K9 Ventures

NOVEMBER 21, 2011

You raised a Series A round, a Series B round, and this year are just about to raise a big Series C round at a great valuation. And that too usually when there is sufficient investor demand for the next round, i.e. the leverage needs to be in the company’s hand (rather than investors) for any type of founder liquidity to even be an option.

Founder 87

Founder Common Stock Preferred Stock Stock 87

K9 Ventures

NOVEMBER 21, 2011

You raised a Series A round, a Series B round, and this year are just about to raise a big Series C round at a great valuation. And that too usually when there is sufficient investor demand for the next round, i.e. the leverage needs to be in the company’s hand (rather than investors) for any type of founder liquidity to even be an option.

Founder 84

Founder Common Stock Preferred Stock Stock 84

Professor VC

JULY 25, 2013

In investment parlance, it strictly means that new classes of stock have equal rights with prior classes in terms of liquidation preference, voting rights, etc. Their response was that we should be happy they didn''t ask for a participating preference on top of the seniority. Thank you sir, may I have another!"

Term Sheet 46

Term Sheet Silicon Valley Syndicate Syndication 46

Both Sides of the Table

FEBRUARY 14, 2016

I recently survey more than 150 VC friends from all stages and geographies what they thought about the market by asking “Which of the following statements best describes your mood heading into 2016?” ” “Mark has a vested interest in talking down valuations of startups.” What is the True Sentiment of VCs?

Valuation 150

Valuation Down Round Startup Later Stage 150

abovethecrowd.com

APRIL 20, 2016

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. The pressures of lofty paper valuations, massive burn rates (and the subsequent need for more cash), and unprecedented low levels of IPOs and M&A, have created a complex and unique circumstance which many Unicorn CEOs and investors are ill-prepared to navigate.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

The Equity Kicker

DECEMBER 30, 2013

Another example of optionality is cash held by a disciplined patient value investor with the temperament to not buy until Mr. Market is fearful. Seth Klarman, Howard Marks and other value investors use dry powder in the form of cash to harvest optionality since Mr. Market is bi-polar. Most venture capitalists employ this strategy.”.

Finance 129

Finance Liquidation Preference Valuation Harvest 129

Up and Running

MARCH 29, 2017

I focused on the product—making something better than anything else available on the market. See Also: Demand Validation: How to Find Out If Customers Want to Buy Your Product. Though term sheets are generally non-binding, you want to understand what you’re agreeing to, beyond just valuation and amount raised.

Term Sheet 60

Term Sheet Venture Capital Liquidation Preference Valuation 60