Both Sides of the Table

JULY 29, 2010

The A round was done in February 2000 (end of the bull market) and my B round was done in April 2001 (bear market). Mike Stern (wasn’t sure which one so leave a comment if it’s you): Q: “is it possible to sell your startup without venture investment if the company has big traction and a large user base?&#

Venture Capital 282

Venture Capital Term Sheet Valuation Stock Options 282

Ben's Blog

JULY 16, 2013

If you run a startup and are currently raising money, you probably planned for a somewhat different fundraising environment than the one you find yourself in today. 3/30/2001: 26.3. They might have said something ridiculous like: “Based on the current price of the preferred stock, your offer is already worth $5M.”

Down Round 78

Down Round Marketing Preferred Stock Post-Money Valuation 78

Ben's Blog

JULY 16, 2013

If you run a startup and are currently raising money, you probably planned for a somewhat different fundraising environment than the one you find yourself in today. 3/30/2001: 26.3 In fact, if you are like most companies, your managers probably implied to your employees that your stock price would only rise as long as you were private.

Marketing 46

Marketing Preferred Stock Post-Money Valuation Down Round 46

Startup Company Lawyer

FEBRUARY 21, 2010

Due to aggregate liquidation preferences that may exceed the acquisition price in an M&A deal, common stock may be rendered worthless. If you can’t figure this out yourself, you should probably build a liquidation preference spreadsheet to model how liquidation preferences work depending on M&A transaction value.

Retention 31

Retention Liquidation Preference Employee Common Stock 31