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

Tim Keane

.   At the financial level , and assuming a harvest of the investment in the company without the need for further financing, two terms stand out as driving economics: the dividend and the liquidation preference. Second a liquidation preference and a participation.   First , dividends.

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Some lessons on startup financing from Tren Griffin and Nassim Taleb

The Equity Kicker

but she will most likely now be sitting behind a $25m liquidation preference and have taken on new investors who want to exit the company for at least $240m (to get 3x on their investment). Avoid[ A rigid business plan gets one locked into a preset invariant policy, like a highway without exits —hence devoid of optionality.”.

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How much equity for investors and employees?

dondodge.typepad.com

Don Dodge on The Next Big Thing Thoughts on business and technology Home Archives Profile Subscribe About Me « Boston VCs gets first look at Y Combinator Demo Day | Main | Digg-nation is HUGE! Community is more powerful than money or technology » August 11, 2007 How much equity for investors and employees?

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How I Pitched My Business and Raised $2.3 Million in VC Funding

Up and Running

I spent a couple years running a digital agency that built custom software and just dove in head-first, teaching myself to program (which would serve me well later), figuring out how to effectively run a software team, and understanding the landscape of technologies available to entrepreneurs as I helped them make their product goals reality.