Remove Common Stock Remove Entrepreneur Remove Government Remove Revenue
article thumbnail

Startup Funding – A Comprehensive Guide for Entrepreneurs

ReadWriteStart

I have often been asked about Startup Funding by entrepreneurs. Here is Startup Funding, a Comprehensive Guide for Entrepreneurs. The primary source of your funds should be your paying customers, i.e., your business should generate enough revenues and profits to fund the growth and expansion. Government programs.

Startup 150
article thumbnail

Flexible VC, a New Model for Companies Targeting Profitability

David Teten

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Flexible VC: Revenue -based. Of the Inc.

Insiders

Sign Up for our Newsletter

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

article thumbnail

Do It Right The First Time, Part II: Visit the Doctor or House Call?

Gust

I urge all entrepreneurs to consult and develop a good working relationship with a qualified startup lawyer. Likewise, founders can benefit from understanding basic characteristics of the overall legal structure, formation and governance documents, rights and responsibilities of team members, etc. Newco, Inc.”) Yes, it’s a mouthful.

article thumbnail

Second-Class Investor Citizens: Facebook’s IPO and Dual-Class Equity Structures

Gust

Yet I’m skeptical that a widespread shift will occur anytime soon, and for reasons discussed below, as much as I admire and advocate for talented entrepreneurs, I believe it would be a losing proposition for nearly all involved. Options and warrants, when issued, are also typically exercisable for shares of Common Stock.

IPO 159
article thumbnail

How Startup Valuations are Driving Company Equity

ReadWriteStart

The market regards equity as an ownership “share” in a corporation’s income revenue stream. Common stock. The holding of common stock in a company indicates ownership in the corporation. Investors of common stock are eligible for : The choice of the Board of Directors.

Valuation 108
article thumbnail

VC Governance FAQ: (2) Especially now, when transparency is so important, why is limited financial information available from a private company?

Pascal's View

Susan Mangiero , CEO of Investment Governance’s Fiduciary X , asked me the following: Question: At a time when transparency is so important to institutional investors, how can fiduciaries reconcile that there is limited information available with a private company? Share and Enjoy:

article thumbnail

3 IPOs and the Lessons They Hold for Today’s Startups

ReadWriteStart

The well-known ridesharing giant hit the market this year with a target price of $45 dollars per share, with 180 million shares of common stock available at launch. In the months since, however, Fiverr’s stock has come down to earth. That would put the company at an overall value of around $82.4

IPO 147