Startup Professionals Musings

MAY 22, 2020

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment.

Technical Review 436

Technical Review Due Diligence Sweat Equity Burn Rate 436

Startup Professionals Musings

FEBRUARY 18, 2023

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment.

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Sweat Equity Burn Rate Technical Review Intellectual Property 207

Up and Running

DECEMBER 1, 2015

Of course, not every equity compensation story is a David Choe Story. If you’re thinking about extending equity to an employee or a vendor (as in the example above), you should know that the topic is multi-faceted. In this article, I’m going to examine: What equity compensation is. Different types of equity compensation.

Equity 60

Equity Employee Stock Options Vesting 60

Startup Professionals Musings

AUGUST 4, 2014

You need to find the skills or experience you don’t have in business, technology or money. The first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90 percent of the equity. Amount of venture funding provided.

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Cofounder Stock Founder Technical Cofounder 261

techcrunch.com

JUNE 22, 2012

Free Startup Docs: How Much Equity Should Advisors Get? Entrepreneurs want to compensate their mentors and advisors for the time they dedicate to helping their businesses grow, but they have no idea how much equity to offer. In particular, Ressi said, the team is interested in reactions to the above equity matrix. Headphones.

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Equity San Francisco Startup Silicon Valley 94

Altgate

JUNE 25, 2012

—————– Dead equity — equity held by employees and founders no longer working at the company — is a large and growing problem. Choe opted to forgo a cash payment “in the thousands” for the equity equivalent at the time. Dead equity has always been a significant issue for startups.

Equity 44

Equity Vesting Cap Table Technical Review 44

YoungUpstarts

AUGUST 19, 2019

Whether you have a friend who is an expert on technology trends, green energy or minerals, an investment club can help a portfolio cover its bases in investments. For equity trading, the general rule of thumb is to start an investment portfolio of at least $1000. Low $$ Barrier to Entry. Actually Learn How to Invest Your Money.

Investment Bankers 147

Investment Bankers Technical Review Stock Vesting 147

www.inc.com

SEPTEMBER 24, 2011

Technology | Thursdays. TECHNOLOGY. Technology. Should You Share Equity with Consultants? Science and Technology Technology. We had a rough time early on," says Parker, president and chief technology officer of Roving Software Inc. , But sharing equity can have pitfalls, too. Forgot login ?

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Fractional CTO Equity Iowa Technical Cofounder 40

www.startuplessonslearned.com

MAY 4, 2012

Founders Dilemmas: Equity Splits. The following is an exclusive excerpt which sets up a common pitfall regarding equity splits. In Noam’s dataset, 73% of founding teams split equity within a month of founding, a striking number given the big uncertainties early in the life of any startup. Lessons Learned. by Eric Ries.

Equity 72

Equity Founder Technical Cofounder Cofounder 72

Altgate

AUGUST 25, 2012

—————– Dead equity — equity held by employees and founders no longer working at the company — is a large and growing problem. Choe opted to forgo a cash payment “in the thousands” for the equity equivalent at the time. Dead equity has always been a significant issue for startups.

Equity 28

Equity Vesting Cap Table Technical Review 28

www.mattbartus.com

SEPTEMBER 24, 2011

Equity for Consultants – Keep it Simple! posted Feb 3 in Equity , People issues. We will grant him/her X% fully diluted shares up front, and every time he/she makes an introduction, he/she will vest in 100 shares.” The most you lose is 1 or 2 months of vesting on the stock. Blog blog archive. Quora Answers.

Equity 40

Equity Vesting Silicon Valley Intellectual Property 40

The Startup Magazine

FEBRUARY 21, 2024

Billion in investments across a range of industries, including technology, sustainability, traditional and alternative energy, mining, construction services, transportation, and healthcare. The firm has made more than $4.5 Beyond providing capital, private credit firms often engage in strategic partnerships with their portfolio companies.

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Technical Review Due Diligence Bankruptcy Intellectual Property 135

NZ Entrepreneur

SEPTEMBER 29, 2021

If we want to maintain and support sustainable economic growth while meeting the broader needs of society, we will need an economy underpinned by innovation and new technologies. Remuneration will reflect the stage of the startup but it’s generally at a rate of about $500-1000 a meeting or directors might be paid in equity at about 0.5-0.75%

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Technical Review Software Review New Zealand Due Diligence 88

Startup Professionals Musings

APRIL 10, 2016

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment.

