philipsmith.typepad.com

SEPTEMBER 24, 2011

While there have been times in the last dozen or so years, usually during times of venture capital excess, that cash to founders, early-stage executives and other key employees has matched regular market compensation (still with the upside of the equity), this is not true in the vast majority in the start-up game. Venture Capital.

Silicon Valley 40

Silicon Valley Equity Technical Review Recapitalization 40

Ben's Blog

SEPTEMBER 21, 2010

outcome with no recapitalization. He said that during his over 20 years in the venture capital business, he’d never seen a company recover from consecutive layoffs and achieve a billion dollar plus outcome. You cannot hire an outsourcing firm like the one in the movie Up in the Air. Here’s how. Why so strict?

Recapitalization 78

Recapitalization Venture Capital Bankruptcy Employee 78

blog.simeonov.com

FEBRUARY 22, 2010

They have voting rights which may entitle them to force or veto certain key decisions, e.g., hiring or firing the CEO, selling the company, raising money, etc. The only way to remove their equity holding in the cap table is by buying them out or through a recapitalization of the company. Founders have rights as shareholders.

Founder 44

Founder Vesting Agile Startup 44

abovethecrowd.com

APRIL 20, 2016

In Silicon Valley boardrooms, where “growth at all costs” had been the mantra for many years, people began to imagine a world where the cost of capital could rise dramatically, and profits could come back in vogue. Competition also has access to capital. Anxiety slowly crept into everyone’s world. 2015 was the exact opposite.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Both Sides of the Table

AUGUST 9, 2011

2010 was the year of the “super angel&# and 2011 has to date been the year of unbelievably highly priced B,C & D rounds of venture capital. On the positive side, corporate profits are up, their balance sheets have been repaired and they have recapitalized themselves to have lower amounts of debt relative to equity.

Stock 305

Stock Technical Review Marketing Greece 305

Both Sides of the Table

MARCH 1, 2010

I believe that a motivated founder trumps a well-hired mercenary CEO any day of the week. • I really believe that some firms have the strategy of edging out the entrepreneurs, bringing in a new management team, recapitalizing the company, minimizing the founders’ share and taking maximum ownership for the VCs. Raise wisely.

Entrepreneur 321

Entrepreneur Warrant Silicon Valley Early Stage 321