Remove Cofounder Remove Dilution Remove Distribution Remove Founder
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5 Equity Distribution Parameters For Key Contributors

Startup Professionals Musings

I always tell entrepreneurs that two heads are better than one, so the first task in many startups is finding a cofounder or two. Giving a cofounder a salary won’t get you the “fire in the belly” you want. Each cofounder should get equity for value, based on these key variables: Lived a key role in a previous startup.

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Introducing the Cap Table and Hiring the CTO

Feld Thoughts

Jane and Dick, our fearless cofounders of SayAhh, have set up an accounting system and created their first set of financial statements. The founders each have common shares that will vest over four years. Bring Praveena in as a founder and offer 10-20% of the company as stock. Time to update the cap table.

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

This is going to be BIG.

Some of these folks are founders and CEOs, but not at high-growth tech startups. On the other hand, they could be the opposite—much more focused on near-term cash distributions than long-term equity appreciation. Role When I was a lowly Analyst at Union Square Ventures, I had so many ideas for the founders we worked with.

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Everything you always wanted to know about cofounders

Up and Running

Do I need a co-founder? These are some of the most frequent questions about co-founders that I have heard from entrepreneurs over the years. Do I need a co-founder? How many co-founders should I have? I have seen many successful companies with as few as 2 and as many of 11 co-founders.

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What Happens When Startups Turn from Their Innovation Stage to Operational Excellence?

Both Sides of the Table

As the idea went from innovating on software & systems to launching a company to rolling it out in the field brought on Rahul Gandhi as his co-founder to physically launch the company. We realized that operating a business in distributed markets presented multi-city coordination efforts that we weren’t prepared for.

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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

(co-written with Jamie Finney, Founding Partner at Greater Colorado Venture Fund. From RBI, Flexible VCs borrow the ability to reap meaningful returns without demanding founders build for an exit. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad.

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7 Tips To Raise Your Entrepreneur Instincts In School

Startup Professionals Musings

A popular myth these days is that finishing college only dilutes your entrepreneurial instincts, and the best of the best, including Bill Gates, Steve Jobs and Mark Zuckerberg, dropped out early to hasten their success. I agree with Robert E. Find summer internships and part-time work in your field of interest.