Both Sides of the Table

APRIL 14, 2010

If you want to raise venture capital more easily the advice could be quite practical and counter-intuitive. Many companies that are raising B or C venture capital rounds right now raised their initial money in 2005-2008. Tags: Entrepreneur Advice Raising Venture Capital Start-up Advice Startup Advice.

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Venture Capital Liquidation Preference Common Stock Pre-Money Valuation 289

Duct Tape Marketing

MARCH 6, 2024

John (11:44): I think of a lot of venture capitals that often talk about, they bet on 10 companies kind of almost with the hope that one's going to be a unicorn, knowing that seven are going to fail. So there's lots of things we can learn and those are really important dividends from any failure.

Software Review 72

Software Review Dividend Technical Review Silicon Valley 72

Startup Professionals Musings

MAY 30, 2020

Even if you are no longer a student, or not enrolled now, it can pay big dividends to get to know people there and explore the possibilities, including the following: Potential to get technical work done as a class project. Find technical and legal guidance and advisors.

Arizona 310

Arizona Intellectual Property Accredited Investor Dividend 310

Both Sides of the Table

SEPTEMBER 27, 2012

Recently I wrote a post arguing to make the definition of a Startup more inclusive than that to which Silicon Valley, fueled by Venture Capital return profiles, would sometimes like to attach to the word. Or the huge dividends that Santa Barbara got from building GoToMeeting that sold for a nice price to Citrix. Maker Studios.

Community 378

Community San Diego Silicon Valley Los Angeles 378

Scott Edward Walker

JULY 7, 2011

Introduction This post originally appeared in the “ Ask the Attorney ” column I am writing for VentureBeat ; it is part of my ongoing series regarding venture capital term sheets. Founders should also try to limit the redemption price to an amount equal to the investment — and push back hard on any cumulative dividends.

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Term Sheet Redemption Venture Capital San Francisco 49

Tim Keane

JANUARY 12, 2010

  I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.]   First , dividends.   A cumulative dividend compounds annually.

Term Sheet 68

Term Sheet Valuation Dividend Pre-Money Valuation 68

Startup Company Lawyer

MARCH 14, 2010

If you don’t, please educate yourself on this site, Venture Hacks and the term sheet series by Brad Feld/Jason Mendelson, among other places. If you really want to understand the nuances in venture capital financing documents, please review the NVCA model venture capital financing documents. . under $500K).

Finance 70

Finance Software Review Term Sheet Liquidation Preference 70

Berkonomics

FEBRUARY 3, 2022

There are clauses in preferred stock investment agreements allowing the investor in many cases to “put” the shares back to you at the purchase price plus dividends or more after a period, usually five years, if no effort is made to find a buyer or begin the IPO process. A personal experience that relates.

Liquidity Event 62

Liquidity Event Preferred Stock Dividend Equity 62

David Teten

JANUARY 21, 2021

V: Should you raise venture capital from a traditional equity VC or a Revenue-Based Investing VC? GCVF is pioneering the future of venture capital and high growth startups for all small communities. II: Who are the major Revenue-Based Investing VCs? IV: Should your new VC fund use Revenue-Based Investing?

Equity 78

Equity Revenue Cofounder Colorado 78

Duct Tape Marketing

JULY 27, 2023

Or you get sent an email saying, we're gonna pay a dividend soon. And you're like, dividend. Ben Young (21:06): Yeah, there's, there's a good question around performance and there's a lot of analysis on venture capital as a sector and usually like it's between 15 and 27% return year over year. Ben Young (21:04): Yeah.

Cofounder 57

Cofounder Artificial Inteligence New Zealand Analytics 57

Altgate

OCTOBER 8, 2009

Tips: $75 HOT All-Hands Team Meeting Board Management Tips For Startup CEOs Customer Support 2.0 Tips: $75 HOT All-Hands Team Meeting Board Management Tips For Startup CEOs Customer Support 2.0 Bookmark the permalink.

Term Sheet 39

Term Sheet Technical Review Michigan Liquidation Preference 39

Both Sides of the Table

APRIL 25, 2011

This thinking is largely driven by the venture capital industry (and subsequently Wall Street) who are in search of high margin, highly scalable businesses. I gave them advice I don’t think they were expecting from a VC, “Don’t raise venture capital for this business. This team is talented. interest?

