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Bad Notes on Venture Capital

Both Sides of the Table

How do you think they’ll feel if your next round is at a $50 million post money valuation and their hard-earned $25,000 is worth 0.05% of your company? Less than you’ll probably grant your most junior employees in stock options? A down round? “But lawyers will charge much more for equity.”

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Bad Notes on VC

Gust

How do you think they’ll feel if your next round is at a $50 million post money valuation and their hard-earned $25,000 is worth 0.05% of your company? Less than you’ll probably grant your most junior employees in stock options? A down round? But lawyers will charge much more for equity.” Him: Not so good.