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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

Coinvestors: Flexible VC terms have not been standardized, which may make the investment harder to syndicate. Mezzanine lending (a rough comparable) has a 18-23% required rate of return. Most Flexible VCs lead rounds and often take 100% of the round to mitigate this risk. No investor return is guaranteed in a company failure scenario.

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Early Seed Financing Terms Endure… Whether We Like It or Not

Genuine VC

Dharmesh Shah had a great post up last week about the lessons learned from raising a mezzanine round of financing. It’s really interesting, but perhaps only applicable to a more limited set of entrepreneurs.

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