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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

Similarly, when Flexible VC structures are based off of the founder’s own compensation (often via salary or dividends), investors are specifically tying their returns to the financial success of the founder. Founder Earnings” (Founder Salaries + Dividends + Retained Earnings). Profits, Founder Salaries, and/or Dividends Declared.

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8 Entrepreneur Mistakes That Turn Off Real Investors

Startup Professionals Musings

Undefined business model or very low gross margins. Marketing programs and distribution channels are required for even the best solutions, with an appropriate and viable rollout and growth strategy. All internal teams need to have relevant skills and experience. Investors pass if they find conflicted team members.

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Why Tim Cook is Steve Ballmer and Why He Still Has His Job at Apple

Steve Blank

Services (Cloud, ads, music) have a very different business model. Ballmer and Microsoft failed because the CEO was a world-class executor (a Harvard grad and world-class salesman) of an existing business model trying to manage in a world of increasing change and disruption. What’s Missing? They remain entrepreneurs.

Azure 120
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Why Tim Cook is Steve Ballmer and Why He Still Has His Job at Apple

Steve Blank

Services (Cloud, ads, music) have a very different business model. Ballmer and Microsoft failed because the CEO was a world-class executor (a Harvard grad and world-class salesman) of an existing business model trying to manage in a world of increasing change and disruption. What’s Missing? They remain entrepreneurs. .

Azure 120
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8 Funding Proposal Red Flags Every Startup Can Avoid

Startup Professionals Musings

Undefined business model or very low gross margins. Marketing programs and distribution channels are required for even the best solutions, with an appropriate and viable rollout and growth strategy. All internal teams need to have relevant skills and experience. Investors pass if they find conflicted team members.

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Term-sheets and Valuations: Thinking about Negotiations - Startups.

Tim Keane

.   You can vary both valuation and term-sheet assumptions (in the gray boxes) to assess the impact on the values of the business.   Note that this applies only to earl stage Series A-type equity financings and assumes no cash dividends are paid to investors.   First , dividends. Let’s start at the end.

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Incorporating Your Business: Tips to Follow

The Startup Magazine

Sure enough, most entrepreneurs who have established robust business models will have to go through several legal hurdles before officially securing their recognition as a legitimate enterprise. The only disadvantage with this setup is the issue of double taxation in case you want to distribute dividends from leftover profits.