Lead Investor Related Topics 
Gust
SEPTEMBER 2, 2015
By searching for a lead investor in your next funding round. The lead investor is the first step in Read more >. The post How To Secure A Lead Investor appeared first on The Gust Blog. By Paula Taas, Founder Institute. You’ve created an amazing founding team, you’ve built a brilliant product that has been gaining a lot of traction, and now you’re looking to expand your company. How do you continue to build your business?
David Cohen
JUNE 8, 2016
The term “lead investor” is often code. ” Let me know when you have a lead investor. ” You see, many angel and seed investors view it as their job to establish a “free option” on investing in your company. By telling you that they’re potentially “in” if you have a lead investor, they establish the free option to decide later.
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David Cohen
MARCH 18, 2019
Let me explain why you should never ask anyone to be your lead investor. If they want to invest, they’re going to want to lead and will throw out a term sheet. You never have to ask them to be your “lead investor.” Smaller investors all go in the other bucket, whether they are microfunds or angels. By definition, they’re not as credible of a lead investor generally speaking, since they’re less than half of the rounds capital.
Genuine VC
JANUARY 15, 2015
Is it worth paying attention to this potential “come-from-behind” VC investor? The risk with engaging with an investor who isn’t as up to speed is a waste of the most valuable limited resource – time – when a CEO is concentrating on figuring out the best fit among the remaining candidates AND while simultaneously running a company, after all. The best litmus test to suss out whether or not a potential come-from-behind investor is worth paying attention to is if they’re “doing work.”
Hippoland
AUGUST 9, 2016
One question that seed investors love to ask is if you have a lead investor in your seed round. But once you figure out why an investor is asking, tactically speaking, what do you do? Let’s say that you find out that an investor is asking because he/she does not invest without a lead investor in place. Let’s say the investor simply relies on other people to do due diligence and does not believe in party rounds. Do you try to find a lead?
Gust
NOVEMBER 16, 2013
In unusual (but not unique) cases, a well-respected or high-profile individual angel may be able to successfully lead the first professional funding round of an early-stage startup with a very small investment, accounting for only a small percentage of the round. Invested Interests Angels funding investor series a
YFS Magazine
OCTOBER 10, 2017
Lead investors leadership personal developmentI use to think that transparency was overrated — not because I didn’t want to be open, but because I didn’t believe much value could come from it.
View from Seed
JANUARY 27, 2021
But it is also large enough to write a $2M check to lead a post-seed round for companies that are starting to scale. Each time that we set out to raise a new fund, we deeply believe that we are going to be able to deliver superior returns to our investors.
View from Seed
FEBRUARY 26, 2020
The former is most common post-accelerators (typically YC), but is much more rare in attracting intuitional seed investors in other contexts (though it can be productive in pre-seed for angels). Once a lead firm has been established, then it becomes a process of assembling puzzle pieces.
SiliconHills
APRIL 30, 2019
Active Capital, a new venture capital firm based in San Antonio and led by Pat Matthews, is the lead investor in the seed stage round of funding. Other investors include Altair. Cliently, which moved to San Antonio last July, announced Tuesday that is has received $1 million in venture capital. Spencer Farber, founder and CEO […]. The post San Antonio-based Cliently Receives $1 Million in Funding appeared first on SiliconHills. San Antonio
View from Seed
JUNE 11, 2019
Here are a couple tips and suggestions on how to go about creating the most supportive investor base for a typical institutional seed round. These folks don’t typically lead rounds, but would certainly invest if the right round came together. So make it easy for them to say “I’m “in” assuming you get a good lead and close at least $X to get you Y months or runway.”. So really take your time to do your due diligence on the investor (both the individual and the firm).
Gust
AUGUST 6, 2014
Technically, a “funding round” simply means a company accepting one or more investments from one or more investors on similar terms within a certain period of time. 25 individual angel investors funding a startup on a convertible note. In all cases, the one fundamental requirement is that the company and the investor agree on how much is being invested, and on what terms. A network of other investors to whom they can introduce the company.
View from Seed
MAY 29, 2019
This post will try to describe why this is happening and what repercussions are for founders and investors. Today, most series A’s are led primarily by one fund that makes up the majority of the round, and there is fierce competition for that lead slot. More and more, I hear seed investors claim that they are increasingly religious about hitting their ownership target in the majority of rounds they are a part of. Repercussions for Investors.
View from Seed
FEBRUARY 4, 2021
It’s a super important, near permanent relationship, especially for a lead investor that is likely to take a board seat for many years. First, unlike in dating, a VC is already an investor in multiple companies when they are considering an investment in a new startup.
