article thumbnail

Startup Capital: Feast or Famine?

Gust

For years there has been a pervasive opinion across the entrepreneurial landscape that the US has a shortage of capital required to startup and grow new ventures. Dr. Carl Schramm, Kauffman CEO , recently said that startup formation is stagnant or even decreasing in the US in the second half of 2011.

SBIR 120
article thumbnail

The Importance of Robust Angel Ecosystems

VC Adventure

I’ve always felt that a robust angel financing market was important to startup ecosystems and the data on the next two charts really brings that home. These data are specific to Colorado (since my presentation was to a CO audience) but the trend holds true across startup ecosystems.

Insiders

Sign Up for our Newsletter

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

article thumbnail

The 5 Key Stages of Equity Funding

Growthink Blog

Nevertheless, this is when you get the startup money to kickstart your business with the bare essentials needed to begin making and fulfilling your first sales. For most of my readers, the main concern will be preparing your business for angel financing until the time is right for venture capital.

Equity 88
article thumbnail

How do the sample Series Seed financing documents differ from typical Series A financing documents?

Startup Company Lawyer

In addition, I think that a “peace treaty&# between early-stage investors and startup companies on standard terms (at least at a term sheet level) is a step in the right direction. Certain angel investors refuse to do convertible debt deals, but will be okay if there is a price cap. Dividend preference.

Finance 70
article thumbnail

Why Co-Founders Are a Startup's Biggest Liability | The Startup Lawyer

thestartuplawyer.com

Contact The Startup Lawyer: Home Page About Contact FAQs Glossary Ryan Roberts Law: Home Page Social Networks: Facebook Twitter LinkedIn Flickr Delicious Digg Last.FM He obviously never launched a startup and got shafted by a co-founder. He obviously never launched a startup and got shafted by a co-founder.

article thumbnail

Should Investors in the Same Round of Financing Ever Get Different Prices?

Both Sides of the Table

I recently wrote about my views that startups rounds should be priced. If you do an uncapped note it’s bad for the investor. But Paul Graham really did have a point in his “ high resolution fundraising ” post – that there is a problem – particularly in angel financing – with herding cats.

article thumbnail

Who, When, and How Much? A Quick Introduction to Startup Financing

Gust

For a first time entrepreneur trying to figure out the arcane world of startup financing, it can be very confusing to understand the roles that different types of investors play in funding promising companies, as well as the point in a company’s life at which they enter the stage.

Finance 70