Remove Bridge Financing Remove IP Remove Marketing Remove Stock
article thumbnail

Bad Notes on Venture Capital

Both Sides of the Table

It’s simply what a market is willing to pay based on a future belief that your company will grow and non-linear rates and be worth much more in the future. 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. Stock Option plans.

article thumbnail

Bad Notes on VC

Gust

It’s simply what a market is willing to pay based on a future belief that your company will grow and non-linear rates and be worth much more in the future. 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. Stock Option plans. Cashflow projections?