Remove Cofounder Remove Cost Remove Stock Options Remove Warrant
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How Early-Stage Startups Can Utilize the SVB Collapse as a Wake-Up Call

The Startup Magazine

By Daniel Sokolovksy, Co-Founder and CEO, WARP and Troy Lester, Co-Founder and CRO, WARP The dissolution of Silicon Valley Bank (SVB) was more than just a bank collapse, it was a reality check for both startups and the VCs that fund them. As a founder, ask yourself – does your business actually warrant VC funding?

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10 Tips for Startups Raising Money from Angels

VC Cafe

Are your costs per acquisition going up or down with scale? Management team that sounds and looks like they can execute the plan – if you didn’t finish building the team yet, make sure you have at least one co-founder with complementary skills. Bottom up is better than top down projections (i.e.

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Do It Right The First Time, Part II: Visit the Doctor or House Call?

Gust

Likewise, founders can benefit from understanding basic characteristics of the overall legal structure, formation and governance documents, rights and responsibilities of team members, etc. Determine who will serve on the Board of Directors and in executive officer positions (usually founders). Newco, Inc.”)

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How Startup Valuations are Driving Company Equity

ReadWriteStart

These characteristics, comparable to those found in the fixed income market, can convert into common stock, call clauses, and other features. Warrants are a kind of equity that are often attached to a corporate bond issuance or preferred stock to make the transaction more appealing to investors. Equity for Co-founders.

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The Option Pool Shuffle

venturehacks.com

If you don’t keep your eyes on the option pool, your investors will slip it in the pre-money and cost you millions of dollars of effective valuation. The option pool lowers your effective valuation. Do you mean the shares go to the founders? Don’t lose this game.