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The Pros and Cons of Rando Rich People Investing in Your Startup

This is going to be BIG.

While they might be generally smart, they’re unsophisticated investors who don’t know what the market is for where you are. They try to sign simple, market-standard deals, keeping the bells and whistles to a minimum while focusing on just a few critical deal points that are most likely to move the needle on their returns.

.Net 88
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How to Pick the Right Attorney For Your Startup

Up and Running

You can’t underestimate the importance of selecting an attorney who “gets” your business model, your market opportunity, and most importantly, your fundraising and exit strategy. of our company in exchange for the $300K, and my business partner and I each diluted from 50% ownership down to 33.3% ownership and never dilute.

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Angel Investing 4 – Why You Need Deep Pockets to Win Big

Both Sides of the Table

Markets like these are very kind to angel investors because you get taken out early and see a nice pop on your investment. I know some people think the whole market has been disrupted and startups and funding work differently these days. Total disruption on the funding market? avoid being diluted). I doubt it.

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In 2017, GE Will Buy More Tech Startups Than Google

Hunter Walker

The total value of these deals might look higher than when a tech company makes an acquihire but the premium tends to go to retention rather than the cap table (especially since (a) the acquirer might not be seen as an ‘attractive’ place to work and (b) there’s assumption of less equity upside post-acquisition).

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Want to Know How VC’s Calculate Valuation Differently from Founders?

Both Sides of the Table

Due to competitive markets we ended up with a pretty good term sheet until we needed to raise money in April 2001 and then we got completely screwed. The more senior members you have (say you already have a CEO, CTO, VP marketing, VP Biz Dev, VP Products) then the less options you’ll need and vice versa.

Valuation 405
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VC Optimism Returning But More Pain Ahead In Their Portfolios

Hunter Walker

At the time, this is last quarter and the stock market has trended upwards nicely since then (a potential leading indicator of private tech valuations), we all agreed venture portfolios were probably still 25-40% overvalued. Soft Acquisition Market. Whatever gets reported is just the tip of the iceberg.

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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

The value ascribed by subsequent investors (in a secondary); buyers (acquisition); or the public markets (IPO). 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. . Volatile, uncapped.