Both Sides of the Table

FEBRUARY 20, 2019

If angel investors are pressuring you to set up a board and if you don’t have the leverage to push back a little then I might suggest a 3-person board in which all 3 seats are appointed by the common stock and you agree to appoint one of these seats to the angel investor but perhaps make it either time based or event based.

Venture Capital 236

Venture Capital Startup Angel Investor Silicon Valley 236

Steve Blank

OCTOBER 24, 2017

To turn your company’s stock into cash, you engaged a top-notch investment bank (Morgan Stanley, Goldman Sachs) and/or their Silicon Valley compatriots (Hambrecht & Quist, Montgomery Securities, Robertson Stephens). A 20th century VC was likely to have an MBA or finance background. People had to actually pay you for your product.

Founder 245

Founder Technical Review CTO Hire IPO 245

ReadWriteStart

OCTOBER 2, 2021

In addition, they can neither issue stocks nor bonds. Lower tax rates allow an LLC to be more flexible with finances. However, most institutional investors (venture capital groups, for instance) don’t mind this structure, and they, in fact, prefer to invest in corporations due to protections from issuing stocks.

Technical Review 158

Technical Review LLC IPO Stock 158

online.wsj.com

SEPTEMBER 23, 2012

Virtual Stock Exchange. SIGNIFICANCE PROMINENT. --> The Venture Capital Secret: 3 Out of 4 Start-Ups Fail. Stock Quotes. An entrepreneur with a hot technology and venture-capital funding becomes a billionaire in his 20s. AllThingsDigital. AllThingsDigital. Financial News. Professor Journal. SmartMoney.

Venture Capital 107

Venture Capital Software Review Rhode Island North Dakota 107

Steve Blank

APRIL 26, 2022

Except, that is, for the bottom feeders of the Venture Capital business – investors who “ cram down ” their companies. They offered desperate founders more cash but insisted on new terms, rewriting all the old stock agreements that previous investors and employees had. A cram down is different than a down round. They’re Back.

Cram Down 404

Cram Down Founder Venture Capital Recapitalization 404

David Teten

JANUARY 19, 2021

Similar to the explosion of seed funds in the past decade, we (and some limited partners too ) believe these Flexible VCs are on the forefront of what will become a major segment of the venture ecosystem. We detail below the major categories of VC: VENTURE CAPITAL TYPOLOGY. FLEXIBLE VC VS. OTHER VENTURE CAPITAL MODELS.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

abovethecrowd.com

NOVEMBER 28, 2022

Super-voting (Dual-class) Stock. These days, many technology companies have deployed a dual class stock structure as part of going public. The post Venture Capital Red Flag Checklist appeared first on Above the Crowd. If it is the latter, you have a problem.

Venture Capital 113

Venture Capital Non-Compete Government Delaware 113

YoungUpstarts

JUNE 26, 2020

If you are building a startup, you’ll find no shortage of people who are willing to give you advice, particularly when it comes to raising financing. For some entrepreneurs, raising financing can seem like a full time job, particularly in these trying times. Unfortunately, much of this advice is wrong. Well not, wrong exactly.

Finance 205

Finance Silicon Valley Valuation Startup 205

Version One Ventures

AUGUST 21, 2023

seed round , alongside Third Kind Venture Capital, SPEILLLP , Sancus Ventures, 500 Global, and Balaji Srinivasan. The tokenization of real-world assets (RWA) is one of the most interesting use cases for the blockchain, gaining momentum inside both crypto and traditional finance communities.

Stock 78

Stock Thailand Mexico Equity 78

Steve Blank

APRIL 12, 2013

This post is about the rise of Chinese venture capital and how it helped build the countries entrepreneurial ecosystem. The Rise of Chinese Venture Capital. By 1991, 70% of the Torch funded startups were getting bank financing for expansion and later stages of the new ventures, with local governments acting as guarantors.

Venture Capital 271

Venture Capital China Offshore SBIR 271

ReadWriteStart

OCTOBER 2, 2021

In addition, they can neither issue stocks nor bonds. Lower tax rates allow an LLC to be more flexible with finances. However, most institutional investors (venture capital groups, for instance) don’t mind this structure, and they, in fact, prefer to invest in corporations due to protections from issuing stocks.

Technical Review 78

Technical Review LLC IPO Stock 78

YoungUpstarts

OCTOBER 19, 2018

When you’re looking for extra funds, there are typically two options: debt financing and equity financing. It’s important to understand the difference between debt financing and equity financing so when it comes time to get additional funding, you know which is the right fit for your business and how to get it.

