The Startup Magazine

AUGUST 15, 2022

The first step in creating a business plan to sell your startup to an acquirer is to create a valuation of your company. The valuation should include a business optimization plan that outlines strategies and tactics for growing transferable value, attracting potential buyers, and driving deal value.

Merger 130

Merger Acquisition Due Diligence Valuation 130

YoungUpstarts

MAY 17, 2019

The opportunity: Use this as a negotiating point when bargaining for the deal. If the business IS the business owner, then that person needs to be part of the deal. Structure the buy-out to include an employment contract or consulting agreement, as well as an earn-out. Ask about the company culture and decide what parts to keep.

Due Diligence 185

Due Diligence Forecast Deal Structure Valuation 185

Both Sides of the Table

MAY 13, 2013

The Aqui-hire Business. Many buying companies price these deals on the basis of $1 million per engineer on the team for an early-stage deal. Hire legions of young, impressionable graduates from the top engineering universities. Chief Vesting Officers)? It says if you want to make “real” money - quit.

Liquidation Preference 357

Liquidation Preference Early Stage Retention Lock-up Period 357

K9 Ventures

OCTOBER 10, 2017

Unless every aspect of product development is covered by founders who are only receiving equity, there are other parts of building a product that will require hiring highly qualified people. The amount of capital (and therefore the resulting valuation) also sets the stage for the next round of financing for a company.

Seed Stage 82

Seed Stage Finance Later Stage Equity 82

Duct Tape Marketing

FEBRUARY 16, 2023

And that's when you open the Pandora's box of getting into process, procedure, methodology is the, you know, everything in the business running through that owner is the owner, got his hands on, you know, every deal, every sale. So we could go, we could spend the rest of our time talking about valuation. 09:23): Sure.

Technical Review 80

Technical Review Wisconsin Non-disclosure Agreement Salary 80

grasshopperherder.com

SEPTEMBER 24, 2011

Valuations. I was approached with one sweat equity offer that placed the valuation of the company at >$5 million pre-money and before even a seed round of funding. I would be very wary of accepting a valuation like this, simply because I’m not qualified and as a consultant, I shouldn’t have to be. Unseen Metrics.

Sweat Equity 41

Sweat Equity Equity Cofounder Non-Compete 41

Cracking the Code

OCTOBER 10, 2008

Only after reaching $1M in CMRR should you consider hiring European sales and services execs behind customer demand. To understand when the business has started to climb the sales learning curve and is in a position to hire more reps profitably, you have to think in terms of CMRR instead of bookings.

Software Review 48

Software Review North America Europe Metrics 48