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Which Fundraising Round Should You Skip?

View from Seed

The reality is that if a founder raised every one of these rounds, and lead investors always got their “target” ownership, the level of dilution would be ridiculous. No good investor would want the founder/CEO of a company to have insufficient ownership by the series A, and every founder I know is sensitive to taking too much dilution.

Dilution 149
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Equity for Early Employees in Early Stage Startups

SoCal CTO

The reality is that an early employee in a pre-funded startup that eventually raises a few rounds of capital will be diluted significantly, is down the line in preference, and will likely be locked up for a while to harvest it. Lead Engineer 0.5 – 1 5+ years experience Engineer 0.33 – 0.66 Manager or Junior Engineer 0.2 – 0.33

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Remind Me Why I Love You? (Why “In Person” is Everything)

Both Sides of the Table

I also had to negotiate a follow-on round at a portfolio company because new investors were trying to force a bit option-pool top-up that would dilute the founders and existing shareholders and existing investors were fighting over prorata rights. She was one of the lead engineers at Uber. Some were interesting, some weren’t.

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How to Configure Your Startup Team

Both Sides of the Table

it’s the most expensive dilution you’ll ever face. Engineering is critical but it is not everything. And the folks at Startup Grind have been kind enough to invite me to present this morning in Mountain View on the topic. Quick summary: Be careful not to have too many co-founders. For the wrong reasons.

Cofounder 388
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Should You Negotiate Ownership Options In A Startup?

Startup Professionals Musings

CEO brought in to replace the founder, 5 - 10% CTO, CFO, VP of Marketing or Sales, 1.5 - 3% Chief Engineer or Architect, 1 - 1.5% Advisory Board Member, 1% Senior Engineer,3 -.7% 7% Product Manager,2 -.3% 3% If you are not on this list, just worry about getting whatever your peers are getting.

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How to Keep Your Job As Your Company Grows

Steve Blank

I worked with engineering to try to find product/market fit ( big endian or little endian ?) and get the chip designed into companies building engineering workstations – powerful personal computers, all while trying to refine how to find the right markets, customers, and sales process. Loss of Community?

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7 Short-Term Business Mistakes Can Limit Your Impact

Startup Professionals Musings

It’s easy to say “yes” to one more feature request after another, until the potential for real impact gets diluted. Yahoo has been an example of a company which expanded in all directions through 53 acquisitions, to the point where most customers were confused, and it was overtaken by Google as your main search engine.

Dilution 334