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The Legal Side of Entrepreneurship

YoungUpstarts

Startups need to understand how to manage the seed money they receive from investors and VCs. In Silicon Valley, most boards ultimately make decisions based on a consensus. If a domain name is critical to a brand and the domain is not empty, the best course may be to find a new name. Patent Trolls.

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Should you raise on convertible notes or do an equity round?

Hippoland

A reader named Turner Dean recently asked me whether it’s better to raise seed money on convertible notes or straight-up equity. I think my total legal bill for getting my seed round done for LaunchBit was something like < $3000. This should be basically free.

Equity 48
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Timing: When to raise seed funding.

Scalable Startup

High growth startup companies need seed money to get things going. They need the money to rent offices, hire staff, and establish their initial presence (website, incorporation, marketing). Pre-launch funding is pretty common in Silicon Valley, but that’s a unique case. They risk money they can afford to lose.

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The Corrosive Downside of Acquihires

Both Sides of the Table

Let’s assume $2 million in seed money. If the money comes from professional investors it usually has a “liquidation preference” meaning that their money comes out before the founders or common stock. I know the buyers try the best to believe that [insert well known founder name here.

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Let's All Shed Tears For The Crappy Startups That Can't Raise Any More Money

readwrite.com

Believe it or not this is actually a big story in Silicon Valley right now. For the past few years we’ve had people calling themselves “investors,” who have no experience investing, swanning around the Valley, slinging money at people calling themselves “entrepreneurs” who have never held an actual job, let alone run a company.

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Splunk Founder Now Launches Entrepreneurs, Not Startups

ReadWriteStart

In Paris today at the World Founder Forum he announced the top 10 student team winners who split $1 million in seed money prizes. Michael Baum : You remember what happened in 2003 in Silicon Valley, right? Those teams are among 50 globally participating in the Founder.org program’s second-year class. Were you insane?

Founder 60
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8 Big Startup Myths That Hold Entrepreneurs Back From Success

crowdSPRING Blog

While it’s true that you sometimes need to spend money to make money, the amount of money you need to spend is where things get murkier. The highway of new ventures is littered with the remnants of businesses that started with tons of seed money but ran out with little to show for it. in the early days, Microsoft.