SoCal CTO
SEPTEMBER 27, 2011
I was asked by a reader how much equity he should give out to early employees and to service providers in a very early stage startup. The first few people into a startup are on a spectrum of founder vs. early employee. I've talked about this topic before in How Investors Think About Valuation of Pre-Revenue Startups.
Steve Blank
MARCH 16, 2016
There are many reasons to found a startup. There are many reasons to work at a startup. To most founders a startup is not a job, but a calling. But startups require money upfront for product development and later to scale. Traditional lenders (banks) think that startups are too risky for a traditional bank loan.
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Agile VC
APRIL 17, 2011
AGILEVC My idle thoughts on tech startups. Now that Google’s acquisition of ITA is closed, following lenghty FTC review, it would appear Kayak is poised to proceed with their IPO in the coming months. =. paying for travel data from ITA or others (customers acquisition spend is not included in COGS). Series A-1 Preferred.
Both Sides of the Table
SEPTEMBER 16, 2010
As I’ve highlighted I believe we’re in a unique period similar to 2005-08 where the biggest tech firms of Silicon Valley (and some media companies) are scooping up small software companies as “talent acquisitions&# versus accretive revenue / profit generators. Tags: Startup Advice Tech Market Analysis VC Industry.
Both Sides of the Table
MAY 13, 2013
For the past 5 years or so Google, Facebook and a handful of tech industry giants have been quietly buying scores of early-stage startups for their talent. But the press (and I suspect many of the senior execs of these companies) don’t really explore the corrosive downside of these acquisition. Go do a startup.
Gust
MAY 24, 2012
As a quick review, most startups begin life as corporations with a single class of equity securities, referred to as Common Stock , issued to founders, employees, and outside service providers. In the case of an acquisition, the shares are tendered for cash and/or stock in the acquiring company.).
Feld Thoughts
FEBRUARY 9, 2016
Mark Suster wrote a great post yesterday titled The Resetting of the Startup Industry. I’ve seen every imaginable type of liquidation preference structure, pay-to-play dynamic, preferred return, ratchet, share/option bonus, option repricing, and carveout. Go read it now – I’ll wait.
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