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Bad Notes on Venture Capital

Both Sides of the Table

On the phone … Me: So, you raised venture capital? “But lawyers will charge much more for equity.” Try doing THAT with equity. How about you close your first capital (say $500,000) and put in the docs that you have up to [90] days to raise an additional $1 million at the same price at your discretion.

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Revenue-Based Investing: A New Option for Founders who Care About Control

David Teten

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. RBI structures help to protect the equity of both founders and investors.

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SEC Defines Venture Capital

Venture Chronicles

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.

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Startups and VCs Should Avoid “Pier” Funding

Both Sides of the Table

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
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Bad Notes on VC

Gust

Me: So, you raised venture capital? But lawyers will charge much more for equity.” Try doing THAT with equity. How about you close your first capital (say $500,000) and put in the docs that you have up to [90] days to raise an additional $1 million at the same price at your discretion. On the phone …. Employment.

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This Week in VC Episode 6 with @Jason Calacanis: Best One Yet

Both Sides of the Table

Next Wednesday we’ll have Dana Settle of Greycroft Partners, a New York / LA early-stage venture capital fund. Often times when companies raise “bridgefinancing (this is money from internal investors. Short answer: no. They also avoid Reg D.

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