Founder Hiring Seed Money Term Sheet 
YoungUpstarts
OCTOBER 28, 2015
Startups need to understand how to manage the seed money they receive from investors and VCs. Investors typically negotiate from a term sheet, which if not handled properly can create problems that can hurt or kill the startup’s chances when they do their Series A round of funding. Board and Stockholder Votes. .”
Both Sides of the Table
NOVEMBER 18, 2012
You’d imagine that every founder was getting rich. Actually, positive outcomes for founders are quite rare. As a startup founder you rarely have much money in your bank accounts. But why don’t you just give me the damn term sheet you promised so I can trust you even more. It’s not.
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This is going to be BIG.
APRIL 16, 2018
On the other hand, some founders *literally* aren't fundraising. You think you're getting this big fat check compared to the seed money you raised, but they're actually doing something more like dipping their toes in the water. A lot of founders worry about information sharing. It's less signal than you think.
Both Sides of the Table
APRIL 3, 2010
Chris Dixon provided some commentary on Twitter that he believes I missed “the most important point about fund size.&# He’s specifically referring to his point of view that entrepreneurs shouldn’t take seed money from “big VC’s&# (he defines them as > $100 million). You raised angel money.
Both Sides of the Table
AUGUST 1, 2010
They either do too many seed investments (for which they can spend no quality time with any) or they treat it as an option (“if you succeed come back and see us and we’ll match any term sheet you get&# ) – they view it as a sort of “right of first refusal.&#. The signaling affect is overrated.
Gust
OCTOBER 2, 2014
You’d imagine that every founder was getting rich. Actually, positive outcomes for founders are quite rare. As a startup founder you rarely have much money in your bank accounts. Think about it – most entrepreneurs who manage to raise seed money or venture capital usually raise enough money for 12-18 months maximum.
www.paulgraham.com
APRIL 28, 2010
A typical startup goes throughseveral rounds of funding, and at each round you want to take justenough money to reach the speed where you can shift into the nextgear. I think it would help founders to understand funding better—notjust the mechanics of it, but what investors are thinking. Few startups get it quite right.
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