Finance 157

Finance Equity Vesting Dividend 157

Both Sides of the Table

AUGUST 24, 2015

If you didn’t notice that the stock markets in the US dropped nearly 4% today (after falling last Thursday and Friday) then you were probably completely off-the-grid and on vacation. Simply put – I buy the long-term case for having a portion of one’s savings in stocks. It was a nerve racking morning. Neither do I.

Stock 150

Stock Finance Marketing Valuation 150

Haystack

NOVEMBER 25, 2018

venture capital deals, a spike in mega-financings where it’s common to see not only $100M private rounds, but companies that raise two or three types of financings like this in the same calendar year!

Technical Review 127

Technical Review Open Source Software Review Venture Capital 127

Steve Blank

APRIL 12, 2013

This post is about the rise of Chinese venture capital and how it helped build the countries entrepreneurial ecosystem. The Rise of Chinese Venture Capital. By 1991, 70% of the Torch funded startups were getting bank financing for expansion and later stages of the new ventures, with local governments acting as guarantors.

Venture Capital 163

Venture Capital China Offshore SBIR 163

YoungUpstarts

NOVEMBER 12, 2020

Venture capital firms have become more discerning where they put their limited funds to use, and banks have always been anti-startup in their business dealings. Companies that have managed to do this have a distinct advantage over those dependent on financing from external sources. Startup Survival Tactics During the Pandemic.

Bankruptcy 165

Bankruptcy Startup Agile Technical Review 165

Both Sides of the Table

SEPTEMBER 10, 2021

And the loosening of federal monetary policies, particularly in the US, has pushed more dollars into the venture ecosystems at every stage of financing. how on Earth could the venture capital market stand still? What Has Changed in Financing? What Does this Mean for a Venture Capital Firm?

Pre-Money Valuation 471

Pre-Money Valuation Valuation Venture Capital Early Stage 471

Hunter Walker

SEPTEMBER 29, 2022

Starting a venture capital blog post with 1970s country music lyrics is pretty uncommon, but so is writing about when and why an investor might choose to sell equity before the company exits. All the preferred stock is pari passu and behaving honorably in the best interest of the company?

Venture Capital 122

Venture Capital Cap Table LP Equity 122

Steve Blank

SEPTEMBER 14, 2009

Posted on September 14, 2009 by steveblank Over the last 30 years Wall Street’s appetite for technology stocks have changed radically – swinging between unbridled enthusiasm to believing they’re all toxic. One of the biggest mistakes entrepreneurs make is misunderstanding the role of venture capital investors. What Do VC’s Do?

Silicon Valley 217

Silicon Valley IPO Technical Review Venture Capital 217

Startup Lessons Learned

MAY 31, 2019

He’ll be speaking at this year’s Lean Startup Conference , and also has a new book (for which I very happily wrote a short foreword) coming out next month: Secrets of Sand Hill Road: Venture Capital and How to Get It. What is venture capital, really? And what does a venture capital firm do?

Lean 108

Lean Venture Capital Conversion IPO 108

Both Sides of the Table

JULY 16, 2010

But VC is an “illiquid asset&# so funds didn’t disappear quickly - In 2000/01 the stock market quickly adjusted punishing investors in the NASDAQ and in individual public technology stocks. What accelerated this was the collapse of the public stock markets. Nobody understands this better than First Round Capital.

LP 311

LP Technical Review Early Stage Silicon Valley 311

Startup Professionals Musings

JUNE 5, 2021

In finance, a bubble is too much money chasing assets, greater asset production and a herd mentality. In finance, “this time is different” is the beginning of a new bubble. Angels are becoming more aggressive as their stock market and real estate assets recover, and institutions again have earnings to risk in venture capital funds.

Demand 362

Demand Government Venture Capital Valuation 362

Startup Company Lawyer

MARCH 14, 2010

After the recent announcement of the Series Seed Financing documents by Marc Andreesen, Brad Feld points out that there are now four sets of “open source&# equity seed financing documents: TechStars Model Seed Funding Documents (by Cooley). Y Combinator Series AA Equity Financing Documents (by WSGR). under $500K).

Finance 70

Finance Software Review Term Sheet Liquidation Preference 70

David Teten

AUGUST 19, 2019

Does the traditional VC financing model make sense for all companies? I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. I believe that Revenue-Based Investing (“RBI”) VCs are on the forefront of what will become a major segment of the venture ecosystem.

