Conversion Deal Structure Entrepreneur Startup 
View from Seed
OCTOBER 21, 2014
As the seed-stage startup fundraise process has received more transparency in recent years, ranging from published advice on how to raise seed capital to increased availability through AngelList, Funders Club, and various accelerator programs, I’ve noticed another trend emerging. Lower-Than-Market Value. Above-Market Value.
David Teten
OCTOBER 1, 2015
I’ve seen a range of options for supporting entrepreneurs, which I can rank from least to most involvement in companies by investors: financier VCs, e.g., Correlation Ventures. How would one set up such a startup to eventually raise capital from outside VCs, who will be wary of ‘dead equity’ (i.e., mentor VCs, e.g., most VCs.
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Startup Professionals Musings
SEPTEMBER 14, 2010
Remember a term sheet agreement is not a deal until the check clears. Entrepreneurs sometimes assume an initial agreement with an angel is a commitment, so they start spending before any money is received. However, there is no set pattern of terms an entrepreneur might be able to anticipate from an angel, either. Marty Zwilling.
Startup Professionals Musings
JANUARY 27, 2012
Remember a term sheet agreement is not a deal until the check clears. Entrepreneurs sometimes assume an initial agreement with an Angel is a commitment, so they start spending before any money is received. However, there is no set pattern of terms an entrepreneur might be able to anticipate from either. Anti-dilution protection.
Genuine VC
JULY 30, 2012
Sharing these expectations early in potential lead investor discussions fundamentally qualifies the conversations, but it also runs the risk of prematurely losing a potential financing partner or reducing options to maximize a financing process outcome. By definition, all entrepreneurs should think that their endeavor is truly exceptional.
A Smart Bear: Startups and Marketing for Geeks
JUNE 27, 2011
Most entrepreneurs would love to be in a position to have to decide! There are plenty of folks who wouldn’t sell their company for a billion dollars; Jason Fried and Joel Spolsky are public examples from the bootstrapped startup world. That means you have to be that sure that that’s the number, regardless of deal structure.
Gust
OCTOBER 5, 2011
Last week , we gave some attention to the “why” behind convertible note financing for early stage startups. In this installment, I’ll dig into the “how” by dissecting an example term sheet based on a real deal. These deal terms are simple but significant. This paragraph is the heart of the whole deal.
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