Startup Professionals Musings

OCTOBER 30, 2017

If you project a sense of desperation, or ignorance of the options and implications, no potential investor will give you the credibility to be your partner in a business. Rather than simply exchanging equity for cash, explore partnership arrangements where qualified partners contribute services for equity.

Technical Review 220

Technical Review Accredited Investor Due Diligence Equity 220

David Teten

JUNE 22, 2012

VCAP© is a collaborative venture that provides women and diverse entrepreneurs nationwide with access to venture capital through accredited investors within the HBSAANY network. VCAP©, the first program of its kind, bridges the gap between venture capitalists and angel investor networks and women and diverse entrepreneurs.

Programming 114

Programming Accredited Investor Naming New York 114

Scott Edward Walker

JUNE 30, 2011

Fundraising Tips Tip #1: Only Offer and/or Sell Securities to “Accredited Investors”. The rule of thumb in connection with private placements is only to offer and sell securities to “accredited investors” under SEC Rule 506. Issues to consider include: Has the investor done investments like this before?

Securities and Exchange Commission 76

Securities and Exchange Commission Accredited Investor Private Placement Finder 76

techcrunch.com

APRIL 26, 2013

In December, AngelList , a service that matches early-stage startups with investors, debuted the ability to allow accredited investors to actually invest in startups on the platform with as little as $1,000. AngelList also partnered with SecondMarket to create an investment vehicle for these investments. 2011 Holiday.

SEC 61

SEC Accredited Investor San Diego New York City 61

Gust

OCTOBER 20, 2011

Individual accredited investors in typical angel deals put personal capital at risk for an equity share of growth-oriented, start-up companies. These angel investors generally invest $25,000 to $100,000 in a round totaling $250,000 to $1,000,000. Marketing/Sales/Partners. Sales channels, sales and marketing partners.

Valuation 146

Valuation Pre-Money Valuation Intellectual Property Technical Review 146

Startup Professionals Musings

APRIL 10, 2016

These questions are the key ones in every due diligence effort, always done by accredited investors, but almost never done by key employees and new partners. Ironically, startup investors are normally in less personal jeopardy than early startup employees.

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

Startup Professionals Musings

APRIL 8, 2015

These questions are the key ones in every due diligence effort, always done by accredited investors, but almost never done by key employees and new partners. Ironically, startup investors are normally in less personal jeopardy than early startup employees.

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

David Teten

FEBRUARY 26, 2012

HBSANY members are required to be accredited investors (per SEC regulations) and are expected to agree to the terms of the HBSANY Membership Agreement. You will be able to meet privately with these companies later in the evening. This evening is exclusively for members of the HBS Angels of Greater New York.

Technical Review 128

Technical Review New York Accredited Investor IP 128

Startup Professionals Musings

MARCH 16, 2016

This unpaid work component is sized in dollars, added to any funds contributed, to represent the total contribution of a founding partner and converted to an equity ownership percentage in a new startup. When a startup proclaims that it is cash-flow positive but pays no salary yet to the founders, investors call this Ramen-profitable.

Software Review 120

Software Review Sweat Equity Accredited Investor Angel Investor 120

Startup Professionals Musings

APRIL 11, 2021

Early partners or co-founders often drop out of the picture early due to disagreements, and you forget about them, but they don’t forget about the verbal or email promises you made. Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding their original share.

Cost 363

Cost Non-Compete Accredited Investor Cofounder 363

Austin Startup

FEBRUARY 28, 2019

With a concentration on providing a more diverse workforce, Capital Factory and Opportunity Hub are partnering in 2019 to converge on the Austin tech scene this spring at SXSW. Opportunity Hub is one of those communities forging the path towards true diversity, equity and inclusion.

Partner 55

Partner Cofounder Technical Cofounder Equity 55

Austin Startup

MARCH 15, 2021

The Capital Factory Texas Fund is backed by many of the most successful CEOs and technology investors in Texas and across the U.S., Capital Factory has partnered with AngelList Rolling Funds to better meet the needs of today’s investors.

Accredited Investor 106

Accredited Investor Texas San Antonio San Francisco 106

www.paulgraham.com

APRIL 28, 2010

There are three maindisadvantages: you mix together your business and personal life;they will probably not be as well connected as angels or venturefirms; and they may not be accredited investors, which couldcomplicate your life later. The regulatory burden is much lower if a companys shareholdersare all accredited investors.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

This is going to be BIG.

