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I personally believe that one of the major drawbacks to venture capital in Europe is chronic under-financing and people skirt around this issue. Hence, financing rounds have been smaller (roughly a ratio of 5 to 1 when comparing US to EU). Even Dropbox and Etsy have done far larger rounds to finance their growth.
They interweave off-stage lives and conversations with amazing musical performances and they both have amazing editing and cinematography. It was a heavy day, for sure. Both films were must watches for artistry. They are essentially the same story. The road is littered with startups that shined bright before burning out.
While the M&A story has been widely reported perhaps far fewer people know that Limited Partners (LPs), the people who fund VC firms, have finally been able to restock their coffers in the past 4 years with significantly more money coming to them in distributions than capitalcalls to fund VC firm investments.
Rarely is there any formal written agreement memorializing these initial expectations and stating the consequences of non-performance or inability to make capitalcalls when required. It is always wise to have an attorney help memorialize a partnership agreement, even if painful conversations must take place to do so.
do not think being friends or relatives reduces the need for these difficult and/or awkward conversations. About the Author Ryan Roberts is a startup lawyer and represents technology companies through all phases of the startup process, including incorporation, seed & venture financings, and exit transactions.
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