How Federal Government Can Help Entrepreneurship

Feld Thoughts

Over the past few years, I’ve spent some time thinking about how the government can help entrepreneurship. It started with my role as the co-chairman of the Colorado Governors Innovation Council which was my first involvement in any formal way with any government initiative. “ On my run yesterday, I mulled over the big activities that I thought the federal government could do to “build a more supportive environment for entrepreneurship.&#

Why Governments Don’t Get Startups

Steve Blank

Unlike small business entrepreneurs, their interest is not in earning a living but rather in creating equity in a company that eventually will become publicly traded or acquired, generating a multi-million-dollar payoff. but then the government got out of the way.

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Financing your business: Debt vs Equity

StartupCFO

VentureBeat wrote a post recently on debt versus equity which one is right for your business. So what I would like to do here is layout a more comprehensive framework for the pros and cons of debt versus equity and when you could look at each for financing your business. Equity.

Government Grants Cost No Equity, But are Not Free

Startup Professionals Musings

A grant is not an equity investment, so the entrepreneur doesn’t have to give up a stake in the company either. Since government grants are funded by tax dollars for specific industries and research, usage of grant funds is carefully monitored.

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Are You Ready for Equity Based Crowdfunding?

Up and Running

Then, the unveiling of the Securities and Exchange Commission’s proposed equity crowdfunding rules reveals a panacea for growing your business’s coffers. Equity crowdfunding vs. donation crowdfunding. Equity crowdfunding differs from donation crowdfunding in two major ways.

Unintended Consequences: When SAFE and Convertible Notes Go Awry

Pascal's View

To restate two core points of the article: While there are proper uses of notes (to bridge the company to achieve a major milestone, or driven by insiders’ willingness to extend runway), there also are troubling and frequent improper uses (to postpone pricing equity until valuation is higher or to ignore the implicit message associated with being unable to find a lead investor to price the round on terms that the founders like).

How we confused the role of Government and Business

Start Up Blog

“We have come to rely upon capitalism for justice and the government for economic stimulation, precisely the opposite of what reason would suggest. It is the job of government to channel that energy and growth into socially useful avenues, without stifling what it seeks to channel. That’s the basic problem of our form of government: how to achieve a balance between economic vitality and justice. This is what is wrong with our current form of Government.

Don’t Expect An Equity Investor For Your Non-Profit

Startup Professionals Musings

What options do they have available to them, since they can’t sell a share of the company (no equity investment)? There is no discussion of equity, or return on investment. Government grants. equity funding investor non-profit philanthropist

How Venture Capitalists and Government Can Promote Entrepreneurship

David Teten

I’ve recently met with several universities, nonprofits, and government employees who’ve all asked the same question: how can we promote entrepreneurship? The first and primary role of a government is to provide basic public goods competently.

Professional Investors Qualms About Crowdfunding

Startup Professionals Musings

Granted, all the experience so far has been without the most anticipated feature of the JOBS Act – Equity Crowdfunding (Title III) , effective a few days ago with 685 pages of rules. Investors cannot verify accountability or governance.

Angel Investors Skip Startups With No Profit Motive

Startup Professionals Musings

Angel investors and venture capitalists don’t make equity investments in non-profits. What options do they have available to them, since they can’t sell a share of the company (no equity investment)? There is no discussion of equity, or return on investment. Government grants.

My Statement on eBay Director Role and Governance

Marc Andreessen

All of these protections apply to directors of public companies in every industry and every field, including directors who are venture capitalists, hedge fund activists, private equity investors, operating executives, and independent board members. For example, activist hedge fund managers also tend to hold equity stakes in many companies at the same time, creating the exact same kind of potential conflict.

Reasons For Surge In Mexico’s Private Equity Industry

YoungUpstarts

For years Mexico lagged behind a lot of other Latin America countries when it came to private equity. As well as this, their private equity investments have surpassed the likes of Russia and Turkey – meaning that the nation is slowly but surely becoming a real force.

Should Equity-Based Crowd Funding Be Legal?

Growthink Blog

Letting small companies sell equity stakes online would be a huge boost to those firms—like angel investing on steroids. Broadening the Base Currently, equity-based crowd funding falls under strict Securities and Exchange Commission rules governing angel investing. First, the SEC largely limits private-equity investments to accredited investors—those with $1 million or more in net worth, among other tight standards. Funding is the lifeblood of any small business.

