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The BSList - Busted Cap Table (No. 104)

This is going to be BIG.

Because you’ve still only got a handful of people on your team and you’re doing nine jobs—none of which involves creating enough reputation and industry notoriety to get on the radar of an investor quite yet. But back to the cap table. Here’s why VC’s don’t actually care about your prior cap table in most circumstances.

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On the Road to Recap:

abovethecrowd.com

Also, they have a strong belief that any sign of weakness (such as a down round) will have a catastrophic impact on their culture, hiring process, and ability to retain employees. Their own ego is also a factor – will a down round signal weakness? A down round is nothing. Get over it and move on.

IPO 40
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How to Fund a Startup

www.paulgraham.com

One of the dangers of taking investment from individual angels,rather than through an angel group or investment firm, is that theyhave less reputation to protect. 5 ] Another danger of less known firms is that, like angels, they haveless reputation to protect.