article thumbnail

The Shift from FOMO to FOLD in Early Stage Investing

View from Seed

For the last several years, the early stage investing market was driven largely by the F ear O f M issing O ut, AKA FOMO. My prediction is that FOLD will permeate through the early stage investing landscape and have some pretty broad effects. Conveniently, this forms a handy acronym as well – FOLD.

article thumbnail

10 Financing Alternatives For Your Next New Venture

Startup Professionals Musings

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. An example would be getting free office space by agreeing to be the property manager for the owner.

Finance 320
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

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." Manager or Junior Engineer 0.2 – 0.33

article thumbnail

Put A Coin In It! Invest In Early Stage Startups To See Maximum ROI

YoungUpstarts

Investing has always (and will always) come with a long laundry list of liabilities that can deter even the most experienced investors from making a generous contribution to a startup or early-stage company they believe in. The technology that powers up any developing start-up or company is the foundation of its projected success.

article thumbnail

10 Keys To Surviving Startup Cash Flow Requirements

Startup Professionals Musings

The “valley of death” is a common term in the startup world, referring to the difficulty of covering the negative cash flow in the early stages of a startup, before their new product or service is bringing in revenue from real customers. An example would be getting free office space by agreeing to be the property manager for the owner.

article thumbnail

Seed Stage Funding 101: What it Is & How it Works

The Startup Magazine

I will tell you brief details about seed stage funding, and deal sourcing on this page, so read the conclusion until the end. The following is a condensed explanation of seed funding: Seed money is a form of early-stage financing that new businesses receive from investors in exchange for a share of ownership in the company.

article thumbnail

What Does the Post Crash VC Market Look Like?

Both Sides of the Table

This happens slowly because while public markets trade daily and prices then adjust instantly, private markets don’t get reset until follow-on financing rounds happen which can take 6–24 months. Median valuations for early-stage valuations tripled from around $20m pre-money valuations to $60m with plenty of deals being prices above $100m.