Remove Equity Remove Partner Remove Syndication Remove Term Sheet
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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

(co-written with Jamie Finney, Founding Partner at Greater Colorado Venture Fund. From traditional equity VC, Flexible VC borrows the option to pursue and reap the rewards of an outsized exit. Flexible VC 101: Equity Meets Revenue Share. Equity Ownership. Yes, typically preferred equity. Of the Inc. Example VC.

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What Is Venture Debt and How Should Startups Use It?

View from Seed

Glen Mello: Venture debt is a good complement to equity. It’s generally got a lower cost compared to equity capital and can help support growth. Use good judgment, talk to your co-founders/investors/lawyers, and partner with a bank that values transparency and relationships such as SVB.]. What are some pros and cons?

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Pari Passu or F.U.little guy

Professor VC

I always ask the question if other investors have different terms and almost always don''t invest on principal in these cases. Another closely related area is that of variable pricing on convertible debt or equity deals where different investors have different caps. If it is contingent, then this could provide some perverse incentives.

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VCs eating our own dog food: Using technology and analytics to make better investments

David Teten

Private equity and venture capital investors are copying our sisters in the hedge fund world: we’re trying to automate more of our job. . But in business, you want a lot of partners. In the private equity universe, most Partners have primary training as deal-makers, not as managers. This is harder than it sounds.

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Smoke vs Fire: Handling ?Preemptive? Interest From VCs ? AGILEVC

Agile VC

If you and all the people around your startup (co-founders, advisors, existing investors) feel strongly that the company A) could benefit from additional equity capital at this time and B) you’ve accomplished value accretive milestones since your last round of funding, then it might make sense to talk with potential new investors.

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How to Fund a Startup

www.paulgraham.com

Some angel investors join together in syndicates. The fund managers, who are called"general partners," get about 2% of the fund annually as a managementfee, plus about 20% of the funds gains. One experienced CFO said: The better ones usually will not give a term sheet unless they really want to do a deal.