.Net Dilution Equity Government 
Startup Professionals Musings
SEPTEMBER 27, 2023
Make sure the government waits for a stock sale to collect taxes. This is called stock dilution control. While new equity owners always have to get it from someone, actual re-allocation of existing shares should be based on a formula to maximize the value of your remaining founder shares. In the U.S.,
This is going to be BIG.
JANUARY 18, 2024
On the other hand, they could be the opposite—much more focused on near-term cash distributions than long-term equity appreciation. The first thing you need to get straight with a high net worth individual—what is their return expectation? Can they lose this money? How long do they think it will take to make a return if there is one?
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Startup Professionals Musings
NOVEMBER 8, 2021
This usually means not taking money from equity investors, since investors want fast growth, high profits, and an exit event, to allow investments to be recouped. Under all of these, net income flows easily into your personal income. Non-equity funding has to come from personal sources, or government grants, or bank loans.
David Teten
AUGUST 19, 2019
This structure offers some of the benefits of traditional equity VC, without some of the negatives of equity VC. I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. Benefits: Non-dilutive, flexible credit offerings that fit SMB or enterprise SaaS. to 3.0x.”. “We
Startup Professionals Musings
JANUARY 26, 2019
This usually means not taking money from equity investors, since investors want fast growth, high profits, and an exit event, to allow investments to be recouped. Under all of these, net income flows easily into your personal income. Non-equity funding has to come from personal sources, or government grants, or bank loans.
Berkonomics
JULY 16, 2020
It may not be equity. Venture or angel-financed companies with plenty of working capital sometimes are immune to this working capital need for some time into their growth, but at some point, it will become clear that the cheapest form of finance is not equity in a growing enterprise. Back to loans costing less than dilution of equity.
Startup Professionals Musings
OCTOBER 10, 2013
This usually means not taking money from equity investors, since investors want fast growth, high profits, and an exit event, to allow investments to be recouped. Under all of these, net income flows easily into your personal income. Non-equity funding has to come from personal sources, or government grants, or bank loans.
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