Startup Professionals Musings

JANUARY 6, 2021

In reality, too many choices actually dilutes customer interest in your existing market, and makes your job of production, marketing, and support much more complex. No matter how much energy, experience, and passion you have, there is always more you can learn from an Advisory Board of external experts or a mentor.

Technical Review 400

Technical Review Technical Cofounder Advisory Board Cofounder 400

Startup Professionals Musings

OCTOBER 21, 2017

Advisory Board Member, 1% Senior Engineer,3 -.7% You should also assume that your percentage will go down through dilution as the company raises additional rounds, and offer sizes will go down as the company grows. 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

Stock 140

Stock Stock Options Advisory Board Startup 140

Startup Professionals Musings

OCTOBER 17, 2013

Advisory Board Member, 1% Senior Engineer,3 -.7% You should also assume that your percentage will go down through dilution as the company raises additional rounds, and offer sizes will go down as the company grows. 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

Stock Options 224

Stock Options Stock Advisory Board Startup 224

David Teten

JANUARY 19, 2021

That said, Jonathan Bragdon, General Partner, Capacity Capital , points out that Flexible VC terms “twin” well with equity: providing less dilution while still providing investor assistance. . Disclosures: Blue Future Partners is a member of the Advisory Board of ff Venture Capital , where David Teten was formerly a Partner.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Startup Professionals Musings

SEPTEMBER 22, 2012

Advisory Board Member, 1% Senior Engineer,3 -.7% You should also assume that your percentage will go down through dilution as the company raises additional rounds, and offer sizes will go down as the company grows. 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

Stock Options 230

Stock Options Stock Advisory Board Startup 230

Startup Professionals Musings

JULY 24, 2011

Advisory Board Member, 1% Senior Engineer,3 -.7% You should also assume that your percentage will go down through dilution as the company raises additional rounds, and offer sizes will go down as the company grows. 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

Equity 234

Equity Advisory Board Stock Options Stock 234

Startup Professionals Musings

MARCH 29, 2015

Advisory Board Member, 1% Senior Engineer,3 -.7% You should also assume that your percentage will go down through dilution as the company raises additional rounds, and offer sizes will go down as the company grows. 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

Stock Options 120

Stock Options Stock Advisory Board Startup 120

Berkonomics

JULY 10, 2010

This insight addresses the establishment and maintenance of an advisory board, a formal group with no legal responsibilities, but one able to be called upon to act as business, industry and scientific advisors to the CEO. Email readers continue here.]

Advisory Board 63

Advisory Board Stock Options Stock Common Stock 63

David Teten

NOVEMBER 17, 2011

In particular, this model is designed to help all team members understand the impact of dilution on their options. To illustrate dilution effects, we show a couple of investment rounds (angel and VC) as well as employee option increments at different stages.

Employee 155

Employee IRR Startup Mexico 155

Startup Professionals Musings

JUNE 20, 2010

Advisory Board Member, 1% Senior Engineer,3 -.7% You should also assume that your percentage will go down through dilution as the company raises additional rounds, and offer sizes will go down as the company grows. 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

Stock 144

Stock Stock Options Advisory Board Startup 144

The Startup Lawyer

FEBRUARY 4, 2011

Thus, if your startup is willing to give a couple points to a few advisory board members, determine how much the incubator’s mentorship (and introductions) equates to an advisory board and assign a percentage. Other incubators may want to set up an option pool.

Incubator 105

Incubator Pre-Money Valuation Option Pool Advisory Board 105

Feld Thoughts

FEBRUARY 28, 2023

This third body is often referred to as an advisory board (Beirat), sometimes also as a supervisory board (Aufsichtsrat). However, the lack of a conversion right also has implications for anti-dilution protection: in the U.S., In Germany, anti-dilution protection is achieved by issuing additional preferred shares.

