The Startup Toolkit

NOVEMBER 4, 2011

Next, we check that we’re safe from any particularly onerous terms like participation preferred. The latter means products, analytics, optimisations, and developers. What’s the dilution? Can I make those numbers bigger and smaller, respectively? Looks good.

Term Sheet 31

Term Sheet Dilution Participating Preferred B2C 31

The Startup Toolkit

NOVEMBER 4, 2011

Next, we check that we’re safe from any particularly onerous terms like participation preferred. The latter means products, analytics, optimisations, and developers. What’s the dilution? Can I make those numbers bigger and smaller, respectively? Looks good.

Term Sheet 20

Term Sheet Dilution Participating Preferred B2C 20

Lightspeed Venture Partners

OCTOBER 1, 2012

The company has sold $330k of product over the last two years, all online, mostly to ballroom dancers, where the product has developed a niche following. But if the company is sold for less than their post money valuation, they would prefer to get their money back.

Pre-Money Valuation 153

Pre-Money Valuation Valuation Participating Preferred Preferred Stock 153

Feld Thoughts

FEBRUARY 28, 2023

He believes the structures originally developed in the U.S. In the USA, the conversion right ensures that holders of preferred shares are not disadvantaged compared to holders of common shares; in Germany, this legal consequence must result directly from the structure of the preferred shares. German Startups Association).

Germany 165

Germany Liquidation Preference Option Pool Advisory Board 165

Both Sides of the Table

APRIL 14, 2010

Once you cross the threshold where their percentage ownership would be worth more than the value of their preference they “convert&# their preferred stock into common stock and take their proceeds pari passu (along side and on the same terms as you) with the common stock holder. Some investors love to get out sharp elbows.

Venture Capital 289

Venture Capital Liquidation Preference Common Stock Dividend 289

Scott Edward Walker

APRIL 9, 2012

Indeed, as a corporate lawyer for 18+ years, I have seen this development first-hand. They are also typically granted certain additional economic rights (like Series A investors), such as pro-rata rights and a liquidation preference. This post is the first part of a three-part primer on convertible note seed financings.

Preferred Stock 87

Preferred Stock Finance Common Stock Liquidation Preference 87

ConversionXL

APRIL 23, 2013

Key lesson: people do not mess with defaults (unless they’re designers or developers)! The researchers informed half of the participants that natural chickens were healthy but less tasty, and genetically engineered chickens were tasty, but less healthy. The other half were told the opposite.

Web 134

Web Design Denmark Green 134