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Using warrants to pump up your VC valuation

www.mattbartus.com

You have a 20% option pool, so you know this will take your ownership down from 80% to 60%, and the VC will get 25%. Option Pool. Option Pool. In Equity , Investors , Negotiating , Term Sheets Equity , Negotiating , Valuation , VCs. Equity for Consultants - Keep. Post-Money.

Warrant 40
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How to Fund a Startup

www.paulgraham.com

It costs you a little more equity, but being able to play the two firms off each other (as well as ask one if the other is being out of line) is invaluable. So after this the option pool is down to 13.7%). [ Down rounds are bad news; it is generally the common stockholders who take the hit.