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The Changing Structure of the VC Industry

Both Sides of the Table

2007 was the watershed year. It’s hard to work out the cap table with your peers when one of them has no real intent in fixing the problem. But the biggest changes in our industry have been driven by technical changes themselves to which we are just observers and fortunate beneficiaries.

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What’s a Fair 409A Discount?

VC Adventure

It was a benefit to employees and a slight value transfer from equity holders to option holders (generally speaking in M&A transactions the value of the aggregate option exercise ends up allocated across the rest of the cap table).

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What is the Definition of a Seed Round or an A Round?

Both Sides of the Table

There weren’t a lot of seed funds in 2007 so this was often done by angels, funding consortia or sometimes early-stage funds that existed then (First Round Capital, True Ventures, SoftTech VC, etc.). 5 million was always the classic definition of an A-round between the late nineties (crazy financings aside) and say 2007.

Cap Table 399
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What is the Definition of a Seed Round or an A Round?

Gust

There weren’t a lot of seed funds in 2007 so this was often done by angels, funding consortia or sometimes early-stage funds that existed then (First Round Capital, True Ventures, SoftTech VC, etc.). 5 million was always the classic definition of an A-round between the late nineties (crazy financings aside) and say 2007.

Cap Table 136
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AngelList Syndicate Feedback From An Experienced Entrepreneur

Feld Thoughts

The CEO and founder, Steve Olechowski , was co-founder / COO of FeedBurner, which Google acquired in 2007. 2) Keeping the number of entries on our cap table relatively small. We recently funded Blinkfire Analytics using our FG Angels Syndicate. I was an investor and on the board of FeedBurner, which is how I got to know Steve.

Syndicate 148
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Making Decisions in Context

Austin Startup

Your Cap Table is something that deserves constant care and attention. Messy cap tables can come back to haunt you when you do a financing or sell the company. Many of us suffered in the 2000–2002 dotcom crash and/or the 2007–2009 Great Recession; others hardly noticed a blip.

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After Raising $6.7M For Startups And Winning SEC Approval, AngelList Opens Up Investment Platform To More Companies

techcrunch.com

From 2004 to 2007, she helped lead Congresswoman Carloyn Maloney’s community outreach and relations efforts in New York City. That way, startups only have one entity in the cap table, which simplifies documentation and structure. Leena Rao is currently a Senior Editor for TechCrunch.

SEC 61