article thumbnail

10 Goodwill Elements To Raise Your Business Valuation

Startup Professionals Musings

For early-stage startups, the goodwill component can easily exceed the size of all the financial elements together, or can just as easily mark a company with good financials as not investable. For startups, the entrepreneur and founder is almost always the face of the company.

Valuation 311
article thumbnail

Equity for Early Employees in Early Stage Startups

SoCal CTO

I was asked by a reader how much equity he should give out to early employees and to service providers in a very early stage startup. Founders vs. Early Employees To help with this discussion, let me start with a definition of "early employee." the better the startup will be.

Insiders

Sign Up for our Newsletter

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

article thumbnail

What Does the Post Crash VC Market Look Like?

Both Sides of the Table

At our mid-year offsite our partnership at Upfront Ventures was discussing what the future of venture capital and the startup ecosystem looked like. We drew this conclusion after a meeting we had with Morgan Stanley where they showed us historical 15 & 20 year valuation trends and we all discussed what we thought this meant.

article thumbnail

5 Keys To Negotiating Your Fair Share Of Any Startup

Startup Professionals Musings

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a co-founder or two. The default answer, to keep peace in the family, is to split everything equally, but that’s a terrible answer, since now no one is in control, and startups need a clear leader. Now comes the reality check.

Cofounder 435
article thumbnail

10 Keys To Raising Your New Venture Funding Potential

Startup Professionals Musings

For early-stage startups, the goodwill component can easily exceed the size of all the financial elements together, or can just as easily mark a company with good financials as not investable. For startups, the entrepreneur and founder is almost always the face of the company.

article thumbnail

The Importance of Proprietary Deal Flow in Early-Stage VC

Both Sides of the Table

As an early-stage investor that is not always aligned with my goal, which I would express as, “pay the right price for the stage & risk in a way that is fair to the founders yet preserves our ability to grow into our valuation at the next financing event.” Advice to VCs Startup Advice'

Deal Flow 347
article thumbnail

Seed Stage Funding 101: What it Is & How it Works

The Startup Magazine

These investments are a tremendous help to your startup because they will serve as a stepping stone to reach your target eventually. I will tell you brief details about seed stage funding, and deal sourcing on this page, so read the conclusion until the end. With startup funding, these companies can get through this phase.