Agile VC
APRIL 17, 2011
Obviously most of these employees are working hard primarily for equity upside compensation, but Kayak’s personnel costs are roughly $200K/head so the company is highly productive on a per employee basis. Pre-IPO Funding History: Kayak has raised approximately $235M in VC funding to date. Pre-money valuation was approx.
Professor VC
JANUARY 17, 2008
One of my comments was that we would likely see more institutionalization of angel groups and syndication of deals among groups. Again, I see nothing wrong with this, although entrepreneurs often prefer convertible debt as it defers the valuation discussion and leaves the Series A price for the venture firm to set.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Gust
OCTOBER 20, 2011
Individual accredited investors in typical angel deals put personal capital at risk for an equity share of growth-oriented, start-up companies. In 2011, the valuation of pre-revenue, start-up companies is typically in the range of $1.5–$2.5 As can be seen the average (mean) pre-money valuation for recent pre-revenue deals is $2.1
Feld Thoughts
JULY 14, 2015
A company raises $1m of seed money from angels in a convertible note with a $6m cap. Assuming equity is raised at or above that cap, the total dilution, before the new money, is 16.6% (equivalent to an equity financing of $1m at a $6m post money valuation. ” They are running out of money.
David Teten
NOVEMBER 15, 2013
The average equity fund investor earned a market return of only 4.25%. I have frequently heard the expression from other investors, “We can put a lot of money to work here.” By spending more money, investors can justify managing more money, which in turn increases their fees.
www.paulgraham.com
APRIL 28, 2010
Startups valuations aresupposed to rise over time. So if youre going to sell cheap stockto eminent angels, do it early, when its natural for the companyto have a low valuation. Some angel investors join together in syndicates. Any city wherepeople start startups will have one or more of them. So theyre going to raise $200,000.
www.paulgraham.com
APRIL 28, 2010
Mechanics Angel investors often syndicate deals, which means they join togetherto invest on the same terms. In a syndicate there is usually a"lead" investor who negotiates the terms with the startup. Dont feel like you have to join a syndicate, though. The valuation determines how much stock you get. Plus you get equity.
Expert insights. Personalized for you.
113 
Let's personalize your content