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Are You Ready for Equity Based Crowdfunding?

Up and Running

Then, the unveiling of the Securities and Exchange Commission’s proposed equity crowdfunding rules reveals a panacea for growing your business’s coffers. Donation and equity crowdfunding both appeal to the public’s desire to participate collectively in fulfilling others’ entrepreneurial visions. The investors. Set a Fundraising Goal.

Equity 125
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A primer on convertible notes, convertible securities, and equity

Hippoland

Equity Traditionally, investors have invested in companies to receive equity, or shares in a company. Later, if you sell the whole company to Google at say $5 per share, I will earn $500k for a net gain of $400k. The concept of equity rounds (also called priced rounds) is very straightforward. The results are binary.

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Management Carve Out Plan

ithacaVC

The MCOP can serve a critical role as founders and other management team members are diluted down by rounds of financing or if their equity is not in the money. As the investors’ aggregate liquidation preference (ALP) increases typically the need for a MCOP also increases. A few key points to consider: 1.

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VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

Private equity and venture capital investors are copying our sisters in the hedge fund world: we’re trying to automate more of our job. . In the private equity universe, most Partners have primary training as deal-makers, not as managers. (To see the video above, please click the image, and then click on the Play button.).

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Investor Nomenclature and the Venture Spiral

K9 Ventures

The incubators invest usually for an equity stake and buy equity at a extremely low valuation (for example, 7% for $15,000, which implies a pre-money valuation of less than $200,000). <$50K in aggregate. The Series A is now the third round of financing for a company, but the nomenclature hasn’t been changed.

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On the Road to Recap:

abovethecrowd.com

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. Many have noted that the aggregate shareholder value created by all of the Unicorns will vastly overshadow the losses from the inevitable failed unicorns. By the first quarter of 2016, the late-stage financing market had changed materially.

IPO 40
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Asset Management Is A Bizarre Industry Ripe For Disruption

David Teten

The average equity fund investor earned a market return of only 4.25%. I don’t think that a Net Present Value calculation is appropriate for every company. In aggregate, angels are significant investors. million households in the US with a net worth of $1 million or more. First, because of the returns.