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

David Teten

JULY 10, 2019

pre-launch, BIG equity, big peeps involved–ANY TIPS?? We want to use our proprietary technology and network to tap the relevant players to take the relevant steps forward; and identify, document, and disseminate best practices. Our technology can also scale to other geographies. And how do you split the equity?

America 60

America Technical Review Advisory Board Due Diligence 60

Startup Professionals Musings

APRIL 8, 2015

Every startup founder loves to prompt for questions from investors and potential key team members about their vision, and the huge opportunity that can be had with their disruptive technology. Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment.

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

David Teten

MAY 7, 2019

We want to use our proprietary technology and network to tap the relevant players to take the relevant steps forward; and identify, document, and disseminate best practices. Although we envision we initially use our technology for a political purpose, that’s only the test case and that alone is nearly a $20 billion market. A nonprofit?

America 60

America Technical Review Advisory Board Due Diligence 60

www.instigatorblog.com

OCTOBER 23, 2010

Changing Equity Structures for Early Startup Employees Tweet Recently someone asked me for advice on how much equity they should give to their early employees. 1% but they’re not going to be overwhelmed by it, or insanely incentivized by that equity alone. I do believe that early employees should trade salary for equity.

Equity 41

Equity Employee Startup Vesting 41

Gust

DECEMBER 1, 2011

In most cases, the answers are (1) an outstanding product or technology; (2) a successful growth business built around that product; and (3) a top-notch team to build and execute the business. What: The foundational corporate formation, governance, equity issuance and intellectual property assignment documents.

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IP Intellectual Property Equity Liquidity Event 114

Startup Lessons Learned

APRIL 24, 2012

." - Eric The following is an exclusive excerpt which sets up a common pitfall regarding equity splits. In Noam’s dataset, 73% of founding teams split equity within a month of founding, a striking number given the big uncertainties early in the life of any startup. We shook across the table,50–50,” Robin recalls, “and I thought ‘great.’”

Equity 168

Equity Founder Cofounder Vesting 168

Scott Edward Walker

OCTOBER 19, 2020

This issue is akin to trying to negotiate with a departed founder who is not subject to a vesting schedule – see post here.). As noted above, any IP created pre-incorporation will typically be assigned to the company in exchange for equity. non-founders), particularly if they are located outside of the United States. Conclusion.

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IP Software Review Founder Technical Review 52

Feld Thoughts

JULY 29, 2011

Finance Friday’s gets off the ground with today’s post by introducing you to an imaginary startup, the entrepreneurs that we’ll being following throughout the series, and their first challenges: splitting up the founders’ equity and addressing the case where one of the founders provides the initial seed capital for the business.

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Equity Finance Pre-Money Valuation Denver 137

Scalable Startup

OCTOBER 9, 2014

How much equity should I ask for? > You need to be positioned as an equal partner, regardless of equity or title. > > What are the terms of the equity, same class of shares as them? Vesting? > Your equity depends on all of these? > > Do you have another job? > Do you have another job?

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Cofounder Technical Cofounder Equity Vesting 20

David Teten

DECEMBER 3, 2019

Private equity and venture capital investors are copying our sisters in the hedge fund world: we’re trying to automate more of our job. . When I met my now-wife, I realized that any technology that can find me a spouse is a killer app. In the private equity universe, most Partners have primary training as deal-makers, not as managers.

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Technical Review Software Review Analytics Private Equity 78

Steve Blank

JULY 19, 2010

As a founder I fought with VC’s over vesting as they brought in a new CEO and walked me out the door. As a board member I negotiated with founding CEO’s over vesting when I thought it was their time to go. I’ll offer that both entrepreneurs and VC’s have the wrong model for founding CEO equity compensation. The New Deal.

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Vesting Liquidity Event Venture Capital Founder Vesting 251

blog.aparttimecto.com

OCTOBER 23, 2010

A Part-Time CTO Technology. Flexibility - You won’t need to commit to something, either cash, equity or involving other people, upfront. Cons: Money - Unless you have cash to pay, the pool of developers willing to work for equity is small. In Plain English. Archive Jun 20th Sun In-House or Outsource?

