Both Sides of the Table

JUNE 27, 2021

We’ve had two companies where we had to bridge finance them several times before they eventually IPO’d We had a portfolio company turn-down a $350 million acquisition because they wanted at least $400 million. Another 3–5 could return in aggregate $300–500 million. Early-stage venture capital is about extreme winners.

Bankruptcy 294

Bankruptcy Bridge Financing Portfolio Angel Investor 294

VC Adventure

AUGUST 15, 2018

It was a benefit to employees and a slight value transfer from equity holders to option holders (generally speaking in M&A transactions the value of the aggregate option exercise ends up allocated across the rest of the cap table). Similarly I assumed that later stage companies would also show a smaller gap. I was wrong.

Valuation 48

Valuation Common Stock Cap Table Software Review 48

David Teten

DECEMBER 3, 2019

Data companies focused on early-stage startups include Aingel , fundsUP , Preseries , PredictLeads , and Sploda. Later stage investors are using for sourcing private company marketplace services focused on more established companies, listed below under “Step 11: Exit”. They read reviews of the products of target investments.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Feld Thoughts

SEPTEMBER 27, 2011

Usually we see 2-3x, but in later stage companies, this multiple can be even higher. In the case of an early-stage startup that hasn’t issued preferred stock yet, the debt converts into stock of the acquiring company (if it’s a stock deal) at a valuation subject to a cap. Typical language follows.

Conversion 96

Conversion Sales Later Stage Preferred Stock 96

K9 Ventures

OCTOBER 10, 2017

This post is intended to be a dynamic document, and I will attempt to update it from time to time with new questions that may arise or as financing trends evolve. Q: What amount of financing is considered Pre-Seed? Typically, Pre-Seed rounds are less than $1M in aggregate capital raised. Q: Define Pre-Seed?

Seed Stage 82

Seed Stage Finance Later Stage Equity 82

abovethecrowd.com

APRIL 20, 2016

Why the Unicorn Financing Market Just Became Dangerous…For All Involved. Many have noted that the aggregate shareholder value created by all of the Unicorns will vastly overshadow the losses from the inevitable failed unicorns. By the first quarter of 2016, the late-stage financing market had changed materially.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

Hippoland

JANUARY 4, 2017

And as you raise money at later stages, you will most likely be raising equity rounds. So, in the aggregate, it is possible that you may be required to pay as much as $30k-$50k to get an equity round done. In the 1990s, your first round of financing was typically a Series A round between $1m-$5m.

Convertible Security 48

Convertible Security Equity Security Silicon Valley 48