FEBRUARY 1, 2018
It is highly typical for a startup to have small investors on its cap table. In this situation, the FFAs are diluted from an ownership percentage, but enhanced economically. We have even done deals where we come in for a Series A or Series Seed at a valuation LOWER than what the FFAs paid, and then literally convert the FFAs investment to the lower valuation security to protect them. And as stated above, I think they should use these rights.