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Revenue-Based Investing: A New Option for Founders who Care About Control

David Teten

I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. Though RBI will displace some traditional equity VC, its much bigger impact will be to expand the pool of capital available for early-stage entrepreneurs. . So what is Revenue Based Investing?

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Mathematical vs. Economic Dilution of Startup Equity: Thinner Slices of an Extra-Large Pizza

Gust

Let’s get right down to business: Dilution of founders’ and other early shareholders’ equity in startups is frequently a subject of intense interest and debate. If you read the “ Dilution ” section of an IPO prospectus , you’ll see that the opposite happens to investors in the new public shares.

Dilution 162
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Thinking of exiting your business? Explore every option

The Next Web

Initially, a trade sale to a private equity firm or a trade buyer seemed a good choice for shareholders, and the one with the least unknown factors. Prepare a detailed prospectus. Entrepreneur Analysis and Opinion How-To''s' This will require plenty of time and resources, so be sure to prepare adequately.

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Probable and Improbable Lobbying Wins: The 1,000-stockholder Rule

Gust

Talented entrepreneurs are nothing if not resilient in the face of change: Market forces, competitive threats, technological shifts, you name it. In recent years, government regulation has emerged as another such force to be reckoned with in the technology industry.

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