Remove Cofounder Remove Common Stock Remove Conversion Remove Finance
article thumbnail

Flexible VC, a New Model for Companies Targeting Profitability

David Teten

(co-written with Jamie Finney, Founding Partner at Greater Colorado Venture Fund. From RBI, Flexible VCs borrow the ability to reap meaningful returns without demanding founders build for an exit. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad.

article thumbnail

Should Entrepreneurs Attend Business School?

Up and Running

Additionally, I had already studied Economics and Finance during undergrad, making the academic part of an MBA seem a little redundant. C Corp versus LLC, non-competes, liquidation preferences, preferred versus common stock, and so on). This can be particularly important for founders with “non-traditional” career backgrounds.

Insiders

Sign Up for our Newsletter

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

article thumbnail

Everything You Ever Wanted to Know About Convertible Note Seed Financings (But Were Afraid To Ask) – Part 1

Scott Edward Walker

Introduction We are in the golden age of seed financing. Venture capital funds, seed funds, super angels, angel groups, incubators, and “friends and family” are all playing the seed financing game and investing early in startups in an attempt to land the next Facebook. Why Can’t a Startup Issue Shares of Common Stock to Investors?

article thumbnail

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

thestartuplawyer.com

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. He obviously never launched a startup and got shafted by a co-founder. You can start by examining every aspect of the co-founder relationship.

article thumbnail

Want to Raise Venture Capital More Easily? Clean Up Your Own Shite First

Both Sides of the Table

Liquidation preference is the amount of money that an investor gets paid before the common stock (e.g. management, founders, angel investors) get any money. And it sometimes it creates “ flat spots &# where some investors become indifferent to the ultimate price you sell your company between wide ranges of outcomes.

article thumbnail

8 Hard-Earned Insights Into Raising Startup Capital

ReadWriteStart

Gina Mancuso , Founder and CEO of LoveThatFit. Now, we’re focusing early conversations intently on our strategy for winning and our progress thus far, which gives investors a clearer picture of who we are and where we’re headed.” Avichal Garg , Co-Founder and CEO of Spool. Justin Beck , Co-Founder and CEO of PerBlue.

Cofounder 140
article thumbnail

Everything you ever wanted to know about advisors: Part 2.

venturehacks.com

If an advisor can uncork a million dollars of your company’s latent value with 15 minutes of conversation or a single introduction, you should pay him appropriately. 0.25% of a company’s post-Series A stock. Advisory shares are normal common stock. Normal advisors The normal advisor gets 0.1%-0.25%