Both Sides of the Table

NOVEMBER 29, 2010

We went “nuclear&# and slimmed down to 33 people (yes, I know, still large by today’s standards but this was 2001), raised $10 million and we built a real company. I learned everything I know about startups in these lean years: 2001-2004. Even better if he/she can double as a VP Operations & HR.

Warrant 333

Warrant Germany France Cost 333

Both Sides of the Table

SEPTEMBER 18, 2014

If you want to give them a 50% discount offer them $1 of common-stock warrants (no liquidation preference) for every $1 of stock they buy. If you want to give them a 33% discount you offer them half of a $1 common-stock warrant for every $1 share they purchase. You’ll find out the minimum when the next round is raised.

Venture Capital 417

Venture Capital Liquidation Preference Valuation Term Sheet 417

YoungUpstarts

FEBRUARY 17, 2014

Go to extreme measures if (but only if) the situation warrants it. In 2001, drawing on their respective years of experience in senior global leadership at Motorola, Julie Miller and Brian Bedford joined forces to establish MillerBedford Executive Solutions. Image: Wikipedia].

Warrant 154

Warrant Forecast Leadership Global 154

Both Sides of the Table

MARCH 11, 2010

It places undue pressure early in the company’s history to “do big things&# when sometimes what is warranted is more prudence. But there are also problems / risks: - the funding environment might change dramatically – there may never be a next round (see: March 2000, September 11, 2001 and September 2008). -

Venture Capital 319

Venture Capital Startup Silicon Valley Warrant 319

The Startup Magazine

AUGUST 11, 2017

Here at The Startup Magazine , we don’t typically “do” press releases, but occasionally an item comes to us that warrants including it in the magazine. I truly owe them everything, and my love and gratitude toward them know no bounds.”

Illinois 77

Illinois Chicago Entrepreneur Cofounder 77

Gust

SEPTEMBER 17, 2014

Me: Raising convertible notes as a seed round is one of the biggest disservices our industry has done to entrepreneurs since 2001-2003 when there were “full ratchets” and “multiple liquidation preferences” – the most hostile terms anybody found in term sheets 10 years ago. You’ll find out the minimum when the next round is raised.

Liquidation Preference 153

Liquidation Preference Valuation Term Sheet Stock 153

Both Sides of the Table

FEBRUARY 17, 2011

I do not endorse raising $5 million for a business that doesn’t yet warrant it. As anyone raising money in April 2000, September 2001 or September 2008 can tell you that. . &# In other words, if optimizing around a $1 million fund raise or a $1.5 million I’d raise the larger amount but spend like you raised $1 million.

Pre-Money Valuation 303

Pre-Money Valuation Dilution Valuation PR 303