David Teten

JANUARY 19, 2021

(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.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

David Teten

AUGUST 19, 2019

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. .

Revenue 60

Revenue Term Sheet Founder Technical Review 60

Both Sides of the Table

MAY 24, 2018

You company is the product and you’re selling an equity ownership in your company but much more broadly you’re selling trust & confidence that you’re going to build something enormously valuable and that you’re going to be enjoyable to work hand-in-hand with over the coming decade of each other’s lives. How many partners are there?

Technical Review 314

Technical Review Due Diligence Partner Term Sheet 314

Startup Professionals Musings

MARCH 27, 2016

Taking on equity investors to fund your company is much like getting married – it is a long-term relationship that has to work at all levels. Reverse due diligence on the investor is a comparable process whereby the entrepreneur seeks to validate the track record, operating style, and motivation of every potential partner.

Technical Review 120

Technical Review Due Diligence Term Sheet Offshore 120

View from Seed

APRIL 30, 2015

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?

Term Sheet 120

Term Sheet Equity Startup Seed Stage 120

YoungUpstarts

OCTOBER 28, 2015

by John Vrionis, partner at Lightspeed Venture Partners. Investors typically negotiate from a term sheet, which if not handled properly can create problems that can hurt or kill the startup’s chances when they do their Series A round of funding. Lightspeed is in the business of encouraging entrepreneurship.

Convertible Security 100

Convertible Security IP Technical Review Software Review 100

David Teten

AUGUST 19, 2019

This structure offers some of the benefits of traditional equity VC, without some of the negatives of equity VC. I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. In 2019 we partnered with several revenue-based lending providers, effectively creating a marketplace. “.

Revenue 60

Revenue Technical Review Software Review Equity 60

Startup Professionals Musings

JANUARY 17, 2015

For the elite startups and entrepreneurs who manage to attract the investor they dream of, and survive the term sheet negotiation, there is still one more hurdle before the money is in the bank. Visit reference customers, partners, and vendors.

Technical Review 120

Technical Review Due Diligence Startup Term Sheet 120

Both Sides of the Table

APRIL 19, 2011

Called Tim Spicer (c-companies partner) and he told him matt, they only want one thing, more warrant coverage!!! Raised money from Splitrock Partners (of whom Matt thinks very highly) experience was so emotionally traumatic he came out of it vowing he’d never go thru that again – get cash flow positive RIGHT NOW!!! [if

Acquisition 304

Acquisition Warrant Customer Term Sheet 304

Gust

NOVEMBER 11, 2011

Angel investment events where the group investment is supposed to go to the winner, but the winner ends up hating the term sheet. Usually these term sheets involve convertible notes, which are supposed to convert to equity at the next round of financing, like when the serious venture capitalists do a Series A.

Software Review 79

Software Review Term Sheet Due Diligence Angel Investor 79

David Teten

SEPTEMBER 2, 2017

It’s hard enough to get a job at a venture capital or private equity firm; it’s even more complex to join as a Partner. Also see Preqin’s Key Due Diligence Considerations for Private Equity Investors. . VC and private equity are very illiquid on both the investing and the personnel side. So assessing fit is critical.

Private Equity 60

Private Equity Venture Capital Equity Partner 60

www.mattbartus.com

SEPTEMBER 24, 2011

Equity for Consultants – Keep it Simple! posted Feb 3 in Equity , People issues. I can’t tell you how often a client calls me up and says something like this: “Matt, we have this great new consultant who is going to make introductions to us to [pick type of business partner]. Term Sheets.

Equity 40

Equity Vesting Silicon Valley Intellectual Property 40

David Teten

MAY 19, 2017

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. Invesco Annual Tools for Success® Forum. TheDeal Corporate Governance Conference. PrivCapAcademy.

Private Equity 60

Private Equity Venture Capital Equity New York City 60

Both Sides of the Table

MAY 13, 2018

If an investor isn’t engaging then they’re not suddenly going to get a term sheet. If we feel a mutual connection then my goal is to make your life easier by offering you a term sheet before you’re even raising and I’ll spend the time and effort trying to prove that it isn’t worth running a process.