JULY 13, 2023

It felt like every single time I walked into the partner meeting, I was bringing in another deal—which was great because I was trying to get noticed. We had three other Principals waiting for perhaps one Partner slot to open up and so it was basically written in stone that I was moving on.

Accredited Investor 78

Accredited Investor Non-Compete Early Stage Salary 78

Startup Professionals Musings

JANUARY 27, 2021

By definition, angels are accredited investors, who invest their own money for a percentage of the business. Look to grants and strategic partners for seed funding. Here are eight key insights that will help you find a productive match: Angels want equity ownership, not causes.

Search 317

Search Accredited Investor Angel Investor Venture Capital 317

Startup Professionals Musings

JULY 10, 2012

Early partners or co-founders often drop out of the picture early due to disagreements, and you forget about them, but they don’t forget about the verbal or email promises you made. Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding their original share.

Non-Compete 249

Non-Compete Accredited Investor Cofounder Startup 249

Startup Professionals Musings

MAY 2, 2011

Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding their original share. Do the same for every business partner or employee you may hire. Overall, the biggest legal mistake that a startup can make is to assume that any legal problems can be resolved later.

Non-Compete 246

Non-Compete Accredited Investor Entrepreneur Cofounder 246

Startup Professionals Musings

OCTOBER 8, 2023

By definition, angels are accredited investors, who invest their own money for a percentage of the business. Look to grants and strategic partners for seed funding. Here are eight key insights that will help you find a productive match: Angels want equity ownership, not causes.

Accredited Investor 265

Accredited Investor Venture Capital Syndicate Syndication 265

Startup Professionals Musings

AUGUST 7, 2013

Early partners or co-founders often drop out of the picture early due to disagreements, and you forget about them, but they don’t forget about the verbal or email promises you made. Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding their original share.

Non-Compete 235

Non-Compete Accredited Investor Startup Cofounder 235

Scott Edward Walker

AUGUST 30, 2020

This past Wednesday, the Securities and Exchange Commission (SEC) adopted amendments expanding the definition of “accredited investor” to include individuals who hold certain professional certifications/licenses or have certain “credentials,” as determined by the SEC. Current Definition of “Accredited Investor”.

Accredited Investor 52

Accredited Investor SEC Securities and Exchange Commission Private Placement 52

Kodorra

JANUARY 4, 2019

Blockchain companies generally achieve liquidity by listing their tokens on these exchanges and what better than to do that by partnering with an exchange at first outset. By piggy-backing the project on a cryptocurrency exchange. Simply put, it’s a process of tokenizing securities (company stocks, bonds or assets like real estate).

Securities and Exchange Commission 40

Securities and Exchange Commission Technical Review Lock-up Period Accredited Investor 40

Startup Professionals Musings

MAY 9, 2011

That means your entire life must be an open book, 100% of the reference checks we do on you (including ones we find on our own) must come back positive, and we need to see that you’ve treated former investors, employees, partners and customers with impeccable fairness. David: Being an entrepreneur is tough. Really, really tough.

New York 221

New York Accredited Investor Advisory Board IRR 221

Gust

MAY 10, 2014

If you mean someone investing mostly other people’s money through a seed fund, they are venture capitalists, and their days are spent like other VCs, meeting with prospective investments, mentoring portfolio companies, raising money from limited partners, negotiating deals, and so forth.

Angel Investor 132

Angel Investor Accredited Investor Limited Partner Portfolio 132

David Teten

OCTOBER 15, 2013

Someone had to be the first firm to step forward, share performance data, publicly announce that they are open to new investors (albeit accredited investors), and share their story. ff Rose will close to new investors before the end of November. ff Rose will close to new investors before the end of November.

Venture Capital 114

Venture Capital Accredited Investor IRR Later Stage 114

This is going to be BIG.

FEBRUARY 21, 2019

A lot of VC fund pitches—and I know this because I used to vet VCs for a living as an institutional limited partner at a pension fund—sound the same. They’re trying to get exposure and diversification at the same time, while potentially seeing co-investment deal flow. We are especially focused on bringing diverse attendees into the room.