View from Seed
JULY 8, 2020
Today I’m excited to announce the relaunch of our most popular resource ever: board meeting deck templates for seed-stage startups, now in conjunction with an investor update email template. Download Investor Update Email Template. Investor Update Email Template and How & When to Use It. First and foremost, investors (whether they say it or not) prefer over communication of what’s happening at the company, both the good and the bad.
View from Seed
OCTOBER 11, 2022
Stephanie is someone that we have known for almost a decade and have respected deeply as a co-investor and collaborator at Uncork. Specifically: – We are high-conviction, hands-on lead investors.
Feld Thoughts
JUNE 9, 2021
Fred Wilson was his lead investor. I was the lead investor for Veripost. ” So for the deal, investors on both sides converted to common, we split the combined company 55/45, Matt became CEO, and Greg led a new Series A financing into the combined company.
NZ Entrepreneur
AUGUST 4, 2021
For investors, capital raises provide an opportunity to invest in a company’s ambitions. In the early days, investors invest in you more than your business, so relationship-building should take precedence. Often, the first thing potential investors will be looking for is a pitch deck.
View from Seed
SEPTEMBER 4, 2018
Most of these rhyme with what we’ve said in the past, but some have also evolved to fit the changing landscape and our own convictions about what really matters for founders and their investors at the seed stage. As the venture capital industry has evolved, more and more seed investors are passing on traditionally “seed stage” startups because there isn’t enough traction. We are first and foremost pre-traction investors. Lead investors are few.
View from Seed
FEBRUARY 23, 2021
For early stage VC ‘s, Syndication is the process of sharing investments with other potential co-investors. The classic scenario is when a VC has a signed term sheet to lead a round, but has left room open for another meaningful investor.
SiliconHills
OCTOBER 30, 2015
The Austin-based startup received the funds from lead investor Austin Ventures and other investors. Edgecase, which provides data and analytics for e-commerce sites, announced this week it has received $7.5 million in venture capital. The company plans to use the money for research and development and sales and marketing. To date, the company, founded in […] The post Edgecase Gets $7.5 Million in Venture Capital appeared first on SiliconHills. Austin
View from Seed
APRIL 14, 2020
The way investors process investments, what they look for, and how they behave will likely shift in some pretty interesting ways in the coming years. In a FOMO world, seed and series A investors are more likely to extend beyond the bounds of their stated strategy to get access to companies.
Hunter Walk
SEPTEMBER 12, 2022
An Investor and a Founder Postmortem a Mistake. Which is why it was refreshing to be asked by Ethena’s CEO to do something publicly that investors normally aren’t interested in rehashing: discuss why we passed on leading the seed round for her startup. The Four (!!!)
View from Seed
FEBRUARY 12, 2020
For each, I’ll share some commentary on what investors are trying to uncover and talk how to handle them. This question is asked to try to figure out how much to prioritize the opportunity relative to the rest of an investor’s pipeline.
Hunter Walk
DECEMBER 30, 2022
What there isn’t a whole lot of: Early stage investors with institutional lead check experience (and a small support team, large networks, etc), who are investing their own capital, in a flexible manner, and then working post-investment to provide additional ongoing support. Seed Funds that write non-lead checks : Down by ~50%. See, it happens to investors too, not just founders.
YoungUpstarts
MAY 1, 2020
Most startups will need a viable product and proof of credibility before they can expect early-stage investors to really bite. The most common fundraising mistake I see is when early stage entrepreneurs focus all their attention on trying to secure a $1 million check from a lead investor.
View from Seed
NOVEMBER 20, 2019
We were co-lead investors in Grove’s seed round and actually doubled down in an intermediate round prior to this challenging series A process. As seed stage investors, we think very deeply about the attributes of founders that we want to back. I’m really grateful for Stu for sharing this story, and for leading Grove through that rocky period with his resilience, customer obsession and courage.
SiliconHills
JUNE 19, 2018
The Austin-based startup announced that the investment came from lead investor LiveOak Venture Partners with participation by Deep Space Ventures, RSH Ventures, Capital Factory and existing investor Keshif Ventures. Eventador announced recently the company has closed on $3.8 million in seed stage funding.
This is going to be BIG.
JANUARY 1, 2018
That being said, you want to feel like you got a good deal--and your lead investor should be able to walk you through how they got to a particular valuation and why they thought it was appropriate. Powered by OpenReel I have to be honest, I'm a little suspect when one of the first questions a founder asks me is about valuation.
View from Seed
SEPTEMBER 23, 2019
It shows some flexibility and allows for different investors (depending on their own fund size and strategy) to see a larger or smaller number depending on how they’d potentially fit into the round most easily. Also, sharing some flavor (but not necessarily full detailed specifics) of the existing investor-set adds context. For a potential investor, it answers the questions of how much and why investing now is the right time.
