Feld Thoughts

JULY 29, 2011

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

Equity Finance Pre-Money Valuation Denver 137

Business Plan Blog

NOVEMBER 13, 2013

Raising Seed Capital. Most startup founders do not have enough capital to launch their companies and need to raise money at some point. Raising Angel Capital. Individual investors who provide financial funding to startups are called ‘Angel Investors.’ Convertible Debt Financing.

Finance 93

Finance Accredited Investor Angel Investor Seed Capital 93

Gust

SEPTEMBER 29, 2011

The most successful serial entrepreneurs in the world may found three or four, perhaps even eight or ten venture-backed startups over the course of their careers. It should therefore come as no surprise that an asymmetry of information exists, mostly gleaned from experience, between founders and investors in a venture financing deal.

Finance 178

Finance Term Sheet Preferred Stock Bridge Financing 178

Gust

SEPTEMBER 5, 2012

How to finance a new seed-stage startup? Convertible equity? ” Ressi in particular seems to be passionate about removing the “debt” component from convertible debt seed financing transactions. .” A convertible note financing is not a loan in the conventional sense.

Finance 134

Finance Convertible Security Equity Seed Stage 134

Seeing Both Sides

AUGUST 28, 2017

Goldman Sachs and CB Insights recently reported that startups have raised over $1 billion in Initial Coin Offerings (ICOs) this summer — more than the total amount of venture capital raised during the same period. Need for growth capital. A company that can successfully raise money in an ICO may never need venture capital again.

Early Stage 20

Early Stage Equity Venture Capital Government 20

Seeing Both Sides

AUGUST 28, 2017

Goldman Sachs and CB Insights recently reported that startups have raised over $1 billion in Initial Coin Offerings (ICOs) this summer — more than the total amount of venture capital raised during the same period. Need for growth capital. A company that can successfully raise money in an ICO may never need venture capital again.

Early Stage 20

Early Stage Equity Venture Capital Government 20

Growthink Blog

MAY 10, 2012

When seeking equity investments, the source of capital is, for the most part, tied to the stage of capital being raised. You see, equity capital is raised in stages or rounds. Pre-Seed Funding 2. Seed Funding 3. The five main stages include the following: 1.

Equity 88

Equity Mezzanine Later Stage Venture Capital 88

Steve Blank

APRIL 12, 2013

I just spent a few weeks in Japan and China on a book tour for the Japanese and Chinese versions of the Startup Owners Manual. The first wave of startups began when R&D centers and universities began to provide the technology and seed capital for new startups that were spin-outs or spin-offs. Like the U.S.

Venture Capital 271

Venture Capital China Offshore SBIR 271

Gust

OCTOBER 5, 2011

Last week , we gave some attention to the “why” behind convertible note financing for early stage startups. As with so many subjects in law and finance, mastering the jargon is half the battle. This may seem like a no-brainer now that you understand the basic structure of a convertible debt financing.

Finance 79

Finance Preferred Stock Term Sheet Early Stage 79

Startup Professionals Musings

JANUARY 27, 2012

When a company is at its earliest seed stage, the terms tend to be the least complex. As the company grows and the second or third group of investors comes in, the terms of each subsequent financing grow in size, scope, and the number of lawyers’ fingerprints on them. Define equity type. Anti-dilution protection.

Term Sheet 223

Term Sheet Pre-Money Valuation Due Diligence Post-Money Valuation 223

Startup Professionals Musings

SEPTEMBER 14, 2010

When a company is at its earliest seed stage, the terms tend to be the least complex. As the company grows and the second or third group of investors comes in, the terms of each subsequent financing grow in size, scope, and the number of lawyers’ fingerprints on them. Define equity type. Anti-dilution protection. Marty Zwilling.

Term Sheet 227

Term Sheet Pre-Money Valuation Due Diligence Post-Money Valuation 227

Steve Blank

APRIL 12, 2013

I just spent a few weeks in Japan and China on a book tour for the Japanese and Chinese versions of the Startup Owners Manual. The first wave of startups began when R&D centers and universities began to provide the technology and seed capital for new startups that were spin-outs or spin-offs. Like the U.S.