CTO Hire 40

CTO Hire Fractional CTO Equity Vesting 40

Up and Running

AUGUST 10, 2016

While most of the media attention about this new opportunity has focused around the ability for an entrepreneur to sell shares (equity) in his or her enterprise, the real (and neglected) opportunity for Main Street businesses comes down to debt crowdfunding. Equity crowdfunding versus debt crowdfunding for Main Street businesses.

Securities and Exchange Commission 60

Securities and Exchange Commission Vesting Equity Houston 60

www.seriesseed.com

DECEMBER 9, 2012

We went with equity because ivestors would prefer to get equity for the following reasons: 1. One of the reasons notes have become so popular is that the equity documents were too expensive. There are some Vesting terms for founders in the term sheet but I can't find them in the others documents too. Great effort!

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Finance Term Sheet Vesting LLC 40

grasshopper.com

SEPTEMBER 24, 2011

Getting Paid in Equity: A What to Do Guide. Equity-based pay is often used by the founders of young start-ups who want to grow their businesses but cannot offer big salaries to qualified professionals. Below are some helpful tips and suggestions to keep in mind when contemplating whether or not to take an equity-based position.

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Equity Vesting Sweat Equity Salary 41

www.thedailymuse.com

SEPTEMBER 18, 2012

The real value of a lawyer at the incorporation stage isn’t really in preparing the actual documents, but in helping you figure out what you need (LLC vs. corporation, what sort of vesting schedule makes sense, and so on). Establishing the ownership and equity rights of the company if there are multiple founders.

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Hiring LLC Intellectual Property Private Equity 56

Austin Startup

AUGUST 20, 2017

They’re looking to be paid properly in the context of the overall salary structure, including cash, benefits, and equity, and to be paid commensurate with performance. Set any vesting schedules and expiration dates on roughly similar terms, if for no other reason just so you can track all of them correctly.

Technical Review 48

Technical Review Software Review Cap Table Securities and Exchange Commission 48

Growthink Blog

SEPTEMBER 20, 2010

First of all, the long-term woes of the stock market have been under-reported because there really isn’t anyone that has a vested interest in pointing it out. And even better, the same technological trends that have made public market investing so difficult in the last 10 years have made startup (i.e. And if so, what to do about it?

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Stock Vesting Japan Algorithm 48

dondodge.typepad.com

JANUARY 15, 2011

Don Dodge on The Next Big Thing Thoughts on business and technology Home Archives Profile Subscribe About Me « Boston VCs gets first look at Y Combinator Demo Day | Main | Digg-nation is HUGE! Community is more powerful than money or technology » August 11, 2007 How much equity for investors and employees?

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Equity Employee Dilution Valuation 40

infochachkie.com

SEPTEMBER 24, 2011

Instead of hearing from your long lost third-cousin, you will be inundated with an avalanche of ‘congratulatory’ emails, calls and letters from people who want to relieve you of the burden of your hard-earned equity round. Equity should be saved for people who will deliver ongoing value to your venture. link] Luis Rivera.

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Equity Silicon Valley Cofounder Technical Review 40

David Teten

OCTOBER 1, 2015

You’ve got a great idea and domain expertise, but limited money and insufficient technology resources. Not surprisingly, the list above also is ranked from least to most equity stake in an investment for the investor, relative to the cash they invest. equity that belongs to departed cofounders)? mentor VCs, e.g., most VCs.

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Software Developers Software Development Software Review Technical Cofounder 60

Board Effect

JUNE 10, 2019

Other companies that you work closely with may have a vested interest in your business if it complements their business. The bonus is that they won’t expect to receive any of your hard-earned equity. The obvious advantage is that you won’t have to give up any equity. There might not be any takers, but it doesn’t hurt to ask.

Small Business Administration 70

Small Business Administration SBA Startup Database 70

The Next Web

OCTOBER 7, 2013

They were referring to non-founder engineers, most commonly the first hire for technology businesses. Quite frankly, waiting provides more assurance around employment risk without the commensurate sacrifice in equity comp. After a year, shares will vest in monthly or quarterly splits until the full grant is vested.

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