Remove Conversion Remove Finance Remove Liquidation Preference Remove Product
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Praying to the God of Valuation

Both Sides of the Table

Sure, we built SaaS products before the term even existed but at 31 it was hard to delineate reality from what all of the monied people around us were telling us what we were worth. In those years I learned to properly build product, price products, sell products and serve customers. Until we weren’t.

Valuation 466
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Founders – Use Your Down Round To Clean Up Your Cap Table

Feld Thoughts

Much of it is very short term focused and, like a giant tractor beam, draws the conversation into a very short time horizon (as in days or weeks). Pragmatic cost cuts are always possible and often productive.” I suffered through the next financing after implementing a complex structure, or a sale of the company, or a liquidation.

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Should Entrepreneurs Attend Business School?

Up and Running

Between my experiences as a management consultant, as well as my product and marketing roles at multiple tech companies, I felt that I had enough operational experience to make that leap sooner than later. Additionally, I had already studied Economics and Finance during undergrad, making the academic part of an MBA seem a little redundant.

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Should you raise traditional VC or Revenue-Based Investing VC?

David Teten

Revenue-Based Investing (“RBI”) is a new form of VC financing, distinct from the preferred equity structure most VCs use. This includes the application process, phone calls with us, conversations with co-founders, investors and counsel, etc. But this is the same for a VC round with a liquidation preference.

Revenue 60
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Working for Equity Instead of Cash

genylabs.typepad.com

If we mention a product or service that we received for free or other considerations, we will note it. I wont bother going into details on start-up financing terms ( see this post for an overview of typical VC terms) except to say if you dont know and understand: the firms cap table and valuation. Small Business Blogs. Business Models.

Equity 40
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Thoughts on Convertible Notes

K9 Ventures

The convertible note was really intended as an instrument for a “bridge financing” – when an equity round was imminent, and likely to occur, but the company needed some money in between. In that case, it made good sense to have a debt instrument, where the note holder then converted into equity when the financing occurred.

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What Are the Rights of Minority Stockholders?

Scott Edward Walker

Delaware law, however, recognizes a “futility” exception and excuses demand if the stockholder alleges particularized facts creating a reasonable doubt that the directors are disinterested and independent or that the challenged transaction “was otherwise the product of a valid business judgment.”