Silicon Valley 332

Silicon Valley IP Dividend Finance 332

Startup Professionals Musings

MAY 1, 2016

Even if you are no longer a student, or not enrolled now, it can pay big dividends to get to know people there and explore the possibilities, including the following: Potential to get technical work done as a class project. Find technical and legal guidance and advisors.

Intellectual Property 120

Intellectual Property Accredited Investor Entrepreneur Incubator 120

The Next Web

SEPTEMBER 13, 2013

The venture capital landscape in Asia is varied and complex, as most of the active firms on the continent are concentrated in just a few areas. In order to help those looking down this path, I’ve mapped out what startups should expect in the process and how to come out on top. Where are all of the VCs in Asia?

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Asia Silicon Valley India Term Sheet 132

This is going to be BIG.

MAY 16, 2014

Maybe there''s a dividend that starts kicking in. Venture Capital & Technology' We don''t know the terms of this deal. If the company is getting preferred shares, they''re also the first money out--so they don''t need it to be worth $10 billion to get their return. You don''t know. That''s an intelligent conversation.

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Valuation Dividend Venture Capital Revenue 122

YoungUpstarts

OCTOBER 19, 2018

They may be entitled to dividends or regular payments out of your profits as well as a large payout if you ever sell. Venture Capital. Venture capitalists have more stringent requirements for investing, and small businesses often don’t qualify. Private Investors.

Finance 138

Finance Equity Vesting Dividend 138

Both Sides of the Table

AUGUST 3, 2009

I recently appeared on Fox Business News covering the topic of raising Venture Capital. not a business in which you have profits of $1-2 million / year paid in dividends). If you’re in the market or thinking about VC in the future the following video may be of interest to you – click here to view.

Dividend 210

Dividend Venture Capital Social Network Portfolio 210

ithacaVC

MAY 1, 2013

I read an article this morning in DealBook titled “ In Venture Capital Deals, Not Every Founder Will be a Zuckerberg “ Go ahead and give it a read. The article states “When venture capitalists invest, they typically demand preferred shares that accrue a yearly dividend of about 8 percent.

Dividend 45

Dividend Liquidation Preference Common Stock Venture Capital 45

Startup Company Lawyer

AUGUST 31, 2012

” The theory is that the number of seed stage Series A deals led by venture capital firms is decreasing, meaning that it will be difficult for startups to raise a new round of financing. As a result of this risk, some people like Adeo Ressi, have declared that 2011 will be the “ year of the startup default.”

Convertible Security 73

Convertible Security Equity Security Preferred Stock 73

Steve Blank

JANUARY 21, 2013

Jim Hornthal splits his time between venture capital, entrepreneurship and education. Don’t underestimate the undergraduates; in fact, the potential dividends of their academic prowess, augmented by their hard fought real-world experience makes them all formidable opponents.

Lean 282

Lean Cofounder Dividend Business Model 282

Startup Company Lawyer

MARCH 12, 2009

Thus, the earnings of a C corporation are generally taxed twice: once at the corporate level on the corporation’s taxable income and a second time at the stockholder level on dividends or distributions. In addition, C corps often must pay higher state franchise taxes than LLCs or S corps.

LLC 61

LLC Stock Options Preferred Stock Stock 61

Both Sides of the Table

JANUARY 1, 2016

So spending time thinking about what your leadership style is, whether it’s effective and what you could do to improve it can yield dividends. We’re a national venture capital investment firm but with our roots firmly in Los Angeles. It’s a new year – 2016. WYSIWYG (what you see is what you get).

Leadership 150

Leadership Southern California Hiring San Diego 150

Growthink Blog

DECEMBER 13, 2017

This frothiness, when coupled with very low yields on cash instruments, makes it far easier for more speculative investment propositions, like angel, venture capital, and private equity investments, to be evaluated on their individual merits versus more of a blanket “risk anxiety” as is typical in more normal markets.

Marketing 59

Marketing Malaysia Indonesia Private Equity 59

Steve Blank

MARCH 22, 2009

Steve my name is Donald xx, and I’m the head of external affairs of the CIA’s venture capital firm and we’d like you to keynote our conference.” So I gave my “ The Secret History of Silicon Valley ” talk as the keynote to the CIA’s venture capital conference. Do you mean the Culinary Institute of America?

Silicon Valley 247

Silicon Valley Thailand RSS Venture Capital 247

The Startup Lawyer

MARCH 1, 2010

The Amended and Restated Certificate of Incorporation includes the typical provisions you might find in a VC deal, less (i) preferential dividends, (ii) redemption rights, and (iii) price based anti-dilution. The Series Seed Documents include: (1) Amended and Restated Certificate of Incorporation. 3) Investors’ Rights Agreement.

