learned from Banking Innovators
3 - Bank Atrophy and Outliers
Published online by Cambridge University Press: 08 February 2024
Book contents
- Silicon Valley Bank
- Silicon Valley Bank
- Copyright page
- Contents
- Figures
- Tables
- 1 The Bank for the Innovation Economy
- 2 The Origin of the Idea
- 3 Bank Atrophy and Outliers
- 4 The Stanford Professor and Two Bankers
- 5 Be Different from the Beginning
- 6 Against All Odds
- 7 Convincing the Banking Regulators
- 8 SVB Tech Lending and the Birth of Venture Debts
- 9 Leveraging the VC Relationships for Expansion
- 10 Into the Premature Future and Banks’ Almost Embrace of ESG
- 11 SVB’s Sudden Death and Lessons Learned from Banking Innovators
Summary
Medearis and his two cofounders of Silicon Valley Bank wished to tackle the antiquated banking practices that led to a massive reduction in the number of banks, the disappearance of community banks, and the mergers of Big Banks. Bank regulations and culture prevent banks from embracing tech startups and entrepreneurs as lending clients. The SVB founders knew about Bank of America’s abandonment of its early tech lending, missed opportunities, and bank failures to capture tech startups and entrepreneurs. The old, conservative banking environment during the early days of the tech sector presented the founders with an opportunity.
Keywords
bank atrophyhistory of bankingbank failuresSVBoutliersbanking systemcommercial bankcommunity bankindependent bankbanking regulationscollateralstartuphigh-growthintellectual propertyIP Venture LendingvaluationComericASquare 1VC DealsVCs’ Knowledgedue diligencenetworksIP proxywarrantssecurity interests in intellectual property
- Type
- Chapter
- Information
- Silicon Valley BankThe Rise and Fall of a Community Bank for Tech, pp. 40 - 77Publisher: Cambridge University PressPrint publication year: 2024