article thumbnail

7 Equity Crowdfunding Risks Feared By Many Investors

Startup Professionals Musings

According to Yahoo Finance , less than a third of crowdfunding campaigns currently reach their goals, and the rest have to return anything they do collect. Professional investors like to keep tight control of capitalization tables and all stock owners, to facilitate their own payoff when a sale, merger, or public stock offering is held.

Equity 180
article thumbnail

On the Road to Recap:

abovethecrowd.com

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. By the first quarter of 2016, the late-stage financing market had changed materially. Investors were becoming nervous and were no longer willing to underwrite new Unicorn-level financings at the drop of a hat. This is uncharted territory.

IPO 40
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Startup Equity For Employees

www.payne.org

Companies raise money by selling new stock after the board of directors authorizes the sale to investors. At a minimum, do your own personal finance homework so you know how much salary you need to live and not spend your savings. The other factor is the "cap table" (capitalization table, or summary of who owns what stock).

Equity 56
article thumbnail

Episode 8: Charlie’s Bcast Email, Startup Incubators, and 10 Reasons Why Startups Fail | The Bcast

Up and Running

I’d implemented a business plan including marketing, engagement, sales strategy and realized a few months in that it wasn’t servicing a key influence or in the sales process. They never worked with the startup who had needed to raise multiple rounds of financing. We would need someone who’s as scalable CEO.”