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Should You Offer Equity Compensation to Employees?

Up and Running

In 2005, David Choe was invited to paint a number of murals at Facebook’s HQ in Palo Alto. Of course, not every equity compensation story is a David Choe Story. If you’re thinking about extending equity to an employee or a vendor (as in the example above), you should know that the topic is multi-faceted. We’ll be happy to help.

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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

But this mania to not miss out on the next big thing is driving some investors to pay growth-equity prices for traditional market risk (as in, they’re paying up before it is clear there is product / market fit). And well they should be. And so on down then line.

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Who’s Your Daddy? 5 Lessons from GoDaddy

Growthink Blog

In 2005, GoDaddy.com became the world’s largest ICANN-accredited registrar on the internet. In 2011, 65% of the company was sold to a group of private equity firms for approximately $2.25 That changed in 2001, however, and GoDaddy.com quickly grew. The power of this brand has come from its extensive advertising.

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Connecting the Dots: How New Job Creation, IPO’s, and Venture Capital in America Are Intimately Linked

Pascal's View

The BDS series tracks the annual number of new businesses (startups and new locations) from 1977 to 2005, and defines startups as firms younger than one year old. The study reveals that, both on average and for all but seven years between 1977 and 2005, existing firms are net job destroyers, losing 1 million jobs net combined per year.

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What Everyone Should Take Away from Twitter’s 8% Staff Reductions

Both Sides of the Table

The truth is that the brutal reality of public markets is that they self correct much more quickly than our shitty little private equity illiquid corner of the universe. How highly valued (or over valued) was your last fund raising event and will it make it difficult to raise / will you need time to grow into your next round?

Burn Rate 150
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@altgate » Blog Archive » Outsourcing For Startups

Altgate

For example, you can barter for a service or you can negotiate payment terms or even equity for service. You can also get to know local media easily, they’re at the same events you are and generally speaking are very approachable. Please let me know when there are other events. To that I say baloney. … [.]

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Keep It Under Your Hat: Valuation Caps and the $650 Million Sale of MySpace for $125 Million

Gust

In brief, a cap acts to place a limit on the conversion price of a convertible note such that investors are guaranteed a minimum number of shares for their bridge loans if the startup does a priced equity round at a high pre-money valuation – “high” meaning above the cap, which is often a heavily negotiated term. (The of MySpace, Inc.