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Raising Capital from Friends and Family: Gifts, Loans, Equity

Business Plan Blog

Raising Capital from Friends and Family: Gifts, Loans, Equity. Typical sources of capital include personal saving, home equity loans and loans or investments from “Friends and Family.” This equity is typically in the form of preferred equity (i.e. Equity.

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FIN-FSA Cracks Down On Equity Crowdfunding Platforms

ArcticStartup

Editor''s note: At the end of June while everyone was preparing for summer holidays, the FIN-FSA regulatory body published its new guidelines for equity crowdfunding in Finland, which were near opposite what they presented only a month before that.

How to determine the right equity structure for your startup

VC Ready Blog

When you’re ready to incorporate, you’ll need to give some thought to the proper equity structure for your business. Because equity is a currency startups can trade for money or services, your company’s initial equity structure should take into account your plans for near-term growth. There are no hard-and-fast rules on the proper equity structure for a company, but here are a few things you’ll want to think about.

Big Media, Big Government, Big Business, Big Problems

Growthink Blog

Depending on how you slice it, this is either a golden or a leaden business age. It is a golden age, as never before in human history has there been so much access to great opportunities as there are right now.

What are the regulatory barriers preventing the emergence of a liquid market for equity in seed stage startups?

Gust

Uncategorized equity markets government regulation regulatory barriers Secondary marketsParts of the answer are that (a) there are enormous regulatory requirements relating to secondary markets, and (b) there are no analysts tracking private company stocks.

Government Grants are Not as Free as You Think

Startup Professionals Musings

A grant is not an equity investment, so the entrepreneur doesn’t have to give up a stake in the company either. It’s time for you to meet state and local government officials, make them aware of what you are doing, and get them excited and working for you.

Create Structure out of the Gate and You’ll Thank Yourself Later

Feld Thoughts

Here’s the punchline: if you run your company as if you have closed a VC equity financing round even though you actually closed a convertible debt round, you’ll be in much better shape when it comes time to raise your Series A financing. So why would you treat your debt investors (somewhat) like equity investors? I beg of you, treat your debt holders like equity holders, and utilize their expertise to help further your business.

Summary of Israeli Private Equity Deals - Q2 2011

Recent Buzzes - VC Experts, Inc.

IVC Reports: Private equity deals drop 16% in the first half of 2011. GKH), a leading Israeli corporate law firm specializing in M&A, joint ventures, venture capital, equity and debt financing. Israeli private equity deals by type. Israeli private equity funds.

IVC - Summary of Israeli Private Equity Deals - Q1 2011

Recent Buzzes - VC Experts, Inc.

Summary of Israeli Private Equity Deals - Q1 2011. Private equity deal value at $216 million in Q1 2011. GKH) , a leading Israeli corporate law firm specializing in M&A, joint ventures, venture capital and equity and debt financing. Israeli Private Equity Deal Types.

Pitch Helsinki Kicks Off World's First Live Equity Crowdfunding Pitching Competition

ArcticStartup

This event is also billed as the world’s first real-time equity based crowdfunding event, allowing unacreddited investors to bid on the six companies they see up on stage, through Invesdor crowdfunding platform.

5/25-NYC – Investing in Intellectual Capital: Patents, Trademarks, Domain Names, Litigation, Government Rights, and other Intangible Assets

David Teten

I’m excited about the program below on “Investing in Intellectual Capital: Intellectual Capital: Patents, Trademarks, Domain Names, Litigation, Government Rights, and other Intangible Assets” Click here to make a reservation.

Microcredentials for the Effective Venture Capital or Private Equity Investor

David Teten

I’ve also published research here on private equity , venture capital , hedge funds and mutual funds , and angel investing , as well as on fund management : origination , due diligence , investment research , and portfolio acceleration. TheDeal Corporate Governance Conference. The post Microcredentials for the Effective Venture Capital or Private Equity Investor appeared first on David Teten. Asset Management Career Fund Management Private Equity Venture Capital

Response to the budget and some thoughts on what government can do for startups

The Equity Kicker

I think I’m right in saying that this is the first guest post we’ve ever had on The Equity Kicker and it’s from my partner Simon Cook who has a few things to say about the budget.

