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Revenue-Based Investing: A New Option for Founders who Care About Control

David Teten

That’s how we can offer competitive rates … with no prepayment penalties or warrants attached. The traditional NVCA term sheet works well for founders who are comfortable substituting VC capital for revenues, running typically at a loss for many years. All term sheets are a negotiation.

Revenue 60
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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

has open-sourced their investment structure , now on version 3.0, Womble Bond Dickinson has released a white paper on Performance Aligned Stock and a term sheet on ImpactTerms.org. . (If A similar, open-source, highly visual tool focused on VC is Venture Dealr. Lenders sometimes take warrants.

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Understanding Changes in the Software & Venture Capital Industries

Both Sides of the Table

The trend of funding anything from the first $25k to funding $50 million at a billion+ valuation is unlikely to last as the skills and style to be effective at all stages are diverse enough to warrant focus. Open-Source Software & Horizontal Computing. Open source became a movement – a mentality.

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How do the sample Series Seed financing documents differ from typical Series A financing documents?

Startup Company Lawyer

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). This post assumes that you have a basic understanding of Series A financing terms.

Finance 70
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How Convertible Debt Works

Feld Thoughts

Convertible Debt – Other Terms. Convertible Debt – Warrants. If you want to see an actual convertible debt term sheet or the actual legal documents, take a look at the TechStars Open Sourced Model Seed Financing Documents. Convertible Debt – Early Versus Late Stage Dynamics. Convertible Debt – Wrap Up.

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Series Seed Financing Documents

www.seriesseed.com

2) Redline - Series Seed Term Sheet (1 v. Series Seed Term Sheet (v 2.0) Series Seed Term Sheet (v 2.0) The advent of cloud computing, open source software, platforms with APIs, and numerous other changes have lowered the cost of launching a new enterprise.

Finance 58