Preferred Stock 79

Preferred Stock Term Sheet Redemption Registration Rights 79

Duct Tape Marketing

JULY 26, 2018

Rand Fishkin: I think one of the challenges is that Silicon Valley startups are built for a very specific asset class, venture capital, which is an asset class that’s designed to invest in 100 companies and three or four of them will return the entire fund and another 10 will be doing okay.

Silicon Valley 33

Silicon Valley SEO Startup Technical Review 33

The Startup Magazine

AUGUST 18, 2018

The only disadvantage with this setup is the issue of double taxation in case you want to distribute dividends from leftover profits. Also, a C-Corporation is widely recognized and allows for an unlimited number of shareholders. Get your documents in order.

Limited Liability Company 62

Limited Liability Company LLC Bankruptcy Vesting 62

Scott Edward Walker

SEPTEMBER 14, 2011

Introduction This post originally appeared in the “ Ask the Attorney ” column I am writing for VentureBeat ; it is part of my ongoing series regarding venture capital term sheets.

Term Sheet 76

Term Sheet Due Diligence Liquidation Preference Redemption 76

ithacaVC

FEBRUARY 23, 2011

Note that MCOPs are rare when the company is young and has only raised a limited amount of venture capital – no need yet for the carve out as the founders still own a large chunk of the company (thankfully). A few key points to consider: 1.

Liquidation Preference 55

Liquidation Preference Management Preferred Stock Dividend 55

Babbling VC

NOVEMBER 5, 2009

It's not about earning dividends for me. When this happens, we all generate the type of returns necessary for venture capital backed businesses. I want a piece of a big pie. It's not about earning money for you (at least not short-term). What we together have to do is grow a business which sells itself.

Equity 60

Equity Hockey Stick Germany Dividend 60

VC Cafe

SEPTEMBER 26, 2022

2021 gave us plenty of examples for bad governance in both startups and venture capital. Be intentional about building your team’s culture – it will not only pay dividends in the long run, but also help you filter for fit in hiring and improve employee retention.

Founder 187

Founder Startup Valuation Pre-Money Valuation 187

Up and Running

OCTOBER 13, 2014

I introduce this topic with that reworked joke because so many people say “venture capital” when they really mean “angel investors” or “outside investors.” ” Venture capital is very specialized. There are about 500 venture capital firms in the U.S. Do you have questions about venture capital?

Venture Capital 117

Venture Capital Angel Investor Dividend Portfolio 117

BeyondVC

NOVEMBER 17, 2016

West coast founders now fully understand why having a NYC investor on their cap table pays huge dividends and west coast VCs are regularly leading Series A and B rounds in NYC. Having more capital will only further our mission, not change it.

Cap Table 60

Cap Table Cofounder Dividend Institutional Investors 60

The Startup Lawyer

MARCH 1, 2010

The Amended and Restated Certificate of Incorporation includes the typical provisions you might find in a VC deal, less (i) preferential dividends, (ii) redemption rights, and (iii) price based anti-dilution. The Series Seed Documents include: (1) Amended and Restated Certificate of Incorporation. 3) Investors’ Rights Agreement.

Preferred Stock 40

Preferred Stock Term Sheet Redemption Registration Rights 40

YoungUpstarts

APRIL 22, 2018

If you’re at the stage where you’re looking for outside investment to take your business to the next level, SaaStock boasts having over 200 representatives of venture capital funds in attendance. But attending the right conference can pay big dividends both personally and professionally, in both the near and long-term.

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Las Vegas Software Review Affiliate Cofounder 109

ConversionXL

JULY 29, 2015

Education plays a major role in venture capital. shares, dividends). Describe Your Education and Past Successes. How can you reveal your reputation? Two useful signals include your education and past successes. Other research has found similar effects with MBA degrees. Reward-based – Non-financial rewards (e.g.,

Campaign 48

Campaign Reputation Metrics Naming 48

Altgate

DECEMBER 18, 2008

@altgate Startups, Venture Capital & Everything In Between Skip to content Home Furqan Nazeeri (fn@altgate.com) ← Holiday Cards Year End Management Changes → The 3X Liquidation Preference Is Back! If the sale price goes up to $75MM, Common gets to split about $5MM in proceeds. Bookmark the permalink.

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Liquidation Preference Venture Capital Post-Money Valuation Participating Preferred 31