Considering ILPA Private Equity Principles

Recent Buzzes - VC Experts, Inc.

Last year the Institutional Limited Partners Association (ILPA), a voluntary organization dedicated to the interests of institutional limited partners in private equity funds, released its Private Equity Principles. Since then, the Principles have received the endorsement of more than 100 of the largest and most influential institutional private equity investors. By Attorneys at Drinker Biddle & Reath LLP Joshua B. Deringer, John J. Emslie, Neil K. Haimm and F.

Do It Right The First Time, Part II: Visit the Doctor or House Call?

Gust

Likewise, founders can benefit from understanding basic characteristics of the overall legal structure, formation and governance documents, rights and responsibilities of team members, etc. Stepping off the soapbox, let’s examine the highest level “To Do” list for a new startup: Formation, Governance and Equity. Adopt Bylaws and any other necessary documents to formalize the governance of Newco.

Do Venture Capitalists care how the equity is split among the founders?

Gust

People who tell you that VCs won’t look at a company with an even equity split are being silly. Realistically, if a company is jointly governed by two people who have exactly equal say, it is quite possible that if there is a major disagreement the company will implode because it will not be able to take action. Invested Interests Angels equity split Founder equity investors startups VCs

Alibaba S-1: How Alibaba Is Governed Like China’s Politburo

Agile VC

Some context… like many startups, the founders of Alibaba still own substantial stakes in the company and believe it’s in the company’s best interests for them to retain an outsized influence in the company’s governance longer term.

When Private Equity Is a Bad Deal

Inc Startups

Financial investors, like private equity groups, are in the business of buying and selling companies. Well, Boeing has divisions for commercial airplanes, defense and government contracting, space, security, missiles, satellites, and technology solutions, to name a few.

Fixing immigration for startups: What the US government can (and should) do right now

The Next Web

to receive undergraduate and graduate degrees (education that is in part supported by all Americans, even in private schools, as schools get huge tax breaks and are often funded at least in part by government grants). government plan.

VC Governance FAQ: (5) How are VC funds governed differently from the governance standards applied to their portfolio companies?

Pascal's View

Susan Mangiero , CEO of Investment Governance’s Fiduciary X , asked me the following: Question: Please differentiate between the governance of a VC fund versus the governance of companies in a VC fund’s portfolio?

10 Tried-And-True Strategies For Funding New Ventures

Startup Professionals Musings

For example, professional investors put great priority on your previous experience in building a business, and they expect to own a portion of the business equity and control for the funds they do provide. Trade equity or services for startup help.

What Is Going To Happen In 2017

A VC : Venture Capital and Technology

The SAAS sector will continue to consolidate, driven by a trifecta of legacy enterprise software companies (like Oracle), successful SAAS companies (like Workday), and private equity firms all going in search of additional lines of business and recurring subscription revenue streams. Google, Facebook, and to a lesser extent Apple and Amazon will be seen as monopolists by government and individuals in the US (as they have been for years outside the US). Happy New Year Everyone.

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The Helsinki Spring

Steve Blank

I presented to 1,000’s of entrepreneurs, talked to 17 startups, gave 12 lectures, had 9 interviews, chatted with 8 VC’s, sat on 4 panels, talked policy with 2 government ministers, 2 members of parliament, 1 head of a public pension fund and was in 1 TV-documentary.

Startup Communities – Building Regional Clusters

Steve Blank

Feeders include the government, universities, investors, mentors, service providers and large companies. He points out that some of these, government, universities and investors think of themselves as the leaders and Feld’s thesis is that we’ve gotten it wrong for decades.

10 Strategies To Cover New Product Development Costs

Startup Professionals Musings

The hottest new way of funding startups is to use online sites, like Kickstarter , to request donations, pre-order, get a reward, or even give equity. The positives are that you give up no equity, and these apply to the early startup stages, but they do take time and much effort to win.

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

Gust

In recent years, government regulation has emerged as another such force to be reckoned with in the technology industry. Invested Interests angel investment angel investors equity exit strategy IPO shareholders startups venture capitalTalented entrepreneurs are nothing if not resilient in the face of change: Market forces, competitive threats, technological shifts, you name it.