Revenue 60

Revenue Term Sheet Founder Technical Review 60

YoungUpstarts

JULY 16, 2020

Setting up a legal business entity for your business creates a “company” that is different from your personal identity and separate from your personal finances. Of course, the personal liability protections are not 100% impenetrable; you will still need to manage your business and personal finances separately.

LLC 255

LLC Bankruptcy Venture Capital Stock 255

Up and Running

AUGUST 18, 2014

Startups have some unique struggles, especially in regard to financing. Startups tend to rely on capital that comes via angel investors or venture capital firms while small business operations may rely on loans and grants. Key difference #2 – the relationship with funding. The exit is what gives them a return.”

Small Business 154

Small Business Exit Strategy Cofounder Angel Investor 154

View from Seed

MARCH 24, 2021

At NextView Ventures we have written many pieces about venture capital — how to raise it, build your business, engage with investors, iterate your product, navigate expanding industries, etc. Finance is about reporting on historical performance and future planning through the lens of financial metrics.”

Seed Stage 177

Seed Stage Hiring IPO Analytics 177

Steve Blank

SEPTEMBER 13, 2022

They have built a sophisticated public/private financing ecosystem to support these plans. These are investment vehicles in which central and local government agencies make investments that are combined with private venture capital and State-Owned Enterprises in areas of strategic importance. as a national priority.

China 323

China Venture Capital Government Artificial Inteligence 323

The Startup Magazine

OCTOBER 3, 2019

Financing a business venture is a difficulty that many start-up owners have encountered. Fortunately, stock loans are another way to get funds if you own shares in securities. Strengths of Stock Loans. It can be uncomfortable putting your car or home at risk to finance your business. The Takeaway.

Stock 75

Stock Angel Investor Startup SEC 75

Both Sides of the Table

FEBRUARY 27, 2019

Very few people turn up with a strong sense of “what we should be doing” or ready to lean into a productive conversation The financials were prepared by the VP of Finance / CFO. The law firm has done its job of preparing the stock option requests, board meeting minutes, 409a valuations. There are too many pages. it’s your own fault.

Stock Options 226

Stock Options Metrics Stock Valuation 226

Both Sides of the Table

APRIL 14, 2010

If you want to raise venture capital more easily the advice could be quite practical and counter-intuitive. Many companies that are raising B or C venture capital rounds right now raised their initial money in 2005-2008. Liquidation preference is the amount of money that an investor gets paid before the common stock (e.g.

Venture Capital 289

Venture Capital Liquidation Preference Common Stock Dividend 289

The Next Web

FEBRUARY 23, 2014

But now more and more tech companies cite a pool of talent and the Irish Venture Capital Association ’s investment tendencies as reasons for the city’s appeal. Lower taxes and living costs, in comparison to its English neighbour, are what urged this move originally. Tel Aviv, Israel?.

North Carolina 168

North Carolina Technical Review Cyprus Raleigh 168

Up and Running

OCTOBER 30, 2017

Begin by taking stock of yourself and your situation: Why do you want to start a business? If you will be seeking outside financing, a business plan is a necessity. Depending on the size and goals of your venture, you may need to seek financing from an “angel” investor or from a venture capital firm.

Venture Capital 166

Venture Capital Business Plan Limited Liability Company Finance 166

VC Adventure

AUGUST 15, 2018

Back in the olden days of venture capital, company boards had wide discretion in pricing company options. It was and is imprecise science but – at least in the case of venture backed startups – there wasn’t much harm in an option being priced low. I’m not giving legal advice in this post.

Valuation 48

Valuation Common Stock Cap Table Software Review 48

David Teten

AUGUST 7, 2019

The second strategy is Value Investing , a strategy which “seeks to maximize returns by finding stocks that are undervalued by the market…Investors assess a stock’s intrinsic value…and compare that value with the stock price. Today, some Momentum-centric venture capital investors have high paper returns.

Venture Capital 60

Venture Capital Valuation Stock NDA 60

Feld Thoughts

JULY 18, 2022

For the last few months, he has been mostly writing about three topics: The Twitter Elon Musk Soap Opera Why (and How) Much of Crypto Is A Plain, Old, Ponzi Scheme Other Crazy and F *d Up Things in Finance. Meme Stocks Were Too Good to Robinhood : Also Russian debt and crypto depositors.

Merger 133

Merger Stock Venture Capital Finance 133

ReadWriteStart

JUNE 1, 2020

The shares given out can either be common stocks or preferred stocks. ? Debt investment. Under this category, you have the angel investors who would invest their own money and Venture Capital or VC firms, who manage funds aimed towards specific startup sectors and stages. Equity investors. Debt investors.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150