Remove Cofounder Remove Distribution Remove Early Stage Remove Valuation
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5 Equity Distribution Parameters For Key Contributors

Startup Professionals Musings

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a cofounder or two. Giving a cofounder a salary won’t get you the “fire in the belly” you want. Each cofounder should get equity for value, based on these key variables: Lived a key role in a previous startup.

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

The Startup Magazine

I will tell you brief details about seed stage funding, and deal sourcing on this page, so read the conclusion until the end. The following is a condensed explanation of seed funding: Seed money is a form of early-stage financing that new businesses receive from investors in exchange for a share of ownership in the company.

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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.

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How to Talk About Valuation When a VC Asks

Both Sides of the Table

I thought I’d write a post about how to talk about valuation at a startup and give you some sense of what might be on the mind of the person considering funding you. It’s not uncommon for a VC to ask you how much capital you’ve raised and what the post-money valuation was on your last round.

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What Happens When Startups Turn from Their Innovation Stage to Operational Excellence?

Both Sides of the Table

As an early-stage VC I love this phase. Sam also had a vision as early as 2012 about how MakeSpace would be a large employer of middle-income jobs: The company would hire employees rather than just have contractors and he would lead the effort to ensure they had opportunities for growth and benefits for their families.

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This Week in VC with Dana Settle of Greycroft Partners

Both Sides of the Table

Greycroft is an early-stage VC. Current round: $35mm in Series C (extension of Series B at higher valuation) from General Atlantic, Matrix Partners. Helps content publishers and advertisers launch campaigns that develop viral distribution attributes and therefore gain “buzz.”. Time will tell. Employees: 20.

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How and Why You Should Validate Your App Idea Before You Build

Up and Running

Early stage idea validation can be accomplished without building an application. Then, about two weeks before launch, I distributed a survey to those 256 partners. In other words, if the proposed solution has no proof of adoption, neither the customer, founder, co-founders or investors will benefit from the venture.