Term Sheet 332

Term Sheet Due Diligence Campaign Sales 332

View from Seed

MAY 12, 2015

Yet once the right firms are identified, I believe that the tougher challenge is to determine which partner at these firms to approach. Most firms have anywhere from a couple to up to a dozen or more partners listed on their websites. ultimately, a term sheet) when pitching any given firm?

Partner 120

Partner Term Sheet Reputation Deal Flow 120

Austin Startup

JULY 22, 2021

We’ve helped winners connect with customers, mentors, and secure millions of dollars in capital from partners like Google Black Founders Fund, Revolution’s Rise of the Rest Fund, Backstage Capital, and many other VC investors. million Series A round.

San Antonio 107

San Antonio Dallas Houston Founder 107

Startup Company Lawyer

MARCH 14, 2010

After the recent announcement of the Series Seed Financing documents by Marc Andreesen, Brad Feld points out that there are now four sets of “open source&# equity seed financing documents: TechStars Model Seed Funding Documents (by Cooley). Y Combinator Series AA Equity Financing Documents (by WSGR). under $500K). “ .

Finance 70

Finance Software Review Term Sheet Liquidation Preference 70

Both Sides of the Table

JANUARY 21, 2010

You never got around to agreeing exact equity splits but you had many conversations about it. Focus on the partner you would be working with. One issue he talked about was working with partners. I also like to work with partners. But I also know it’s not realistic for the partners to do all of the work.

Southern California 318

Southern California Silicon Valley IP Stock Options 318

Feld Thoughts

OCTOBER 28, 2016

The first, on crowdfunding, covers both product and equity crowdfunding, and has an analysis on the good, bad, and scary around crowdfunding. Most of all, thank you Jason for being an awesome collaborator and partner. And yes, we’ll start blogging on it again.

Term Sheet 70

Term Sheet Cofounder Venture Capital Equity 70

This is going to be BIG.

SEPTEMBER 1, 2010

We negotiated fair deals—all equity—in a timely manner. Sure, there will always be another investor who hears that you’ve got a term sheet that is willing to one-up it on price, but it’s really hard to get that first one in the pool. (If In all four deals that I’ve worked on, we were the first ones to the table. Not at all.

Equity 104

Equity Term Sheet Seed Stage Angel Investor 104

www.seriesseed.com

DECEMBER 9, 2012

Series Seed Term Sheet (v 2.0). Series Seed Term Sheet. We went with equity because ivestors would prefer to get equity for the following reasons: 1. Long term capital gains possible for early exit. Please note, these are the latest versions of the Series Seed Documents. 

Finance 40

Finance Term Sheet Vesting LLC 40

Scott Edward Walker

FEBRUARY 9, 2020

The most common financial buyer is a private equity firm. Indeed, big private equity firms (such as Blackstone, TPG, Apollo, etc.) There are also, however, lots of small private equity firms that you never read about and which are on the hunt for small, private companies. are often on the front pages of the Wall Street Journal.

Private Equity 59

Private Equity New York City Equity Deal Structure 59

www.founderinstitute.com

MARCH 2, 2010

When members see connections, they often partner with one another, backstopping and expanding each other’s capabilities and skills or forming entirely new ventures. Chris Dixon posted about an ideal term sheet for first round funding, which started an blogosphere discussion about terms.

Term Sheet 40

Term Sheet Liquidation Preference Vesting San Diego 40

David Teten

DECEMBER 3, 2019

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.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

venturehacks.com

SEPTEMBER 22, 2011

The Equity Equation. As this nuclear winter of venture hacks continues, I thought you might enjoy our thoughts on Paul Graham’s The Equity Equation. ” Read the rest of The Equity Equation first; it is great. You have to pay market rates regardless of the equity equation. Venture Hacks Good advice for startups.

Equity 40

Equity Cap Table Valuation RSS 40

Hippoland

AUGUST 9, 2016

Typically, a lead investor will want to do a priced equity round, so you can convert your convertible notes into this equity round. Sometimes, though, I’ve seen lead investors respect the fact that a round is already happening and will just put a big chunk of money into a company on the same terms as the note.

