article thumbnail

Planning for the Future: Your Exit Strategy

Up and Running

.” This is because, when a company decides to sell itself to another company, the buyer will often incorporate or merge the services of that company into their own product or service offerings. This happened when Google bought YouTube, seamlessly integrating the video platform into their own search product.

article thumbnail

What Makes an Entrepreneur? Cojones (7/11)

Both Sides of the Table

They often make great team members such as head of products, CTO, head of sales, CFO, etc. And we’re lucky because they deliver many of the great products, services and content that we consume in our lives every day. The problem was that he was still working out the lock-up period in his big company.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Slack S-1: Will ARPU Drive Long Term Value?

View from Seed

Even before that, we all knew that it was among the most rapidly growing SaaS companies in recent years and a product used (and loved) by millions of people. But it does mean that traditional 180 day lock-up periods won’t generally apply to existing Slack shareholders. Slack dropped their S-1 a couple weeks ago.

article thumbnail

The Corrosive Downside of Acquihires

Both Sides of the Table

If you give $2 million for 20% of a company ($8 million pre + $2 million investment = $10 million post-money valuation) that has no product and no customers and it turns around 3 months later and sells for $5 million it would hardly be fair for investor to get $1 million back (20% of the proceeds). Those 1-3 you’re talking about?

article thumbnail

Slack S-1: Will APRU Drive Long Term Value?

Agile VC

Even before that, we all knew that it was among the most rapidly growing SaaS companies in recent years and a product used (and loved) by millions of people. But it does mean that traditional 180 day lock-up periods won’t generally apply to existing Slack shareholders. This post also appears on NextView’s blog.

article thumbnail

2021 was a record breaking year for Israeli startups. What now?

VC Cafe

Both employees and investors typically have a 6 month lock up period (exceptions apply of course) so this can have devastating effects on liquidity and retruns. Given that some of these new stocks have low trading volume, in practice the lock up period can be longer.

article thumbnail

Looking Back On Tech, Startups, And VC In 2019

Haystack

Or, the burgeoning private markets, which now fuel private companies with so much cash there’s been a new push to go for “Direct Listings” as companies become publicly-traded, allowing more shareholders to trade freely quicker without traditional lock-up periods? Or, it’s perhaps the conundrum of the U.S.

China 146