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What Do I Do If My Business Runs Out Of Cash?

YoungUpstarts

For example, a rapidly growing business is often purchasing lots of inventory, investing in fixed assets, and not managing their accounts receivable. If your business model is profitable but you’ve mismanaged one of the above categories, you need to build a 13-week cash forecast to manage your short-term crisis.

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Mark Hauser’s Hauser Private Equity Spearheads Major Deals in Industrial Sector

The Startup Magazine

From data integrity software to healthcare management services, Hauser Private Equity has seen the value in businesses that exist in the in-between of raw materials and consumer goods, and how such companies have the ability to bring about realized gains for investors. Healthcare.

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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

As two fund managers employing Flexible VC, we think it is a healthy addition to the ecosystem and will yield more predictable and stable healthy returns for investors. Too often, investment structures force the management team to make decisions between misaligned growth and investment (return) objectives. Early liquidity.

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What Just Happened With OnLive?

Feld Thoughts

Rather than shut down, they found a buyer / investor (which could be a subset of the existing investors) who would recapitalize the company and keep it going as long as he didn’t inherit the liabilities. Rather than screwing the employees to enrich management, this feels to me like a pretty employee friendly approach.

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The Right Way to Lay People Off

Ben's Blog

outcome with no recapitalization. Employees will question managers and ask whether or not a layoff is coming. If the managers don’t know, they will look stupid. If the managers do know, they will either have to lie to their employees, contribute to the leak, or remain silent, which will create additional agitation.

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Silicon Valley Frontlines: Two Tales of "Working For Equity"

philipsmith.typepad.com

a year burn rate and your equity is worthless due to numerous recapitalizations and bridge loans from investors then either you don't get it or I'm stupid to do it. Posted by Philip Smith on January 23, 2010 at 02:55 PM in Business Management , Fundraising , Getting going. , Business Management. Save to del.icio.us. |.

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The Silliness Of Recapping Seed Rounds

Feld Thoughts

So they recapitalize the company. The founders usually get wiped out completely, but existing management usually ends up with new options for between 10% and 20% of the company. The term sheet converts all the convertible debt into a post-money valuation of $100, essentially making the convertible debt worthless.