When Should Startup Founders Discuss Valuation with Seed VCs?
View from Seed
OCTOBER 21, 2014
In theory, there are three levels of pricing for an entrepreneur to potentially signal to a prospective investor: 1. Lower-Than-Market Value.
Signaling Pricing Expectations Early in Seed Investment Discussions
JULY 30, 2012
By communicating pricing expectations with potential lead investors, I mean sharing either an “ask” or even stated floor for the pre-money valuation of the company (with a priced preferred round) or explicitly stating a valuation cap (for convertible note round). Above market. But, also by definition, that just can’t be the case.
From demo day to dollars!
NOVEMBER 10, 2011
Don’t get into custom due diligence sessions with each potential investor. Are any of your mentors potential investors?
Knowledge Is Power: Convertible Note Financing Terms, Part V
OCTOBER 26, 2011
As we conclude our convertible note financing series, there are assorted terms commonly seen in term sheets and deal documents that are worth touching on briefly. Investor Questionnaire. On the investor side, representations and warranties in the purchase agreement primarily relate to securities law compliance.
Startup Blog: 7 Questions You May Get from Potential Investors
APRIL 20, 2011
For now, I want you to start thinking of questions you may get from investors and potential management and sharpen your answers to those questions.