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Seed Stage Funding 101: What it Is & How it Works

The Startup Magazine

Seed capital is a component of the initial investments made in young businesses. Some return value must be offered to the investors for startup seed funding to be considered acceptable. This could be a proportion of the company’s equity or investment; in other instances, it could be a portion of its later-stage profits.

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Why Startups Die

The Next Web

Andrew is the co-founder and CTO of Parse.ly , a technology startup that provides big data insights to the web’s best publishers. He wrote: When startups die, the official cause of death is always either running out of money or a critical founder bailing. Editor’s note: This is a guest post by Andrew Montalenti.

Cofounder 155
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Are You Waiting For Capital To Launch Your Startup?

YoungUpstarts

by Anand Srinivasan, founder of LeadJoint.com. Most businesses – online or offline, need seed capital to get established and without access to these funds, launching a business can seem like an improbable dream. Unless your business idea is to launch an oil rig, you do not need huge capital investments.

Cofounder 100
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The Silliness Of Recapping Seed Rounds

Feld Thoughts

A company raises $1m of seed money from angels in a convertible note with a $6m cap. Assuming equity is raised at or above that cap, the total dilution, before the new money, is 16.6% (equivalent to an equity financing of $1m at a $6m post money valuation. But in this cycle, I hadn’t seen it in a seed round.

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Crazy! 189 Answers To The Top Startup Questions On Your Mind

maplebutter.com

Outsourcing is something a big company, with a known customer / problem (that has revenue & traction) does to save cost. Whats is the best way to find a co-founder for your startup? Talk to your customers. However, one of my co-founders doesn’t seem to be as motivated as the rest of us.

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Quickly Unpacking Two Recent Acquisitions (of Cylance; of PlanGrid)

Haystack

Typically in M&A, all-cash offers are more common when the acquirer dwarfs the target in terms of market cap; otherwise, M&A usually involves stock in the mix, which leads us to believe Cylance wouldn’t have accepted anything but cash — which makes sense given the company was reportedly booking $130M/year with 3,500 customers.

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The Company Milestones Angel Investors Care About

Business Plan Blog

The most important principle of startup fundraising that every entrepreneur needs to know is: raise enough capital to achieve a set of milestones that will allow the company to attract the next round of investment. Below are the milestones that you will need to achieve in order to attract seed investment from Angels: Business Plan.