Remove Dilution Remove Government Remove Revenue Remove Security
article thumbnail

Who are the Major Revenue-Based Investing VCs?

David Teten

So you’re interested in raising capital from a Revenue-Based Investor VC. A new wave of Revenue-Based Investors (“RBI”) are emerging. For background, see Revenue-Based Investing: A New Option for Founders who Care About Control. Rational burn profile, up to 50% of revenue at close, scaling down. Bigfoot Capital.

Revenue 60
article thumbnail

Startup Funding – A Comprehensive Guide for Entrepreneurs

ReadWriteStart

To secure your funding, you must establish the feasibility of your idea through proper planning and implementation. The primary source of your funds should be your paying customers, i.e., your business should generate enough revenues and profits to fund the growth and expansion. Government programs. Pre-Requisites of Funding.

Startup 150
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Second-Class Investor Citizens: Facebook’s IPO and Dual-Class Equity Structures

Gust

As a quick review, most startups begin life as corporations with a single class of equity securities, referred to as Common Stock , issued to founders, employees, and outside service providers. Options and warrants, when issued, are also typically exercisable for shares of Common Stock.

IPO 159
article thumbnail

How to Build a Healthcare Startup

Up and Running

Secure timely funding. Because of complex government regulations and a lengthy incubation period, funding a healthcare startup is more difficult compared to financing a tech startup. That’s why having a revenue-minded focus from the early stages helps to secure funding.

SBIR 73
article thumbnail

3 Things You Need to Know Before You Start Your Own Business

Transformify

Speaking of valuations, there are at least three avenues an entrepreneur can take to secure funding for her/his project. Your own savings and help from family and friends may be enough to develop an MVP ( a minimum viable product), launch it and start generating revenues. Grants & Government-backed loans. Bootstrapping.

article thumbnail

How to Fund a Startup

www.paulgraham.com

A lawyer I asked about it said: When the company goes public, the SEC will carefully study all prior issuances of stock by the company and demand that it take immediate action to cure any past violations of securities laws. There never has to be atime when you have no revenues. Whatkind of anti-dilution protection do they want?

article thumbnail

Crazy! 189 Answers To The Top Startup Questions On Your Mind

maplebutter.com

I would focus on one product and set a goal to generate $1M in yearly revenue from it. Outsourcing is something a big company, with a known customer / problem (that has revenue & traction) does to save cost. Government grants – Credit cards / debt. I have a proposal written up including full cost and revenue projections.