Germany 165

Germany Liquidation Preference Option Pool Advisory Board 165

thinkspace.com

SEPTEMBER 7, 2012

Equity for Board of Directors and Advisory Board. Typically for an Advisory Board it ranges from 1/10th of percent to 1/2% and for Board of Directors from 1/2% to 2%. Should founders have anti-dilution rights? You would want to check and see if your shares can be diluted. of Total 43% 57%.

Equity 62

Equity Employee Founder CTO Hire 62

Berkonomics

NOVEMBER 23, 2023

An option plan should carve out an addition of about 15% of the “fully diluted” shares. If there are 85,000 shares issued to the founders, then a plan calling for 15,000 shares in a pool reserved for future hires is appropriate, making the fully diluted shares 100,000. Director level employees are typically granted ½%.

Equity 62

Equity Stock Options Vesting Early Stage 62

Startup Professionals Musings

SEPTEMBER 5, 2018

For example, I was on the Advisory Board of a small company whose founder was killing his health through overwork, even though he felt high focused. Also you need to make sure that highly skilled key people are not diluted by unfulfilling routine work.

Advisory Board 152

Advisory Board Non-Compete Dilution .Net 152

thestartuplawyer.com

FEBRUARY 24, 2010

Contact The Startup Lawyer: Home Page About Contact FAQs Glossary Ryan Roberts Law: Home Page Social Networks: Facebook Twitter LinkedIn Flickr Delicious Digg Last.FM He obviously never launched a startup and got shafted by a co-founder. He obviously never launched a startup and got shafted by a co-founder.

Cofounder 40

Cofounder Founder Preferred Stock Startup 40

Berkonomics

SEPTEMBER 28, 2017

An option plan should carve out an addition of about 15% of the “fully diluted” shares. If there are 85,000 shares issued to the founders, then a plan calling for 15,000 shares in a pool reserved for future hires is appropriate, making the fully diluted shares 100,000. Director level employees are typically granted ½%.

Early Stage 102

Early Stage Equity Stock Options Vesting 102

venturehacks.com

MARCH 21, 2008

Normal advisors are also assembled by naive entrepreneurs who think the mere presence of an advisory board will create social proof and help them raise money. But investors don’t take these mock advisory boards seriously. SKMurphy » Common Questions about Advisory Boards - Jun 2, 2009 [.]

Advisory Board 44

Advisory Board Cap Table Vesting Equity 44

Life Beyond Code

AUGUST 28, 2013

You are addressing a super big market so the product is diluted in value. You don’t have a well rounded advisory board to help you fill all the gaps. Your advisory board is too big and you are getting conflicting advice from different team members.

Advisory Board 117

Advisory Board Startup Dilution Cofounder 117

betashop.com

OCTOBER 8, 2012

A couple of dilution points here or there wont matter in the long run but working with the right people will.? Don’t skimp on fundraising because of dilution fears.?. Use them as a sounding board for corporate development issues. Advisory boards never amount to much. This is tricky. Don’t do this by committee.

Technical Review 108

Technical Review Technology Software Review Valuation 108

Hunter Walker

MAY 7, 2015

Satya and I discussed how we help companies fundraise and our thinking in maintaining ownership vs buying up vs taking dilution. Bringing New LPs Up to Speed: Since we raised our second fund earlier this year, you can think of this as our first board meeting with our new investors.

LP 48

LP Advisory Board Harvest Seed Stage 48

Berkonomics

MAY 12, 2010

An option plan should carve out an addition of about 15% of the “fully diluted” shares. If there are 85,000 shares issued to the founders, then a plan calling for 15,000 shares in a pool reserved for future hires is appropriate, making the fully diluted shares 100,000. [Email readers continue here.]

Early Stage 85

Early Stage Equity Stock Options Vesting 85

betashop.com

OCTOBER 8, 2012

Use them as a sounding board for corporate development issues. Advisory boards never amount to much. A couple of dilution points here or there wont matter in the long run but working with the right people will. Don’t skimp on fundraising because of dilution fears. Don’t do this by committee.

Post-Money Valuation 92

Post-Money Valuation Valuation Dilution Advisory Board 92