What you need to know about warrants

StartupCFO

I often get questions from CEOs about warrants, so I thought I would share a primer on them here. A warrant is basically like the options that you give to your employees. Warrants are typically given to investors as an incentive for investing. Example : A typical venture debt loan might have 10% warrant coverage. In this example, a $5M loan would require you to issue a warrant for $500K worth of shares in your company.

Convertible Debt – Warrants

Ask The VC

The other approach to a discount is to “issue warrants” This approach is more complex and usually only applies to situations where the company has already raised a round of equity, but it still pops up in early stage deals. However, if you are doing a later stage convertible debt round, or your investors insist on you issuing warrants, here’s how it works. In this case the investor will get a warrant for $20,000. What does $20,000 worth of warrants mean?

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Warrants In A Deal With An Advisor

Ask The VC

He travels alot so, this would be around his availability etc etc 2) he’d like to be paid not in cash (we can’t do this) but ‘via warrants’ priced at the same price and on the same terms as the deal done with our first round financier. He has stated that any entitlement to warrants earned cannot be revoked upon any subsequent termination of the contract by me. Please could you explain what ‘warrants’ mean? Compensation advisor warrants

Series A Warrants Based On Milestones Versus A Deal With Two Closes

Ask The VC

Question: In a Series A, the investor is proposing a preferred stock with warrants. The warrants relate to the accomplishment of milestones, are optional, and are priced at 50% above the initial price. It sounds like the proposal is a “Preferred A&# with a “warrant&# for more “Preferred A&# at a price that is 50% more than the initial price. from the warrant). The post money valuation after the warrant is exercised is $6.25m (2.5m / 0.40).

Search warrant: Nicole Lovell messaged 'Dr_Tombstone' account tied to accused killer

Winston-Salem Journal State/Region News

CHRISTIANSBURG — A Kik messaging account tied to David Eisenhauer contacted Nicole Lovell under the screen name “Dr_Tombstone” in the days before her death, according to a search warrant obtained by T

Convertible Debt – The Discount

Ask The VC

There are two approaches – the “discounted price to the next round” or “warrants.” We’ll cover warrants in a later post in the series. Convertible Debt convertible debt discount warrantAs we start our convertible debt series, we’ll focus on the discount. Remember that a convertible debt deal doesn’t purchase equity in your company.

Should Your Startup Give Performance-Based Warrants?

Both Sides of the Table

the economic benefits to BigCo never warrant all of the time and effort they put into getting a stake in your company and trying to make that stake worth money. What are Performance Based Warrants? What is a “performance based&# warrant? Make the warrants time based.

Warrant says man led deputies on chase, rams patrol car

Winston-Salem Journal State/Region News

ASHEVILLE — Authorities in Buncombe County say a man has been arrested after he fled from sheriff's deputies and rammed a patrol car during a chase

Convertible Debt – Discount or Warrant Coverage?

ithacaVC

Below I refer to this fair risk incentive as the “reward” The article I just read, however, argues strongly that the convertible debt holder, and, more importantly, the new Series A investors, would be better off if the convertible debt had warrant coverage instead of a conversion discount. Conversion Discount vs Warrant Coverage. I am on the Campus to Campus back from NYC to Ithaca. Smooth ride so far (better than the 6 hour trek on the way down yesterday).

State Briefs: Warrant: Man confessed to police

Winston-Salem Journal State/Region News

Warrant: Man confessed to police

Prosecutor won't release warrant in molestation case

Winston-Salem Journal State/Region News

AP) — A prosecutor in South Carolina is refusing to release the search warrant used in a molestation case against a North Carolina man charged with abusing a teen in the infield of a NASCAR track FAYETTEVILLE, N.C. (AP)

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Feds: Oceanic whitetip shark warrants 'threatened' listing

Winston-Salem Journal State/Region News

officials say the oceanic whitetip shark's status in the wild warrants listing as a threatened species under the Endangered Species Act PORTLAND, Maine (AP) — U.S.

Man arrested on 3 existing warrants after reported assault

Winston-Salem Journal State/Region News

AP) — A North Carolina man has been arrested on outstanding warrants after he allegedly hit another man with a tire iron GOLDSBORO, N.C. (AP)

Warrant: NC man killed wife, stepdaughter during a blackout

Winston-Salem Journal State/Region News

GREENVILLE — A search warrant obtained by a television station says a man told investigators that he killed his estranged wife and her daughter during a blackout

Prosecutor won't release warrant in NC molestation case

Winston-Salem Journal State/Region News

FAYETTEVILLE — A prosecutor in South Carolina is refusing to release the search warrant used in a molestation case against a North Carolina man charged with abusing a teen in the infield of a NASCAR track

Ex-UNC player Hairston arrested on outstanding warrant

Winston-Salem Journal State/Region News

Hairston has been arrested in Wrightsville Beach on an outstanding warrant WRIGHTSVILLE BEACH, N.C. (AP) AP) — Authorities say former North Carolina and NBA player P.J.

