Startup Professionals Musings

JANUARY 27, 2012

When a company is at its earliest seed stage, the terms tend to be the least complex. As the company grows and the second or third group of investors comes in, the terms of each subsequent financing grow in size, scope, and the number of lawyers’ fingerprints on them. Seat on the board. Outline multiple tranches.

Term Sheet 223

Term Sheet Pre-Money Valuation Due Diligence Post-Money Valuation 223

Startup Professionals Musings

SEPTEMBER 14, 2010

When a company is at its earliest seed stage, the terms tend to be the least complex. As the company grows and the second or third group of investors comes in, the terms of each subsequent financing grow in size, scope, and the number of lawyers’ fingerprints on them. Seat on the board. Outline multiple tranches.

Term Sheet 227

Term Sheet Pre-Money Valuation Due Diligence Post-Money Valuation 227

Gust

OCTOBER 17, 2011

When a company is at its earliest seed stage, the terms tend to be the least complex. As the company grows and the second or third group of investors comes in, the terms of each subsequent financing grow in size, scope, and the number of lawyers’ fingerprints on them. Seat on the board. Outline multiple tranches.

Term Sheet 158

Term Sheet Pre-Money Valuation Due Diligence Post-Money Valuation 158

Scott Edward Walker

SEPTEMBER 21, 2011

If you’re an entrepreneur looking for seed capital, but don’t know any sophisticated angel investors, you need to hustle and build relationships in order to get “warm” introductions. This approach will keep the financing relatively simple and inexpensive and will defer the company’s valuation (i.e.,

Preferred Stock 45

Preferred Stock Angel Investor Entrepreneur Common Stock 45