Tim Keane

JANUARY 12, 2010

  In a bottom up approach, the forecast is built from actual user projections.   At the financial level , and assuming a harvest of the investment in the company without the need for further financing, two terms stand out as driving economics: the dividend and the liquidation preference.   First , dividends.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

genylabs.typepad.com

SEPTEMBER 24, 2011

Tracking and Forecasting the Trends Impacting the Future of Small Business. where your stock sits in the liquidity preference stack. what rights and preferences the founders and the other investors have. Lessons from a Failed Forecast. Small Business Labs. Welcome to Small Business Labs. Follow us on Twitter.

Equity 40

Equity Technical Review San Jose Stock 40

Up and Running

MAY 21, 2015

They generally also get additional rights that common shareholders don’t get, such as anti-dilution protection, and liquidation preference (discussed further below). Liquidation preference. Whether that’s true or not depends in no small part on how the liquidation preference clause was negotiated with outside investors.

Covenant 60

Covenant Liquidation Preference Ratchet Dilution 60

Venture Chronicles

AUGUST 23, 2013

Building good forecasting models against the backdrop of fast changing performance factors is no small task, and planning is 1/2 of the planning/controlling responsibility a team is responsible for, but typical boards end up spending a lot of time on the controlling part of the equation.

Management 66

Management Startup Liquidation Preference Dilution 66

abovethecrowd.com

MAY 20, 2013

There are common stock, common options, and as many as three to five different layers of preferred stock, each with a specific liquidation preference. Most models are also based on forward forecasts, which offers another avenue for inflation.

Merger 53

Merger Institutional Investors Liquidation Preference Preferred Stock 53

Both Sides of the Table

FEBRUARY 14, 2016

Valuing any company can be difficult because it requires a degree of forecasting future growth & competition and ultimately the profits of the organization. Or down rounds might favor earlier-stage investors because the liquidation preferences of later stage investors get reduced.

Valuation 150

Valuation Down Round Startup Later Stage 150