Remove Cost Remove DC Remove Finance Remove Vesting
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Founder's Dilemmas: Equity Splits

www.startuplessonslearned.com

Each founder places more value on his or her own contributions than on the contributions of the other cofounders,knowing the cost and extent of his or own efforts in a way that he or she cannot know the cost and extent of others’ efforts. But such a best-case approach is hazardous. Uncertainties abound. Uncertainties abound.

Equity 72
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New Plain Preferred Term Sheet

www.founderinstitute.com

He has been actively involved in merger, acquisition and disposition transactions with a combined value of over $1 billion, and financing/investment transactions and securities offerings worth over $600 million. Single trigger vesting , which allows founders to vest all of their equity and make money in an exit.

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The Option Pool Shuffle

venturehacks.com

Reading on, the term sheet states, “The $8 million pre-money valuation includes an option pool equal to 20% of the post-financing fully diluted capitalization.&# If you don’t keep your eyes on the option pool, your investors will slip it in the pre-money and cost you millions of dollars of effective valuation.