Trending Sources

Glowforge’s $22 Million Financing

Feld Thoughts

We just led a $22 million financing in Glowforge. I’ll start with the punchline – lasers are super cool.

Is @AngelList Syndicates Really Such a Big Deal?

Both Sides of the Table

If you track the venture capital industry it would be hard to miss the conversation going on this week over AngelList “Syndicates.”

Syndicate Funding on AngelList – A Company’s Perspective

Seth Levine's VC Adventure

It’s a great idea and at Foundry we quickly decided it would be an interesting experiment to form our own syndicate. Product demo video.

7 Seed-Stage Funding Sources To Finance Your Startup

Startup Professionals Musings

challenge any entrepreneur, for example, to define the difference between "seed-stage" and "early-stage" financing.

Why Angelist Syndicates is Great For the Boston Startup Community

Rob Go

continue to think that seed/angel investing is a pretty local endeavor, and even more so when one is hoping to lead rounds or be instrumental to catalyzing a financing or boosting the long-term prospects of a company. Which is why I’m pretty psyched about Angelist syndicates, especially in relation to the Boston startup community.

Early Seed Financing Terms Endure… Whether We Like It or Not

Genuine VC

Dharmesh Shah had a great post up last week about the lessons learned from raising a mezzanine round of financing. But the more meaningful reason that early financing terms endure into future rounds is that negotiation away from terms already in place are just that – negotiation. In contrast, valuation always has room to move up.

5 Financial Professionals Every Entrepreneur Needs On Their Team

YoungUpstarts

Having the right team in place can make all the difference in how you manage your finances and allow your money to work for you instead of against you.

Chronic Under-financing of EU Start-ups Driven by Mindset

Babbling VC

personally believe that one of the major drawbacks to venture capital in Europe is chronic under-financing and people skirt around this issue. Hence, financing rounds have been  smaller (roughly a ratio of 5 to 1 when comparing US to EU). Even Dropbox and Etsy have done far larger rounds to finance their growth.

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Fifteen Personal Finance Tips For Making Sure You Are Better Off Four Years From Now

YoungUpstarts

Resist the lure of 0-percent-down financing and credit cards that make too-good-to-be-true offers to get you to sign up. Absolutely. The U.S.

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Our First FG Angels Investment in OnTheGo Platforms Has Closed

Feld Thoughts

This morning we announced that we have closed a financing in OnTheGo Platforms via our FG Angels syndicate. On October 1st, 2013 we announced that we’d be forming an AngelList syndicate called FG Angels and making 50 seed investments through AngelList by the end of 2014. would come from syndicate participants.

Syndicate Funding on AngelList – A Company’s Perspective

Seth Levine's VC Adventure

It’s a great idea and at Foundry we quickly decided it would be an interesting experiment to form our own syndicate. Product demo video.

Time for a Change #24: New Ways To Finance Your Future

Active Garage

When thinking about financing your future, most people think of savings, investing, insurance, or financial planning. Melodious Beans. The t?fu

Filling Out A Round: When It Matters, and When It Doesn’t

A VC : Venture Capital and Technology

Almost every financing I’ve been involved with over the years (seed, VC, growth, raising a VC fund) goes mostly like this: Struggle like hell to find a lead. would not sweat the allocations/syndication decisions that much in a seed deal other than avoid troublemakers at all costs. Come to terms with the lead.

How to Evaluate Firms for a Seed VC Syndicate

Genuine VC

Term-driving investor approach – An entrepreneur finds a lead (quasi-)institutional venture investor to price and set the structure/dynamics of the round, working together to bring in additional syndicate partners (either/both other funds and individual angels). There is some correlation here, but not complete alignment, to check size (i.e.

VC Syndicates: How Many VCs Is Too Many?

A VC : Venture Capital and Technology

But beyond the board, what about the syndicate? I've seen some recent financings where there were six or more VCs firms in the syndicate. We've been asked to participate in first round syndicates with four or more VC firms and we have not done that, at least yet. One or two VCs on your board is OK.

Understanding Different Types of Angel Investors

View from Seed

Pros:  Industry-insider who serves as a validator for the rest of the investment syndicate, extremely helpful advice and network connections.

Seed Round Signaling Revisited: Myths, Truths, & Half-Lies

Genuine VC

more likely to succeed) entrepreneurs having the opportunity to take a larger VC’s capital at the seed round.   The best entrepreneurs can attract the widest options for their initial round of funding, including larger VCs.  So there is an element of (positive) selection bias in the larger VC syndicate cohort companies.

Equity financing: great for rapid growth startups

Berkonomics

We’ve spoken of financing a young company through friends and family, known as “inside angels.”  The U.S. company.  Raising money

All I need is a lead

Taffy Williams

The result is that you fail to close on a financing. valid lead investor may not wish to have your followers as part of the syndicate.

Get Ready For Q115 Fundraising Insanity

Feld Thoughts

So – I’ll start with that – this is not a prediction, rather it’s a hypothesis, which is as long as there isn’t a cataclysmic macro event, Q115 financing activity is going to be insane. The number of large, “later stage” financings are remarkable – both in size and velocity.

