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First Round Funding Terms and Founder Vesting

Both Sides of the Table

If you’ve read any of my blog posts before you’ll probably recognize that I’m from this school of thought where founders & investors need to be more aligned and I’ve been very cynical of historic VC practices. I had multiple term sheets to do my Series A financing. I talk about this in detail here.

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Finance Fridays: Getting Started – Allocating Equity and Founder’s Investment

Feld Thoughts

Finance Friday’s gets off the ground with today’s post by introducing you to an imaginary startup, the entrepreneurs that we’ll being following throughout the series, and their first challenges: splitting up the founders’ equity and addressing the case where one of the founders provides the initial seed capital for the business.

Equity 137
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How to pick a co-founder

venturehacks.com

When 4-5 founder companies work, it’s because two founders dominate. Two founders works because unanimity is possible, there are no founder politics, interests can easily align, and founder stakes are high post-financing. Build in founder vesting (a.k.a. Date first.

Cofounder 101