Gust

OCTOBER 20, 2011

This method compares the target company to typical angel-funded startup ventures and adjusts the average valuation of recently funded companies in the region to establish a pre-money valuation of the target. In most regions, the pre-money valuation does not vary significantly from one business sector to another.

Valuation 146

Valuation Pre-Money Valuation Intellectual Property Technical Review 146

The Startup Lawyer

AUGUST 24, 2010

Do the convertible notes convert to equity on the maturity date, and if so, at what pre-money valuation ? Security Interest : Will the convertible notes be secured by any or all assets of the startup? Is there a convertible note discount price cap ? Liquidity Event Payment : How much (e.g., 2X/3X, etc.)

Term Sheet 62

Term Sheet Pre-Money Valuation Liquidity Event Warrant 62

Up and Running

SEPTEMBER 20, 2021

For instance, the cap table will help you with various possibilities while running business activities like available options and pre-money valuations faster. The authorized shares or the securities are the total number of shares that have been reserved for issuance by the owner of your startup. . Authorized shares.

Cap Table 112

Cap Table Pre-Money Valuation Stock Options Option Pool 112

Both Sides of the Table

SEPTEMBER 5, 2012

As in, “your money into my company will convert at a 15-20% discount to the next round of capital I raise with a maximum price of $8 million pre-money valuation (or whatever the cap was).” Our convertible note says that it “converts into the next round of capital and into the same security.”

Ratchet 354

Ratchet Liquidation Preference Equity Stock 354

Scott Edward Walker

APRIL 9, 2012

and (iii) what securities laws do founders need to worry about in connection with the issuance of convertible notes? Part 3 will cover certain special issues, such as (i) what happens if the startup is acquired prior to the note’s conversion to equity? (ii) This post was originally published on TechCrunch.] What is a Convertible Note?

Preferred Stock 87

Preferred Stock Finance Common Stock Liquidation Preference 87

Both Sides of the Table

SEPTEMBER 8, 2012

There is simply no reason for the first angel to write you a check until you have the whole round secure, which is why people herd cats. We plan to raise at a $5 million pre-money valuation. million pre-money. ” If you remember the three rules of sales : it’s. why buy anything? why buy me?

Pre-Money Valuation 294

Pre-Money Valuation Finance Liquidation Preference Warrant 294

Hippoland

AUGUST 31, 2018

Another consideration here is that in the minds of pre-seed investors (who are very often small funds and will be allocating most of their capital in the first round or two), valuation matters a lot more to them than a larger fund who might invest in you at this stage as an option for later.

Pre-Money Valuation 90

Pre-Money Valuation Valuation Silicon Valley Early Stage 90

Berkonomics

DECEMBER 19, 2013

Valuation and fund-raising : How did you arrive at your proposed pre-money valuation? He has served as advisor to and member of numerous financial exchanges, and was the founder and CEO of Arthur Lipper Corporation and co-founder and Chairman of New York & Foreign Securities Corporation.

Pre-Money Valuation 105

Pre-Money Valuation Liquidity Event Cofounder Valuation 105

www.paulgraham.com

APRIL 28, 2010

A lawyer I asked about it said: When the company goes public, the SEC will carefully study all prior issuances of stock by the company and demand that it take immediate action to cure any past violations of securities laws. For example, our hypothetical startup never spent more than halfof one round before securing the next.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

Hippoland

AUGUST 31, 2018

Another consideration here is that in the minds of pre-seed investors (who are very often small funds and will be allocating most of their capital in the first round or two), valuation matters a lot more to them than a larger fund who might invest in you at this stage as an option for later.

Pre-Money Valuation 48

Pre-Money Valuation Valuation Silicon Valley Early Stage 48

Business Plan Blog

DECEMBER 26, 2013

They should be highly regarded by the other group members and able to secure their confidence. Pre-money valuation. Type of security and structure. This individual should have the most investment experience and relevant domain or industry experience. Amount to be invested. Service contracts.

Angel Investor 51

Angel Investor Due Diligence Pre-Money Valuation Angel Groups 51

Lightspeed Venture Partners

SEPTEMBER 23, 2012

The right number to focus on is pre money valuation as that is how an investor is valuing the company before the investment. Post money valuation = Pre money valuation + Investment. post money valuation and a $1.35M pre money valuation.

Pre-Money Valuation 163

Pre-Money Valuation Post-Money Valuation Valuation Dilution 163