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American Enterprise is In Danger from Recent Court Ruling

VC Adventure

But because of the lack of knowledge about how the financing system for small businesses and startups works (or doesn’t) in America, many people may miss the significance of the decision by the three-judge 11th circuit panel. But this betrays a fundamental lack of understanding about how small businesses and financing work. (In

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Term-sheets and Valuations: Thinking about Negotiations - Startups.

Tim Keane

For angel groups, the distinction between groups and VCs on this issue is dwindling, especially as angel groups do bigger rounds of financing.   Note that this applies only to earl stage Series A-type equity financings and assumes no cash dividends are paid to investors.   First , dividends.

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Ten questions the entrepreneur should ask the (prospective) investor

Tim Keane

What’s your attitude about “next round” financing? this stage when the company can justify a higher. Fewer investors will take common stock in early stage transactions. If the company is in a very early stage, many investors would find this price high. What’s your attitude about “next round” financing?