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Are You Selling Your Company? Be Careful with Financial Buyers!

Scott Edward Walker

I’ve been doing M&A transactions for 25+ years (including nearly eight years at two major New York City law firms), and I wanted to briefly discuss an important issue for founders interested in selling their company: the distinction between strategic and financial buyers. How Is the Deal Structure Different with a Financial Buyer?

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Flexible VCs With Structures Between Equity and Revenue-Based Investing

David Teten

(co-written with Jamie Finney, Founding Partner at Greater Colorado Venture Fund. This essay is part of a series on alternative VC: I: Revenue-Based Investing: a new option for founders who care about control. Reformation Partners Fund I is a $20M fund with check sizes ranging from $500k-$1.5M; the firm targets 7.5%-20%

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Acquihires 101: Tips for Founders

Scott Edward Walker

How is the Deal Structured? The deal is typically structured as an asset purchase (as opposed to a stock purchase or merger) — though the acquirer often does not actually want the startup’s IP and/or other assets. The appeal from the startup’s perspective is a “soft landing.”.

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Should You Co-Found Your Company With a Software Development Shop (2 of 2)?

David Teten

incubators, e.g., the many options in New York. intrapreneurs, e.g., the employee of GE who is tasked with launching a new business. Partnering with a source of capital, connections, and expertise for a large equity chunk is often worth it in those scenarios (e.g., I spoke with Thatcher Bell , Managing Partner, CoVenture.