Remove Dilution Remove Due Diligence Remove Government Remove Syndication
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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

Coinvestors: Flexible VC terms have not been standardized, which may make the investment harder to syndicate. That said, Jonathan Bragdon, General Partner, Capacity Capital , points out that Flexible VC terms “twin” well with equity: providing less dilution while still providing investor assistance. . Governance. 2-6 months.

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How to Fund a Startup

www.paulgraham.com

Some angel investors join together in syndicates. Whatkind of anti-dilution protection do they want? The angel now owns 200/1200 shares, or a sixth of thecompany, and all the previous shareholders percentage ownershipis diluted by a sixth. Startups valuations aresupposed to rise over time. In the Bay Area its the Bandof Angels.