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Equity for Early Employees in Early Stage Startups

SoCal CTO

I was asked by a reader how much equity he should give out to early employees and to service providers in a very early stage startup. Founders vs. Early Employees To help with this discussion, let me start with a definition of "early employee." I'll get to service providers in a later post.

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Early-stage Regional Venture Funds–part 2 of 3 of Bigger in Bend

Steve Blank

Part 2: Early-stage Regional Venture Funds. as a distribution channel have vastly reduced the amount of capital a startup needs at the early stage when the risk is greatest. What’s Missing Is Early Stage Capital. Late stage large regionally based funds that invest in late stage or mezzanine deals.

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10 Marketing Lessons for Early-Stage Tech Startups

Both Sides of the Table

The following are some lessons I learned about early-stage startup marketing. I worked with an entrepreneur who was to appear at a startup networking event where he was to talk about his company’s plans. For early-stage consumer companies I would be careful not to market futures at all. Don’t do this.

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Why Early-Stage VCs Should Be Careful About Intros from Bankers

Both Sides of the Table

I attended events. There is one source I never liked and no early-stage VC should – investment bankers. But as a source of deal flow it is last on my list and both entrepreneurs and VCs should be careful about working with bankers on an early-stage (seed, a-round) deal. [no, I spent time on college campuses.

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The Importance of Proprietary Deal Flow in Early-Stage VC

Both Sides of the Table

I attended events. As an early-stage investor that is not always aligned with my goal, which I would express as, “pay the right price for the stage & risk in a way that is fair to the founders yet preserves our ability to grow into our valuation at the next financing event.” I did speaking gigs.

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Early-Stage Startups Need Friends, Family, and Fools

Startup Professionals Musings

Look for ways to get some traction with a minimal product, while you are still developing the main event. In high technology, this is called “release early and iterate,” which allows you to make corrections as you go, as well as adjust for the market changes. It also shows progress to early backers.

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Los Angeles Startup Events

SoCal CTO

I recently posted about the Increase in Early-Stage Startup Activity in Los Angeles. In that post, I mentioned how one of the signals is the big increase in number of startup events and the number of attendees at those events. Of course, given the size of this list and having kids, I really can't attend a lot of these.