View from Seed
JANUARY 7, 2020
About a year ago, my partner David Beisel talked about how seed fundraising is no longer a local game , and that the best entrepreneurs seek out the best investors for them outside of their home market. Not surprisingly, SF leads the other three markets by a wide margin.
Hunter Walk
JANUARY 19, 2023
But three years later, the organization changed into a for-profit , albeit one with capped upside for investors ( 100x cap. But is throwing money (and frankly the importance of their brand, which right now is red hot) into startups a lead investor really Open? I’m not an investor in anything related to OpenAI or Mem, nor have I attempted to invest in either, although I did meet Mem very early on and thought they were nice people).
SiliconHills
JANUARY 31, 2017
ATX Seed Ventures announced it is the lead investor in GoCo’s $2.5 Other investors included Guardian Life Insurance and Salesforce Ventures. million financing round. GoCo.io, based in Houston, is a software startup that provides an all-in-one Human Resources platform focusing on small to medium sized companies. Its founders, Nir Leibovich, Jason Wang and Michael Gugel […] The post ATX Seed Ventures Invests in GoCo’s $2.5
Hunter Walker
SEPTEMBER 27, 2021
In some ways it’s ALWAYS to an investor’s benefit to suggest a potential new investment wouldn’t be competitive to an existing portfolio company, and it’s ALWAYS to the current portfolio company’s benefit to suggest it might be. Why do I care about how investors at other firms get paid?
The Next Web
JUNE 6, 2014
Whilst exact details remain unclear, Tech City declared that companies on the program have access to a team of leading investors, accounting firms and business leaders for ongoing advice and support. . Jay Patani is an analyst at EC1 Capital, a London-based early stage, Web technology focused venture capital company. Email him at jay(at)ec1capital.com. The UK government has been keen to champion the UK as a hub for technology and innovation.
OnlyOnce
JULY 26, 2018
Or you negotiate the highest possible valuation from a new lead investor, only to discover that new lead investor, now on your Board, expects you to triple it in four years and is way out of alignment with the rest of your cap table. Or same goes for getting a “pass” from a desirable investor in a financing round but at least understanding why and getting a key to fixing something problematic about your business model or management team.
View from Seed
JANUARY 11, 2021
Investors previously prone to onsite visits and amassed airline miles, now grapple with how to form relationships and build confidence without having met teams in person. economy shut down and investors grappled with new waves of uncertainty.
Hunter Walker
JUNE 14, 2019
Because as an early stage lead investor one of our responsibilities is to help a company think through its strategy and provide feedback on the pace and quality of execution. Yes there’s a funding process and helping founders navigate that successfully is a key part of a venture investor’s value, but a CEO shouldn’t rely on “failing to execute but successfully raising” (even though this happens too). 14 for 14.
Hippoland
JUNE 4, 2015
An investor I met with got really excited about joining my round. He said he would like to join once we have a lead. Do I need a lead? What is a lead? 1) Technically speaking, you do not need a lead. Investors will simply look at the terms and decide whether they want in or not. 2) Practically speaking, many investors are sheep (followers) and will want you to have a lead investor to validate your business.
View from Seed
AUGUST 12, 2015
This investor loved the team and thought the solution they were building was compelling. I remember talking to one of their angel investors (and also one of my old mentors) about what the company could become and what it would look like if it ever became a really big business. I wondered if it could potentially be a “platform” for something else (the most meaningless and overused phrase that entrepreneurs and investors try to use to make companies seem more important than they are).
View from Seed
OCTOBER 24, 2019
The reality is that if a founder raised every one of these rounds, and lead investors always got their “target” ownership, the level of dilution would be ridiculous. No good investor would want the founder/CEO of a company to have insufficient ownership by the series A, and every founder I know is sensitive to taking too much dilution. They find weak pre-seed investors or angels who are almost predatory in their early stage pricing and add no value.
SiliconHills
DECEMBER 11, 2015
The other investors include lead investor Wellington Management Company and participating investors NEA and Morgan Creek Capital […] The post TabbedOut Raises Additional $2 Million in Venture Capital appeared first on SiliconHills. TabbedOut, a mobile payments app for bars and restaurants, announced Friday it has raised $2 million more in its Series C venture round. Miami-based Aeterna Capital provided the funds.
This is going to be BIG.
MAY 4, 2022
The rest have to work super hard to create access for themselves, build trust and win investors over. An investor who doesn’t support a woman’s right to make her own healthcare decisions isn’t likely to trust women with incredibly difficult decisions in general.
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