Lead Investor 48

Lead Investor Term Sheet Due Diligence Convertible Security 48

The Next Web

FEBRUARY 27, 2014

George Deeb is the Managing Partner at Chicago-based Red Rocket Ventures , a startup consulting and financial advisory firm based in Chicago. your equity in a hot new patented technology business), the higher the demand (e.g., As a rule of thumb, expect to give up 25 to 35 percent of your equity, in each equity financing you make.

Valuation 167

Valuation Forecast Seed Stage .Net 167

Feld Thoughts

SEPTEMBER 20, 2011

And in a third case a separate potential angel investor in the deal brought up a specific term that was important to him that addressed a real concern. We rarely do convertible debt at Foundry Group – we much prefer to do equity rounds, even at the seed stage.

Term Sheet 125

Term Sheet Seed Stage Angel Investor Valuation 125

Gust

SEPTEMBER 5, 2012

Convertible equity? I won’t rehash all of the customary convertible note financing deal terms and points of negotiation here. (For For a comprehensive tutorial with sample term sheet, see my prior series here at Gust.) How to finance a new seed-stage startup? Convertible debt?

Finance 134

Finance Convertible Security Equity Seed Stage 134

ReadWriteStart

NOVEMBER 1, 2010

This weekend, Polaris Venture Partners' Ryan Spoon wrote a post on his blog, offering with a curated list of "must-read" Quora threads for entrepreneurs. Are there examples of good start up term sheets? What percentage equity should an "involved" advisor receive? Who better to answer than the company's engineering lead.

Angel Investor 145

Angel Investor Term Sheet Startup Curation 145

finance.fortune.cnn.com

AUGUST 21, 2012

Term Sheet. Term Sheet The latest on private equity, M&A, deals and movements — from Wall Street to Silicon Valley. Through 12/31/11, less than 66% of the fund-of-funds called capital had been returned to limited partners. Accel Partners VII (1999): 89% (74%). Fear & Greed. Mutual Funds.

Naming 49

Naming Term Sheet Private Equity Equity 49

Rob Go

AUGUST 29, 2016

Most term sheets talked about the valuation in these terms, and you added the dollars invested to get a post-money valuation. Today, nearly all early stage term sheets I see are expressed as post-money valuations. Overall, I think this move towards post money valuations in term sheets is a good thing.

Post-Money Valuation 52

Post-Money Valuation Valuation Cap Table Term Sheet 52

Both Sides of the Table

JULY 11, 2010

I’m surprised how few people talk about valuations, term sheet terms, how much to pay recruiters, etc. These are not to be confused with incubators like YCombinator or IdeaLab which look to invest in your company and take equity positions. Dogpatch was the brainchild of Mike Hirshland , partner at Polaris.

San Francisco 285

San Francisco Incubator Silicon Valley Startup 285

VC Cafe

OCTOBER 27, 2011

They will be there long term, have significant equity and help making strategic decisions. Get the right partner at the firm. Deals usually don’t get handed off from one partner to another, so your first pick matters. To find the right partner, do your research. Make a concerted effort to meet them.

Venture Capital 109

Venture Capital Term Sheet Angel Investor Due Diligence 109

Professor VC

JULY 25, 2013

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.

Term Sheet 46

Term Sheet Silicon Valley Syndicate Syndication 46

David Teten

JULY 20, 2011

Discuss alternative arrangements such as caps, deferral until financing and equity as a form of payment. Clarify how work responsibilities will be shared between partners and associates at the firm. Ten Tips for Entrepreneurs when Working with Lawyers. by Ed Reitler. Make sure you have a clear understanding of the fee arrangement.

Intellectual Property 128

Intellectual Property Entrepreneur Term Sheet Venture Capital 128

Both Sides of the Table

JANUARY 31, 2011

Inbound calls from partners, people who want to join, atta boys from friends. We just landed the biz dev partner we’ve been working on for 9 months. Google DID NOT just acquire our main biz dev partner. But we had a term sheet !!! Sit back and watch usage. Get your press coverage. Great story on TechCrunch!

Entrepreneur 384

Entrepreneur Startup Salary Egypt 384