Both Sides of the Table
JUNE 5, 2015
The truth is that I’ve been warning about convertible notes since 2010 it was first declared that “convertible notes have won.” In the old days there usually weren’t convertible notes on early-stage deals and there weren’t party rounds with 20 angels or 6 seed funds. How much is in the option pool?
Tim Keane
JANUARY 12, 2010
Bottom Up Market Sizing » January 12, 2010. Please see later version of this post on May 16, 2010 Entrepreneurs are often not experts in the area of term-sheet negotiations and all of the surrounding issues. A cumulative dividend can get to be very expensive and is not often a feature in early stage terms.
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Professor VC
JANUARY 17, 2008
At a $1 million, pre-money, with an investment of $500K, that would leave 67% of the company for the founders and initial option pool. Keeping this simple with no employee option pool and just founders and investors, investors would hold 60% at this point (20% for angels and 40% for VCs) and founders would have 40%.
www.startupnorth.ca
OCTOBER 23, 2010
But for every founder, there is an early employee that takes near equal risks in joining an early-stage company. Remember the goal is to incent early employees to have an emotional ownership of the product and company they are building. Darmesh Shah has a great list of insights for employees joining early stage companies.
venturehacks.com
FEBRUARY 24, 2010
Breakups are hard If you’re going to fall out with your co-founder, do it early, recover the equity into the option pool to keep the company going, and recruit someone else great to fill the missing slot. Reply # Melanie Curtiss · May 5, 2010 Thank you for this blog post. Grow VC > Blog - Jan 2, 2010 [.]
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