This site uses cookies to improve your experience. By viewing our content, you are accepting the use of cookies. To help us insure we adhere to various privacy regulations, please select your country/region of residence. If you do not select a country we will assume you are from the United States. View our privacy policy and terms of use.

Remove Management Remove Pay to Play Remove Syndication Related Topics
Seed Capital Reputation Customer Cofounder Finance Entrepreneur Product Recapitalization Post-Money Valuation Syndicate More Related Topics >
article thumbnail

Payback Hurts

Babbling VC

AUGUST 27, 2010

We were invested in a company which was actually a great business and I was aligned with management. Anyway, what ultimately happened is that one of the managers was let go, mostly due to pressure from said investor. .  Well, The concept of "pay-to-play" hadn't quite sunk in with him.

Bankruptcy 62
Bankruptcy Syndicate Syndication Pay to Play 62
article thumbnail

The Silliness Of Recapping Seed Rounds

Feld Thoughts

JULY 14, 2015

It usually happens in a later round, when the company is in fact worth much less than the liquidation preference overhang and insiders use a pay-to-play and a low valuation to reset the preferences and the cap table. It’s not pretty, but it happens.

Recapitalization 70
Recapitalization Pre-Money Valuation Post-Money Valuation Angel Investor 70
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

 

Stay Connected

Join 5,000+ Insiders by signing up for our newsletter

About
About
Editions
Editions
Topics
Powered by Aggregage | Terms and Conditions | Your California Rights and Privacy Policy
© Aggregage 2024