David Teten

JANUARY 19, 2021

Seed-stage compatible: Like traditional equity VC investors, Flexible VCs accomodate early-stage investment risk within their portfolios better than a traditional RBI funder. Typically promissory note or non-voting common stock, with covenants. Hard covenants with potentially strict penalties. . Short track record.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Berkonomics

AUGUST 24, 2023

We have previously made the case that professional investors demand more in the form of restrictive covenants and lower valuations. So now, in this series of insights, we have explored the early stages of formation and finance. This statement could be considered controversial. Now we explore the other side of that coin.

Covenant 118

Covenant Angel Investor Valuation Later Stage 118

Both Sides of the Table

SEPTEMBER 28, 2014

Plus, most early-stage M&A fails so this isn’t likely a good use of capital for a young company). Many venture debt lines have “covenants” that restrict you from going below a certain amount of cash in the bank (in normal times they are more common – in better times they are less common).

Burn Rate 383

Burn Rate Balance Sheet .Net Valuation 383

David Teten

AUGUST 19, 2019

Like other RBI firms, Decathlon does not require warrants, governance involvement, or the types of financial covenants that are often associated with other venture debt type solutions. GSD Capital. “ GSD Capital partners with early-stage SaaS founders to fund growth initiatives.

Revenue 60

Revenue Technical Review Software Review Equity 60

Austin Startup

DECEMBER 7, 2017

There are two problems with early stage investing: telling how much a company is worth when truthfully, it is still worthless; and helping early-stage companies protect themselves from over dilution when they are, effectively, worthless. This begs the questions, what is a SAFE note, and why use it?

Covenant 48

Covenant Cap Table Early Stage SBA 48

David Teten

AUGUST 1, 2019

Structuring and Negotiating Executive Compensation Packages: Addressing Pay, Severance, Restrictive Covenants, and More. Joining An Early Stage Startup? How to assign stock options in early-stage startups. Negotiating Employment with a Private Equity Firm – 7 Surprises to Expect. Salary.com.

Private Equity 60

Private Equity Equity Due Diligence Portfolio 60

David Teten

SEPTEMBER 10, 2019

Structuring and Negotiating Executive Compensation Packages: Addressing Pay, Severance, Restrictive Covenants, and More. Joining An Early Stage Startup? How to assign stock options in early-stage startups. Negotiating Employment with a Private Equity Firm – 7 Surprises to Expect. Salary.com.

Due Diligence 60

Due Diligence Stock Options Covenant Private Equity 60