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What do investors consider the most important aspect of a potential deal?

Gust

Team, Business Model, Traction, Customer Acquisition, Scalability, Defensibiity, Capital Efficiency, Churn, Time to Breakeven, Exit Strategy. Integrity, Passion, Startup Experience, Domain Expertise, Functional Skills, Leadership, Commitment, Vision, Pragmatism, Flexibility, Personality. Characteristics of the Venture.

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After the VC Term Sheet is Signed – It’s Not Over Yet

Genuine VC

It doesn’t matter the reason – a competitive funding announcement, a customer loss, a bad month of results – with more time, the increased chances of more emerging mitigating factors to getting the deal completely finalized. Founder vesting is the most common example.

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The New Deal – A Founding CEOs Value is Non Linear

Steve Blank

The customary vesting model has founders vest their stock over 4-years , and when the founding CEO gets in over their head the VC’s bring in professional management. At best this is an argument where no one wins, at worst it’s like a nasty divorce. More often than not the founding CEO leaves the company.

Vesting 251
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Most Common Early Start-up Mistakes

Both Sides of the Table

Get customer input. People design their products in a box assuming that they’ll show customers later and get feedback. Interview customers to better articulate their problems. Founder vesting. Yesterday I wrote a blog posting on founder vesting (see here ). This is another big mistake.

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The Equity Equation

venturehacks.com

Ask the Attorney” – Founder Vesting. How to pick a co-founder. Our Spreadsheet. Check out the video tour. Charles River Ventures : We back people who want to change the world. Supporter Posts. Scott Edward Walker. Popular Posts. How to make a cap table. We don't pay you to work here. The Option Pool Shuffle.

Equity 40
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How to pick a co-founder

venturehacks.com

The best sellers can sell to customers, partners, investors, and employees. Breakups are hard If you’re going to fall out with your co-founder, do it early, recover the equity into the option pool to keep the company going, and recruit someone else great to fill the missing slot. Build in founder vesting (a.k.a.

Cofounder 101