Warrants issued for 2 men in North Carolina man's death

Winston-Salem Journal State/Region News

AP) — Police have issued warrants for two men in the death of an Uber driver whose body was found five days after he was reported missing in North Carolina CHARLOTTE, N.C. (AP)

Search warrant: NC woman hid heroin in 4-year-old's pockets

Winston-Salem Journal State/Region News

AP) — A search warrant says a Burlington woman charged with drug trafficking and child abuse hid heroin in the pockets of her 4-year-old child BURLINGTON, N.C. (AP)

Warrant: Man killed wife, stepdaughter during a blackout

Winston-Salem Journal State/Region News

AP) — A search warrant obtained by a television station says a man told investigators that he killed his estranged wife and her daughter during a blackout GREENVILLE, N.C. (AP)

Court: Police executing 'no-knock' warrant before shooting

Winston-Salem Journal State/Region News

AP) — Court documents show Hickory police were executing a "no knock" search warrant when a police officer was shot in the arm by a suspect who was shot and killed HICKORY, N.C. (AP)

Search warrants sealed as Nicole Lovell death investigation continues

Winston-Salem Journal State/Region News

CHRISTIANSBURG — Search warrants executed by police in the death of Nicole Lovell have been sealed by a judge, as the prosecutor in the case says she will continue to consider whether evidence could w

Warrant: Engine left running on truck that killed NC boy

Winston-Salem Journal State/Region News

AP) — An arrest warrant says a man charged in the death of a 5-year-old Hillsborough boy killed when a construction truck hit him had left the engine running without the parking brake engaged correctly HILLSBOROUGH, N.C. (AP)

Search warrant paints fuller picture of Rockingham County DA investigation

Winston-Salem Journal State/Region News

On July 25, 2016, Superior Court Judge Joe Crosswhite ordered an State Bureau of Investigation probe into the district attorney's offices in Rockingham and Person/Caswell counties after learning about allegations that District Attorneys Craig Blitzer and Wallace Bradsher and hired

Warrant: Marijuana odor inside a home leads to woman's arrest, discovery of moonshine and guns

Winston-Salem Journal State/Region News

The odor of marijuana inside a home in northeastern Davidson County led to the arrest of a woman and the discovery of a large quantity of moonshine liquor and guns, a search warrant and other court records show

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Search warrants: Man confessed to killing 3 in Wake Forest

Winston-Salem Journal State/Region News

AP) — Search warrants show a man charged with killing three people in a Wake County home confessed to the shootings before police searched his home WAKE FOREST, N.C. (AP)

Austin-based Perk.com Buys Viggle of New York

SiliconHills

11th, along with warrants […] The post Austin-based Perk.com Buys Viggle of New York appeared first on SiliconHills. Perk.com announced Monday it has signed an asset purchase agreement with New York-based Viggle Inc., a mobile and web-based entertainment marketing platform. Austin-based Perk will pay 1.5 million common shares, valued at $4.7 million, based on the closing price per Perk share of $4.30 on the Toronto Stock Exchange on Dec.

Warrants: Minutes after parole visit, felon shoots man

Winston-Salem Journal State/Region News

ARDEN, N.C. (AP) AP) — Authorities say that moments after a North Carolina man's parole officer left his home, he shot another man in the leg

Warrant: Mother of boy found dead on porch had used drugs

Winston-Salem Journal State/Region News

AP) — Authorities in North Carolina say search warrants indicate the mother whose 3-year-old son was found dead on the porch of their Morganton home had used marijuana and methamphetamine prior to his death MORGANTON, N.C. (AP)

Warrant: North Carolina teen girls extorted for nude photos

Winston-Salem Journal State/Region News

CORNELIUS — Warrants show more than a dozen teen girls at a North Carolina high school have been extorted for nude photos

Warrant: North Carolina teen girls extorted for nude photos

Winston-Salem Journal State/Region News

AP) — Warrants show more than a dozen teen girls at a North Carolina high school have been extorted for nude photos CORNELIUS, N.C. (AP)

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Warrants shed light on State Fair accident

Winston-Salem Journal State/Region News

RALEIGH — A newly released search warrant from the criminal probe into a thrill ride accident at the North Carolina State Fair shows investigators knew quickly that the machine had been tampered with

Using warrants to pump up your VC valuation

www.mattbartus.com

One possibility is to negotiate a higher valuation and offer warrants (i.e., Take a look at the numbers when you increase the fully diluted pre-money valuation from $3 million to $5 million and include warrants: Pre-Money. Warrants. -. 1,333,333 warrants x $0.50

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Inc Startups

Salary expectations--warranted or not--can cause great frustration for both job seekers and company leaders. Find out how the right approach to salary transparency can help you retain talent and communicate value to current and future employees

2 minutes after parole visit, NC felon shoots man, warrants say

Winston-Salem Journal State/Region News

ARDEN — Authorities say that moments after a North Carolina man's parole officer left his home, he shot another man in the leg

Nicole Lovell case: Arrest warrant includes student comment about 'truth'

Winston-Salem Journal State/Region News

CHRISTIANSBURG – David Edmond Eisenhauer, who is accused of killing 13-year-old Nicole Lovell, and Natalie Keepers, who is accused of helping dispose of the teen's body, made their first appearances i

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SBI got warrant for 15 accounts in photo probe

Winston-Salem Journal State/Region News

RALEIGH — The State Bureau of Investigation obtained a search warrant for user information and content for 15 Instagram accounts in its probe of nude photos of students in Wake County