article thumbnail

What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

by Michael Woolf that is worth any startup founder reading to get a sense of perspective on the reality warp that is startup world during a frothy market such as 1997-1999, 2005-2007 or 2012-2014. (it is also the title of a fabulous book from Internet 1.0 And you risk “trading while insolvent” which has legal implications.

Burn Rate 383
article thumbnail

Shark Tank 2012 Holiday Episode Breakdown

Lightspeed Venture Partners

Although Sharktank has been running reruns on Fridays the last few weeks, the show ran a Sharktank 2012 Holiday special on Tuesday night. Banks often have operating covenants for their loans that require the company to be hitting plan, or close to it.

Covenant 153
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Who are the Major Revenue-Based Investing VCs?

David Teten

Like other RBI firms, Decathlon does not require warrants, governance involvement, or the types of financial covenants that are often associated with other venture debt type solutions. Lighter Capital : “Since 2012, we’ve provided over $100 million in growth capital to over 250 companies.”

Revenue 60
article thumbnail

Liquidity for Venture Backed Companies Still Comes Largely in One Flavor—Cash Acquisitions

Pascal's View

My concern, based on my direct experience negotiating half a dozen acquisitions sine 2008 (three in 2012), both inside and outside of technology, is that the negotiating environment for such ‘ acquisition-ready ’ companies is fraught with challenge from the seller’s perspective.

article thumbnail

How should I finance my new venture? - Startups and angels: Along.

Tim Keane

  Appropriate covenants.   Appropriate covenants. October 2012. Possibilities: 1.    If plenty of cash flow regardless of plan for sale/retention of business: Senior bank debt based on cash flow coverage and new assets.  Maybe Small Business Administration guaranteed loan. Possibilities: 1. 

Finance 83
article thumbnail

The Community Comeback: 14 Ways Local Leaders Are Reshaping America

YoungUpstarts

There’s a new baseball stadium on the waterfront, and since 2012, the Double-A team the Blue Wahoos have drawn more than 300,000 fans per year to Pensacola. Pensacola used a Covenant for the Community to guarantee that contractors would use local minorities in the revitalization of downtown. percent growth.

America 100
article thumbnail

How to Negotiate a Partner Role at a Venture Capital or Private Equity Firm

David Teten

– Restrictive Covenants (nonsolicitation and noncompete restrictions). Union Square Ventures ( [link] ). The Palico newsletter of April 12, 2016, included the citeable paragraph below on compensation: THE FOUNDERS OF PE FIRMS SHOULD BE MORE GENEROUS. . – Membership on investment committee (voting rights, etc.). name of the Fund).