Both Sides of the Table

APRIL 20, 2011

He also says it is important to be able to participate in follow on rounds so as not to get “crammed down”. It is possible to submit a plan through email but it is not the best approach. First Round Capital makes 20-25 investments a year with an average size of $500k. They follow on when milestones are met.

Pre-Money Valuation 284

Pre-Money Valuation Technical Review Cofounder Cram Down 284

Steve Blank

NOVEMBER 2, 2009

In times when venture capital is hard to get, investors extract high costs for failure (down-rounds, cram downs , new management teams, shut down the company.) To Order Outside of the U.S. Now In Print! Steve Blanks 30 years of Silicon Valley startup advice.

Lean 244

Lean Silicon Valley Startup RSS 244

Tim Keane

AUGUST 20, 2009

"  The problem has been that too-high valuations and too generous terms have spawned painful down rounds that squash the entrepreneur and his early investors.    New money, usually VC money, comes in and crams down those early investors and takes substantial shares from the entrepreneur.  April 2013.

Milwaukee 60

Milwaukee Bootstrapping Cram Down Deal Structure 60