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Raising Funding From Family and Friends: Division of Equity

Business Plan Blog

You also need to think about how much equity you want to have set aside and available for your future employees in your option pool. Future investors will want and option pool, and more importantly it is ways of attracting talented employees to your startup.

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Should You Share Equity with Consultants?

www.inc.com

Writing A Business Plan. Running A Home-Based Business. Naming a Business. Financing a Small Business. Buying a Small Business. RUNNING A BUSINESS. Create an options pool, if nothing more than in your mind, so you have some parameters to work within," Durkin says. Email address: Home.

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Stock Option Plan Rule of Thumb No. 1

Business Plan Blog

Whatever the percentage, it pays to plan ahead. Most sophisticated investors will require a stock option pool upon investment, and a company that fails to reserve a sufficient amount of equity up-front runs the risk of being forced to establish a pool at a later date that may dilute the founders’ ownership.

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

Tim Keane

John Mullins: Getting to Plan B: Breaking Through to a Better Business Model. John Mullins: The New Business Road Test: What entrepreneurs and executives should do before writing a business plan (Financial Times Series). Resources for startups. Angel Capital Association website.

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How to Fund a Startup

www.paulgraham.com

So while nearly all VC funds have some addressyou can send your business plan to, VCs privately admit the chanceof getting funding by this route is near zero. I suspect VCs accept business plans "over the transom" more as away to keep tabs on industry trends than as a source of deals.

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VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

Lean Case provides standard business models & metrics, so you can apply a standard approach to business planning, modeling, and profitability tracking. The Long Term Stock Exchange is building out a set of tools for founders for managing their cap tables, 409A valuations, cash on hand, options pool, investor relations, etc.

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How to Divide Equity to Startup Founders, Advisors, and Employees

thinkspace.com

The elements of the decision making process are 1) Idea; 2) Business Plan Preparation; 3) Domain Expertise; 4) Commitment and Risk; 5) Responsibilities. Business Plan 2 3 6 8 16. Percent of the outstanding option pool: meaningless. Strike price of options: meaningless. Idea 7 10 70 3 21.

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