Both Sides of the Table

SEPTEMBER 18, 2014

On the phone … Me: So, you raised venture capital? It’s like we need a finance 101 course for entrepreneurs. In finance they call it “terminal value” but the truth is the price is as arbitrary at your A round as it is at your seed round. “But lawyers will charge much more for equity.”

Venture Capital 417

Venture Capital Liquidation Preference Valuation Term Sheet 417

David Teten

AUGUST 19, 2019

Does the traditional VC financing model make sense for all companies? I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. I believe that Revenue-Based Investing (“RBI”) VCs are on the forefront of what will become a major segment of the venture ecosystem.

Revenue 60

Revenue Term Sheet Founder Technical Review 60

Both Sides of the Table

MAY 15, 2010

Next Wednesday we’ll have Dana Settle of Greycroft Partners, a New York / LA early-stage venture capital fund. Often times when companies raise “bridge” financing (this is money from internal investors. Doxo (November 2009 financing, just announced in May 2010 as company exited stealth mode).

Stealth 285

Stealth SEC Advertising Accredited Investor 285

Venture Chronicles

NOVEMBER 22, 2010

The SEC fulfilled their obligation under the Frank-Dodd financial reform bill and defined what venture capital is. Represents itself to investors as being a venture capital fund. Bridge financing. Treasury securities with a remaining maturity of 60 days or less, or cash. debt) prove to be onerous.

Venture Capital 49

Venture Capital SEC Redemption Bridge Financing 49

Both Sides of the Table

MAY 23, 2010

Often when startups who have raised venture capital need another round of financing they will turn to their existing investors to give them money before raising from outsiders. a loan) that is later converted to equity at the time of the next financing. It starts as a debt instrument (e.g.

Startup 290

Startup Burn Rate Warrant Bankruptcy 290

Gust

SEPTEMBER 17, 2014

Me: So, you raised venture capital? It’s like we need a finance 101 course for entrepreneurs. In finance they call it “terminal value” but the truth is the price is as arbitrary at your A round as it is at your seed round. But lawyers will charge much more for equity.” On the phone …. We raised a seed round.

Liquidation Preference 153

Liquidation Preference Valuation Term Sheet Stock 153