Steve Blank

APRIL 26, 2022

Cram downs are back – and I’m keeping a list. Except, that is, for the bottom feeders of the Venture Capital business – investors who “ cram down ” their companies. A cram down is different than a down round. Cram downs wouldn’t exist without the founder’s agreement. Stopping Cram Downs.

Cram Down 404

Cram Down Founder Venture Capital Recapitalization 404

Startup Professionals Musings

MARCH 22, 2020

That means writing down and signing the terms of the agreement, after making sure everyone understands them. Tie payments to your product or service revenue. New money from professional investors sees no value in old money, so the equity of early investors is “crammed down” and often lost in the scale-up surge.

Management 308

Management Cram Down Angel Investor Equity 308

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”. Is a completed product necessary to get funding? But Howard comments wire frames or some progress toward a product should be achievable given how inexpensive it is to produce. They follow on when milestones are met.

Pre-Money Valuation 284

Pre-Money Valuation Technical Review Cofounder Cram Down 284

Startup Professionals Musings

MARCH 9, 2018

That means writing down and signing the terms of the agreement, after making sure everyone understands them. Tie payments to your product or service revenue. New money from professional investors sees no value in old money, so the equity of early investors is “crammed down” and often lost in the scale-up surge.

Cram Down 148

Cram Down Angel Investor Equity Dividend 148

Startup Professionals Musings

OCTOBER 10, 2014

That means writing down and signing the terms of the agreement, after making sure everyone understands them. Tie payments to your product or service revenue. New money from professional investors sees lesser value in old money, so the equity of early investors is “crammed down” and often lost in the scale-up surge.

Founder 254

Founder Cram Down Angel Investor Equity 254

Startup Professionals Musings

NOVEMBER 11, 2015

That means writing down and signing the terms of the agreement, after making sure everyone understands them. Tie payments to your product or service revenue. New money from professional investors sees lesser value in old money, so the equity of early investors is “crammed down” and often lost in the scale-up surge.

Cram Down 120

Cram Down Angel Investor Equity Dividend 120

Rob Go

SEPTEMBER 2, 2014

Getting Crammed Down. If a), you reduce the cram-down risk, but also reduce the fund’s upside because you own less of your portfolio companies to begin with. Just like any startup, to stay successful, you need to stay inventive, stay hungry, and keep putting out the best product time and again.

Cram Down 66

Cram Down Institutional Investors Dilution Seed Stage 66