Feld Thoughts

JUNE 10, 2022

I like the quote she pulled out of me in our conversation. I don’t respond to many interview requests these days, but I’ll always talk to her. She has a good article today in TechCrunch titled Embrace the down round (it’s going to be okay, maybe). and a bunch of other things.

Down Round 162

Down Round Ratchet Liquidation Preference Participating Preferred 162

ConversionXL

MARCH 19, 2012

Even though social media and internet rule, customers make purchase decisions using a combination of old media, new media, and old-fashioned conversations with friends and family. Overwhelmingly, both halves of participants preferred the nice plump chicken, but their reasoning was different.

Social Media 129

Social Media Technical Review Arlington Clickthrough 129

Berkonomics

JANUARY 6, 2022

Email readers, continue here…] Take a situation where the VC investors finally see the chance of a return after ten years, with participating preferred and fifty percent of the ownership after several rounds. Here’s an example that will make your heart skip a beat.

Dividend 62

Dividend IRR Preferred Stock Participating Preferred 62

Scott Edward Walker

JUNE 9, 2019

I liken it to participating preferred — which founders also do not typically understand until it is too late. In short, super pro rata rights are another example of investors trying to take advantage of inexperienced founders. The post WHAT ARE SUPER PRO RATA RIGHTS? appeared first on WALKER CORPORATE LAW GROUP, PLLC.

Preferred Stock 56

Preferred Stock Term Sheet Dilution Stock 56

Both Sides of the Table

APRIL 14, 2010

Once you cross the threshold where their percentage ownership would be worth more than the value of their preference they “convert&# their preferred stock into common stock and take their proceeds pari passu (along side and on the same terms as you) with the common stock holder. Take liquidation preferences head on.

Venture Capital 289

Venture Capital Liquidation Preference Common Stock Dividend 289

Feld Thoughts

FEBRUARY 28, 2023

Conversion right: In Germany, there is generally no conversion right entitling the holder of preferred shares to convert them into common shares at any time. This may not seem like a big deal at first glance, but it has extensive implications under various aspects, such as the structure of the liquidation preference.

Germany 165

Germany Liquidation Preference Option Pool Advisory Board 165

Berkonomics

OCTOBER 1, 2015

Take a situation where the VC investors finally see the chance of a return after ten years, with participating preferred and fifty percent of the ownership after several rounds. And that reputation will last for a long time in the entrepreneurial community.

Dividend 48

Dividend Preferred Stock IRR Participating Preferred 48