Transparent Funding Announcements

Feld Thoughts

No understanding of the human dynamics behind the financing. No underlying metrics that drive the financing. Recently, the gang at SalesLoft told the detailed story of their $10m financing. financing of Mattermark. also wrote a post about the financing using  Mattermark as An Example of How We Decide to Invest.

Pro-rata rights: the good, the bad and the ugly

Fred Destin

The classic term you are going to see in a nasty seed term-sheet is a right to take [50%] of the next round of financing or a right to own [20%] after your next round of financing. Push your syndicate onto Angellist and make it all transparent. Investors Venture Capital financing pro-rata startup Investah Powa.

Startup Data: 4 Strategies Changing the Speed & Size of Your Series A

View from Seed

Recently, we looked at our own portfolio at NextView Ventures to dig a little deeper on how startups actually raise that next round of financing.

What Are Pre-Seed Rounds and Why Do They Exist?

View from Seed

The reasons for the shift are: Late-stage financing froth. This is the first of several blog posts discussing pre-seed rounds. Tweet this.).

Crowdfunding for start-ups: A durable trend or a bull market phenomenon?

Information Arbitrage

What started out as a way for a curated set of angels to invest in startups posting on the AngelList site has expanded to include the notion of Syndicates , investor groups headed by prominent angels who deploy capital pledged by themselves and others in a manner akin to a GP/LP construct. When $ dry up, who steps up? November 15, 2014.

How We Think About Values Versus Deeply Held Beliefs

Feld Thoughts

”) But at the end of 2013, when the JOBS Act became official and AngelList created Syndicates, we decided to understand the phenomenon better by participating in it. Matt distinguishes between culture and values. His punch line, which he reveals early, is: Values guide decision-making and a sense of what’s important and what’s right.

Venture Outlook 2016

Both Sides of the Table

And what many people don’t realize is that most syndicates get what is known as “deal-by-deal” carry. Boom and bust. Are VCs?

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A Choir of Angel Investors Sing Different Parts

Genuine VC

PROs of taking his angel money are the feeder system to venture financing of the next round and the vast network of portfolio CEOs which can be tapped into for connections and help.  PROS: Industry-insider who serves as a validator for the rest of the investment syndicate, extremely helpful advice and network connections. 

Venture Deals: Chapter 1: The Players

Ask The VC

While it might seem like there are only two players in the financing dance—the entrepreneur and the venture capitalist—there are often others, including angel investors, lawyers, and mentors. The experience, motivation, and relative power of each participant in a financing can be complex, and the implications are often mysterious.

The Silliness Of Recapping Seed Rounds

Feld Thoughts

Assuming equity is raised at or above that cap, the total dilution, before the new money, is 16.6% (equivalent to an equity financing of $1m at a $6m post money valuation. Here’s the scenario. company raises $1m of seed money from angels in a convertible note with a $6m cap. The product gets a lot better. It blew my mind.

Pari Passu or F.U.little guy

Professor VC

Another area where I''m not sure I stand is with some of the more formal referral and syndication programs that are emerging now. Lucky us!!

When Should Startup Founders Discuss Valuation with Seed VCs?

View from Seed

At the end of the day, this latter cohort is backing a particular entrepreneurial team and vision no matter what the financing circumstances.

5 Questions VCs Never Answer, Answered by a VC | #BOSSOI

View from Seed

How does the firm behave when things are going well, but there are challenges around securing an outside-led follow-on financing?

UK VC trend points to smaller, less syndicated deals

Fred Destin

which is the lowest in 9 years Striking trend 2: syndication dropped below 60% to 54% for the first time in 10 years So many smaller deals done by single investors. On the face of it, activity is up: 65 companies (up 48%) and £153M (up 34%) from 82 investors (up 34%). However this is flat to Q4-09 whereas Q1 usually shows a big bounce.

“Seed Is the New Series A” – Making Sense of the Confusion

View from Seed

A few weeks ago, Manu Kumar wrote an excellent post detailing the current state of the seed financing landscape.  Some thoughts: 1. Yes. 2.

The Market Is Hot for Code Climate, NextView’s Newest Investment

Genuine VC

Today Code Climate is announcing that they’ve raised a $2M round of financing , led by us at NextView Ventures. Joining us in the syndicate are Lerer Ventures, Trinity Ventures, and Fuel Capital. When Chad Pytel introduced me to Bryan Helmkamp , CEO/Co-founder of Code Climate , I knew that I had to pay attention.

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Some thoughts on startup crowdfunding

Chris Dixon

Startup financings tend toward the extremes of being very oversubscribed or very undersubscribed. And if you go back and look at the early financings of breakout hits, a lot of them were hotly contested and oversubscribed. If you graphed out investor interest, it would look like a “U”. HR managers backing new HR software). startups

Too Many Seed Investment Choices

Feld Thoughts

We are syndication agnostic – happy to invest alone and equally happy to invest with firms we like to work with. Many of these companies raise less than $3m coming out of TechStars – all of them are subsequently in our zone for the next round financing. 3. First, some background. We’ve SEOMoz).

35 at 15

OnlyOnce

This was a big week for Return Path. Lots of aspects of our jobs will. Visited 1 times, 1 visits today). Business Return Path Startup CEO

Conversations with Richard Chino, pt. 2

Ask the Angels

Syndication gives the angels more assurance as more eyes have seen it. Do you find yourself driving some of that syndication to fill out deals?