Pascal's View

JULY 9, 2017

While VC deals remain marketed on a pre-money basis, sophisticated investors know that what matters most is the post-money (how much of the company will I own after all of the new shares have been issued). The most serious unintended consequence occurs from “note waterfalls”— converting multiple notes that have multiple valuation caps.

Post-Money Valuation 49

Post-Money Valuation Valuation Cap Table Covenant 49

This is going to be BIG.

JUNE 20, 2024

On the other hand, I feel things are a lot more predictable on the fund side—and that getting limited partners for your fund or syndicate is a lot more grounded in something that resembles logic. Perhaps you run a widely syndicated startup newsletter where the best companies have been subscribers for years.

Deal Flow 147

Deal Flow Syndicate Syndication Cap Table 147

Hunter Walker

SEPTEMBER 5, 2021

Startup CEOs Should Test Strength of Cap Table Every ~6 Months To Know Where They Stand. I really liked Jason Lemkin’s “ Do You Have a Weak Investor Syndicate ” blog post from earlier in the summer. Lastly, Jason has a single very practical suggestion on what to do if your cap table is tapped out.

Cap Table 127

Cap Table Seed Stage Syndication Syndicate 127

David Teten

SEPTEMBER 23, 2017

The extreme example of this are algorithmic investors in the public markets, who design algorithms which trade on the designer’s behalf, as opposed to making trading decisions directly. High-frequency trading, algorithmic by its nature, is estimated to account for at least 50% of US equity markets trading volume. . 1) Market fund.

Private Equity 60

Private Equity Venture Capital Equity Technical Review 60

David Teten

JULY 12, 2017

I thought it might be helpful to provide transparency on how we and many of our VC peers think about optimizing the cap table for our companies. . Although EquityZen is primarily an online marketplace for secondary shares in private companies, they also offer syndicated primary investments. Market Insight.

Syndicate 60

Syndicate Syndication Institutional Investors LP 60

This is going to be BIG.

DECEMBER 3, 2020

Diversification Finance 101 would tell you that, in the public market, you want to be in at least 20-30 names to eliminate a good chunk of the risk (as defined by the standard deviation of return) that you don’t actually get paid for. Less than that and you need something else to bring to the table. b) Reputation for adding value.

Portfolio 103

Portfolio Syndicate Syndication Deal Flow 103

Haystack

AUGUST 18, 2019

If you’ve been following my tweets lately, you’ve read some of my quick musings on the state of the seed market this summer. years is not a long arc – I have not experienced a prolonged down market as a private investor. We know private markets hold the key to 100x or even 1,000x multiples. In short, in my 6.5

Seed Stage 108

Seed Stage Cap Table Early Stage Malaysia 108

Rob Go

JANUARY 27, 2014

Almost all the founders we back have seed and series A syndicates that look like this. These syndicates have a manageable number of people on the cap table, and each person there is known and is there for a reason. But this is slowly changing. One Company at a Time.

Syndicate 73

Syndicate Syndication Early Stage Cap Table 73

Hunter Walker

JANUARY 20, 2015

One reason Satya and I thought we had Product Market Fit for starting Homebrew was behavior we saw as angel investors. Despite being the smallest line on a founder’s cap table, we were often one of the first calls they made when confronted with a problem to solve or opportunity to consider. Avoid these folks.

Cap Table 48

Cap Table Warrant Syndicate Syndication 48

OnlyOnce

FEBRUARY 9, 2022

I’ve never written before about those other “potential business opportunities” that our team was exploring along with our prior investment syndicate, Fred Wilson from Union Square Ventures, Greg Sands from Costanoa Ventures, and Brad Feld from Foundry. The middle” consists of venture-backed companies that are neither early stage nor mature.

Silicon Valley 62

Silicon Valley Venture Capital Cap Table Early Stage 62

Professor VC

JUNE 6, 2016

When AngelList first launched syndicates a few years ago, I was very skeptical of the idea of angels taking carry on my investment. So what changed and why I am now launching a syndicate? In looking at how syndicates have developed, there have been a lot of positives for both angels and entrepreneurs. I got over it.

Syndicate 28

Syndicate Syndication Ratchet Cap Table 28

www.paulgraham.com

APRIL 28, 2010

As a company gets more established,its valuation gets closer to an actual market value. Some angel investors join together in syndicates. Perhaps they need to spend a lot on marketing, or buildsome kind of expensive infrastructure, or hire highly paid salesmen.So Startups valuations aresupposed to rise over time.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76