article thumbnail

Master of Customer Acquisition, Matt Coffin, On Startups …

Both Sides of the Table

Selling LowerMyBills: o In 2004 he was getting a lot of call to take more money but was not interested. If you need money to even hire a developer [means you cannot even excite one person to put in some sweat equity – not a good sign about your ability to motivate people.]. Passion is infectious – people respond to it.

article thumbnail

Second-Class Investor Citizens: Facebook’s IPO and Dual-Class Equity Structures

Gust

This is nothing new; long favored by family-controlled media empires such as Rupert Murdoch’s News Corporation , among Internet firms alone, Google took a dual-class approach when going public in 2004. Nevertheless, these preferences aren’t intended to last forever.

IPO 159
article thumbnail

25 Best Startup Failure Post-Mortems of All Time

www.chubbybrain.com

Don’t exacerbate the issue by needing to figure out how to deal with a large equity deadweight on your hands (investors won’t like that the #2 stakeholder is absent, even estranged, from your company). So, the best way of dealing with this issue is to take a long, long vesting period for all major sweat equity founders.