article thumbnail

10 Tips On Due Diligence On Any Startup Funding Offer

Startup Professionals Musings

Deposit required to hold your terms. In this scam, you are offered a very attractive term sheet due to close in 90 days or so, with a deposit required to hold your position while due diligence is being conducted. Chain emails leading to a windfall. People who fall for this one must be really greedy. Delete the message.

article thumbnail

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

Tim Keane

Term-sheets and Valuations: Thinking about Negotiations. Please see later version of this post on May 16, 2010 Entrepreneurs are often not experts in the area of term-sheet negotiations and all of the surrounding issues.   Investors sometimes “present” the terms they’d like and expect the entrepreneurs to react.

Insiders

Sign Up for our Newsletter

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

article thumbnail

Founder-Investor Fit

VC Cafe

When founders (hammers in this case) are fundraising they might rush to email every VC (all nails) they can get in touch with, thinking it’s a numbers game. If you agree that the top founders are likely to receive multiple term-sheets, then the importance of founder-investor fit increases. Personal fit. ”, Creandum.

Founder 187
article thumbnail

“I Can Really See Us Leading This Funding Round” Isn’t a Term Sheet

Hunter Walker

The phases of fundraising, how to get to a first term sheet, and what to do once you’ve got an initial offer is probably a blog series of its own. Addendum: When is a verbal or email offer as good as a termsheet? and include the major terms like Keith suggests. and include the major terms like Keith suggests.

article thumbnail

Examples of good startup term sheets

www.quora.com

Find Questions, Topics and People Add Question Add Question Venture Capital Venture Capital Term Sheets Startups Term Sheets What are examples of good startup term sheets? Ycombinator open source term sheet is a good start for Seed deals. Brad Feld does the best blog term sheet series.

article thumbnail

Driving to Conviction (Not to a Term Sheet)

Genuine VC

all talk about the best way for entrepreneurs to optimize their fundraising process with the end-goal of receiving a term sheet. It’s often spoken as if the second that magical term sheet document is in hand, the process is over. Some VCs merely view term sheets as “marketing documents.”

article thumbnail

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

Both Sides of the Table

You race back to the office to tell everybody how well it went and you wait for the follow-up call to have a partners’ meeting or talk about term sheets or at least dip into due diligence. I raced home to put my kids to bed, say hello to my wife and then spend a grueling administrative hour doing email. What do I do now?