Gust

SEPTEMBER 5, 2012

How to finance a new seed-stage startup? Convertible debt? Convertible equity? As of August 2010, Paul Graham famously proclaimed , “Convertible notes have won. Every investment so far in this YC batch (and there have been a lot) has been done on a convertible note.”

Finance 134

Finance Convertible Security Equity Seed Stage 134

Hippoland

AUGUST 31, 2018

He has done incredibly well financially on his past two startups, and he’s now building his 3rd company. The outcomes of both companies, are of course, unknowable, but that is essentially what goes through the minds of investors who are looking at lots of companies with different valuations. This was surprising to me.

Pre-Money Valuation 90

Pre-Money Valuation Valuation Silicon Valley Early Stage 90

Hippoland

MAY 16, 2018

I put “equity” in quotes because I include convertible notes and convertible securities in this category.) This is both greater risk and reward – pre-seed funds can gain more ownership in companies by putting more money into the businesses at lower valuations. So we see higher valuations in this space.

Seed Stage 48

Seed Stage Valuation Convertible Security Equity 48

Hippoland

MAY 16, 2018

I put “equity” in quotes because I include convertible notes and convertible securities in this category.) This is both greater risk and reward – pre-seed funds can gain more ownership in companies by putting more money into the businesses at lower valuations. So we see higher valuations in this space.

Seed Stage 48

Seed Stage Valuation Convertible Security Equity 48

Hippoland

AUGUST 31, 2018

He has done incredibly well financially on his past two startups, and he’s now building his 3rd company. The outcomes of both companies, are of course, unknowable, but that is essentially what goes through the minds of investors who are looking at lots of companies with different valuations. This was surprising to me.

Pre-Money Valuation 48

Pre-Money Valuation Valuation Silicon Valley Early Stage 48