Both Sides of the Table

MAY 5, 2013

. “Whenever I hear advice about pricing a round too high for the next round, I can’t help but think: well, if the choice (ceteris paribus) is between. I would love it if other people would weigh in on the comments section below if you’ve had experiences with down rounds. A down round.

Down Round 302

Down Round Cram Down Valuation Reputation 302

ReadWriteStart

JUNE 1, 2020

In very few specific cases, depending on the nature of the business, the business model might demand a considerable gestation period or extensive research and development. But, in subsequent rounds of funding inflated valuation will be normalized resulting in a down round. It might be tempting to do so.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

abovethecrowd.com

APRIL 20, 2016

Also, they have a strong belief that any sign of weakness (such as a down round) will have a catastrophic impact on their culture, hiring process, and ability to retain employees. Their own ego is also a factor – will a down round signal weakness? A down round is nothing. Get over it and move on.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

www.paulgraham.com

APRIL 28, 2010

A lawyer I asked about it said: When the company goes public, the SEC will carefully study all prior issuances of stock by the company and demand that it take immediate action to cure any past violations of securities laws. 5 ] Another danger of less known firms is that, like angels, they haveless reputation to protect.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

www.quora.com

SEPTEMBER 22, 2011

Early employees are paid a salary from day 1, don't have to have the reputation/connections to raise money, take on much less risk, and often have much more information about the company (team so far, financials, product traction/progress) when they decide to join than the founders do when they found the company. I'm always su.

Equity 40

Equity Employee Founder Cofounder 40