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Want to Know How VC’s Calculate Valuation Differently from Founders?

Both Sides of the Table

Things like “ participating preferred stock &# in legalese unsurprisingly never actually call out, “hey, this is the participating preferred language.&# We got a3x participating liquidation preference with interest (not participating with a 3x cap, but 3x participating.

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How to Divide Equity to Startup Founders, Advisors, and Employees

thinkspace.com

David Crow writes in his article “ Founders versus Early Employees “, “Remember the goal is to incent early employees to have an emotional ownership of the product and company they are building. I was originally hired as a contractor, developing a SaaS app from scratch, including DB design and coding. The employee buys a.

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