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Three New Types of AngelList Syndicates I Hope to See

Hunter Walker

Additionally, funds such as Foundry Group and Google Ventures have taken their own approaches – the former creating a separate early stage entity , the latter encouraging their seed stage partners to create standalone personal syndicates. 3) The Alternate Liquidity Syndicate.

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Convertible Debt: Worst Form Of Seed Financing — Except For All The Others

Gust

Angel investors don’t expect to get repaid, nor do they really want to get repaid; the return on their investment, if the startup proves a success, will come in conversion to equity followed by an eventual liquidity event (sale or IPO of the company), with a return of at least 5x or 10x the initial investment if all goes well.

Finance 134
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Fund Raising is a Means Not an End

Steve Blank

If you’re a scalable startup, you want to spend small amounts of money (seed capital) as you run experiments testing your hypotheses. And at this early stage you’ll be giving up a larger percentage of your firm to investors. How much do they need to own at a liquidity event? Why small amounts?

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Fund Raising is a Means Not an End

Steve Blank

If you’re a scalable startup, you want to spend small amounts of money (seed capital) as you run experiments testing your hypotheses. And at this early stage you’ll be giving up a larger percentage of your firm to investors. How much do they need to own at a liquidity event? Why small amounts?