Accredited Investor 106

Accredited Investor Term Sheet Deal Flow .Net 106

Startup Professionals Musings

APRIL 19, 2010

Later, when your venture is trying to close on financing, or even going public, that forgotten partner surfaces, demanding equity. Do the same for every business partner or employee you may hire. The best advice is to only take investment funds from people who can financially afford to lose, and who qualify as accredited investors.

Non-Compete 125

Non-Compete Accredited Investor Startup Cofounder 125

The Startup Magazine

MARCH 22, 2019

Investment firms are staffed with analysts, partners, and others to ensure deals are soundly vetted. Investor Involvement. Venture capitalists act as limited partners, providing help to build successful companies in a market they have deemed has potential. Understanding the differences is vital to making the right choice.

Angel Investor 153

Angel Investor Venture Capital Accredited Investor Equity 153

Up and Running

MAY 27, 2014

You should think of choosing an investor the same way you consider choosing a business partner, because after you take their money, they become a partner in your business. And if you choose a partner based on money alone, you’re going to find yourself in trouble. (It Connections to other accredited investors.

Angel Investor 119

Angel Investor Dilution Accredited Investor Due Diligence 119

Startup Company Lawyer

APRIL 3, 2009

For some of the exemptions, such as rules 505 and 506 of Regulation D, a company may sell its securities to what are known as “accredited investors&# defined in rule 501 of Regulation D. Thus, many homeowners are accredited investors due to the value of their houses.

Accredited Investor 28

Accredited Investor SEC .Net Security 28

K9 Ventures

MAY 14, 2011

They may or may not be accredited investors, and they don’t invest regularly or often. They are still individual investors, they invest on a full-time basis as professionals, but they have funds with Limited Partners. They have 4-10 partners who are investing on their behalf. 1-2 per partner. Super Angel.

Preferred Stock 125

Preferred Stock Seed Stage Incubator Accredited Investor 125

Startup Professionals Musings

FEBRUARY 16, 2015

By definition, angels are accredited investors, who invest their own money for a percentage of the business. Look to grants and strategic partners for seed funding. Here are eight key insights that will help you find a productive match: Angels want equity ownership, not causes.

Angel Investor 120

Angel Investor Accredited Investor Venture Capital Startup 120

This is going to be BIG.

APRIL 1, 2015

I''ve said before that I wouldn''t take on a partner. When I told him about my concern of adding a new partner in the middle of a fundraise, he asked me how big the target was. So, unfortunately for everyone else, including my existing investors in Fund I, there is no opportunity for anyone else to invest in my second fund.

Strategic Investors 60

Strategic Investors Partner Accredited Investor New York 60

Feld Thoughts

OCTOBER 21, 2019

My partner Seth Levine and his wife Greeley Sachs, who is currently a trustee on the TNC Colorado board, have also been long-time supporters of TNC as a key shared value of ours is protecting our planet following TNC’s science-based approach. As a bonus, there is also an investor-only event that morning for accredited investors.

Accredited Investor 86

Accredited Investor Denver Colorado Partner 86

Berkonomics

AUGUST 3, 2023

Money from these sources is relatively easy to come by, and most often comes with no strings as to oversight by a formal board composed of these investors and management. Strategic investors validate a business, by their presence creating the very value they pay for with increased price per share purchased.

Private Equity 118

Private Equity Valuation Cap Table Accredited Investor 118

Berkonomics

JUNE 8, 2017

composed of these investors and management. However, most often, these funds are solicited by a well-meaning entrepreneur from investors who are not qualified as accredited investors under the law (currently requiring a proved income of $200,000 a year or $1 million in net worth for an individual investor).

Private Equity 106

Private Equity Valuation Cap Table Accredited Investor 106

This is going to be BIG.

APRIL 10, 2015

First, you have to be an accredited investor--someone with a few hundred grand in income or a million to your name. One regulation has effectively kept the most investors from participating in the most recent tech boom--namely the 99 investor limit in a limited partnership.

Venture Capital 60

Venture Capital SEC Accredited Investor Silicon Valley 60

This is going to be BIG.

OCTOBER 14, 2015

Circles enable investors to access multiple investment opportunities at a lower investment minimum, with no fees for investors. Tom is partnering with Vidrik Frankfather, who has been in the finance industry for 16 years. The fund will make investments on their behalf in select companies on the platform.

Accredited Investor 60

Accredited Investor Cofounder Finance Community 60