Both Sides of the Table

FEBRUARY 17, 2011

million and you’re an early stage business this is probably a fair deal. You’re offered a $9 million pre-money to raise $3 million (e.g. 5 million raised at a $9 million pre-money valuation or 35.7% What might future markets hold in terms of valuations? 25% dilution).

Pre-Money Valuation 303

Pre-Money Valuation Dilution Valuation PR 303

Professor VC

JANUARY 17, 2008

Thursday, January 17, 2008. The theme of the event was angel investment trends for 2008. Again, I see nothing wrong with this, although entrepreneurs often prefer convertible debt as it defers the valuation discussion and leaves the Series A price for the venture firm to set. ProfessorVC. The last blogger in Silicon Valley.

Pre-Money Valuation 28

Pre-Money Valuation Angel Investor Angel Groups Valuation 28

Gust

OCTOBER 20, 2011

This method compares the target company to typical angel-funded startup ventures and adjusts the average valuation of recently funded companies in the region to establish a pre-money valuation of the target. In most regions, the pre-money valuation does not vary significantly from one business sector to another.

Valuation 146

Valuation Pre-Money Valuation Intellectual Property Technical Review 146

Both Sides of the Table

SEPTEMBER 5, 2012

A standard entrepreneur retort I heard back then (2008-09) was “I don’t know what my company is worth now. ” And some seed stage investors told me, “I prefer not to fight over price now. .” You rarely find full ratchets in early-stage deals any more. That’s not possible.

Ratchet 354

Ratchet Liquidation Preference Equity Stock 354

Professor VC

FEBRUARY 12, 2015

It''s previous financing round was a little over a year prior to the IPO and was a $8M raise at a $60M pre-money valuation led by John Doerr of Kleiner Perkins. Those that managed companies in 2008 or thirteen years ago in 2001 know exactly how fear feels. or a market cap of $800M. And this is not it." igthwghjg2q2g8hu4).

Las Vegas 28

Las Vegas IPO Pre-Money Valuation Valuation 28

Both Sides of the Table

FEBRUARY 25, 2010

million at a $15 million pre-money valuation. We had people hearing through the grapevine that we were about to raise money and new investors started calling us to get in on the deal. Any deal – ANY DEAL – that was pre 9/11 was suddenly in question. History repeated itself in September 2008 with that market crash.

Technical Review 301

Technical Review Term Sheet Due Diligence Venture Capital 301

dondodge.typepad.com

JANUARY 15, 2011

Community is more powerful than money or technology » August 11, 2007 How much equity for investors and employees? Entrepreneurs face some pretty tough questions at a very early stage. Should I take Angel or VC money? How much money should I raise? How much equity should I grant to early employees?

Equity 40

Equity Employee Dilution Valuation 40

www.currentlyobsessed.com

MAY 28, 2010

I unexpectedly found that it was more helpful to think about the company valuation as an output variable in the fund-raising equation. It hardly deserves any attention at all in the early stages. For some closing thoughts, I’ll just add that: Valuation tends to be too much of a focus for most early stage companies.

Valuation 42

Valuation Channel Pre-Money Valuation Term Sheet 42