Venture Capital 163

Venture Capital China Offshore SBIR 163

Feld Thoughts

AUGUST 12, 2011

When we were last with Dick and Jane on Finance Fridays, our fearless entrepreneurs were figuring out how to split up their founders equity and account for an investment from Jane. Feeling overwhelmed, Dick emailed his friend Josh, the CEO of an early-stage startup in Boulder, to see how they figured out all of this stuff.

Balance Sheet 136

Balance Sheet Forecast Cap Table Early Stage 136

Growthink Blog

MAY 23, 2011

The typical wisdom regarding the appropriate financing course for a new company goes as follows: 1. An entrepreneur starts a company in classic " bootstrap " fashion - with a combination of sweat equity and their own financial resources. My suggestions for the investors seeking emerging companies to back?

Angel Investor 112

Angel Investor Venture Capital Sweat Equity Cram Down 112

Business Plan Blog

DECEMBER 10, 2013

The most important principle of startup fundraising that every entrepreneur needs to know is: raise enough capital to achieve a set of milestones that will allow the company to attract the next round of investment. Below are the milestones that you will need to achieve in order to attract seed investment from Angels: Business Plan.

Angel Investor 55

Angel Investor Intellectual Property Seed Capital Advisory Board 55

Haystack

NOVEMBER 24, 2018

4/ The Big Winners: Cylance raised around ~$280M in financing, with large equity stakeholders being Khosla Ventures, Fairhaven, and Blackstone. 1/ A Pre-Seed Reminder: According to Crunchbase, PlanGrid was founded and went through Y Combinator in 2012. The company only raised a bit over $1M as seed capital.

Acquisition 62

Acquisition Artificial Inteligence Balance Sheet Cofounder 62

Business Plan Blog

JANUARY 2, 2014

government’s long standing restrictions on fundraising has given life to a new type of financing called crowdfunding that allows Angel and other early stage investors to quickly assemble a group of investors over the internet. While startups are still limited by the types of investors they can take money from (i.e. Startup Funding'

Angel Groups 51

Angel Groups Accredited Investor Angel Investor Due Diligence 51

Business Plan Blog

OCTOBER 4, 2013

Aligning the Startup Team Strategy with the Capitalization Strategy. The single most important factor to raising capital for any tech startup is the management team. This is true for early stage funding as well as venture capital funding. Furthermore, a startup works differently than a large corporation.

Part-Time VPE 79

Part-Time VPE Fractional VPE Cofounder CTO Hire 79

Both Sides of the Table

MAY 15, 2010

Nevertheless, if you share too much in your funding process or meet too many VCs expect a certain amount of your ideas to spread around the startup community. The following was available: “I kept hearing about startups that raised VC funding, but which hadn’t filed Form Ds (nor issued a press release). Short answer: no.

Stealth 285

Stealth SEC Advertising Accredited Investor 285

maplebutter.com

JANUARY 8, 2013

189 Answers To The Top Startup Questions On Your Mind. 189 Answers To The Top Startup Questions On Your Mind. Written By Dan Martell on February 2nd, 2012 | Category: Hiring LeanStartup Marketing Metrics Startup Life | 6 Comments. I love startups. Here’s my high-level approach for startups. No, I have many ideas.

Technical Review 44

Technical Review Startup Cofounder Software Review 44

techcrunch.com

FEBRUARY 19, 2010

Tweet View Comments Sarah Lacy Feb 19, 2010 Pepperdine has a new study out that attempts to shed some light on the clubby, shadowy world of private finance. Researchers polled experts in lending, mezzanine capital, private equity, venture capital and private businesses themselves. dasein Yeah, I agree.

Venture Capital 62

Venture Capital Technical Review Sweat Equity Valuation 62

Hearpreneur

OCTOBER 20, 2019

And unlike other fintech companies that are primarily equity-financed, we raise capital by offering a best in class savings product to consumers (a 1 month renewable CD that pays 6% APY), which in turn allows us to meet our short term capital needs required for loan origination. 12- Raising $500,000 in pre-seed capital.

Papua New Guinea 66

Papua New Guinea Hawaii Advisory Board Churn Rate 66