Startup Professionals Musings

JULY 16, 2023

Startups looking for an angel investor, or a Venture Capital investment usually realize that neither of these sources of funds normally has any connection with a bank. Yet every business needs to have a good relationship with a bank, for day to day operations. Their message and mission is confusing, even to professionals.

Early Stage 182

Early Stage Silicon Valley Private Equity Initial Public Offering 182

paulgraham.com

SEPTEMBER 23, 2012

The constraint between good ideas and growth operates in both directions. Growth is why VCs want to invest in startups: not just because the returns are high but also because generating returns from capital gains is easier to manage than generating returns from dividends. 12 ] Why do founders want to take the VCs money?

Startup 111

Startup Technical Review Software Review Acquisition 111

YoungUpstarts

APRIL 11, 2018

This can become an expensive endeavor, time consuming, and could even put operational and financial strains on the existing small business.”. As part of the planning, you should have a transition period in place so that incoming leadership or owners can get up to speed with everything involved in the operation and finances of the company.

Small Business 160

Small Business Equity Denver Capital Gains 160

YoungUpstarts

APRIL 4, 2018

These funds offer low operating expenses because they do not involve the commissions. Because these funds are traded in much the same way stocks are, there is less gain that leads to tax liability. Investors who want to eliminate or reduce their capital gain liability may find a good ally in these funds. What is an ETF?

Capital Gains 140

Capital Gains Demand Stock Cost 140

YoungUpstarts

APRIL 15, 2018

In addition, if your business operations are located overseas, repatriation provisions under the new tax law may make a switch to C-Corp status tax advantageous. The operative word here, though, is qualified. New Deductions for Qualified Business Income. The alternative limitation allows you to add 25 percent of W-2 income, plus 2.5

Dividend 157

Dividend Merger Limited Liability Company Distribution 157

YoungUpstarts

JANUARY 20, 2020

When banks turn their backs, founders usually take one of two roads: The first is bootstrapping, which involves liquifying all assets and operating on personal cash; the second is securing funding from family and friends. Beyond Bootstrapping and Begging. For generations, these strategies have boosted businesses from dreams to disruptors.

Indiana 165

Indiana Startup Bootstrapping Finance 165

YoungUpstarts

DECEMBER 15, 2016

According to studies by the Villanova University and its online Master of Science in Analytics program , however, there are still several types of tax a startup must pay in order to operate legally. On top of that, there’s the usual sales tax and capital gains tax to cover. For starters, there’s the income and payroll taxes.

Capital Gains 100

Capital Gains Bootstrapping Startup Analytics 100

The Startup Magazine

JUNE 23, 2021

If you are a business owner who operates from physical premises, you have two options: you can either lease a property or get a mortgage. Of course, when you get a business mortgage, you are also making a significant capital gain. Image source: [link]. How does a business mortgage work?

Capital Gains 135

Capital Gains Equity Finance Cost 135

Startup Professionals Musings

JANUARY 31, 2010

Startups looking for an Angel investor, or a Venture Capital investment usually realize that neither of these sources of funds normally has any connection with a bank. Yet every business needs to have a good relationship with a bank, for day to day operations. Their message and mission is confusing, even to professionals.

Silicon Valley 120

Silicon Valley Private Equity Startup Initial Public Offering 120

YoungUpstarts

JUNE 24, 2016

However, day trading is also actually extremely popular as this allows investors operating on a large scale to take advantage of the small fluctuations to produce considerable profits. compared to a traditional share purchase – and the fact that spread betting is not subject to capital gains tax.

Capital Gains 100

Capital Gains Stock Naming Operations 100

YoungUpstarts

JANUARY 26, 2017

Short-term capital gains (assets held for sale or exchange for exactly one year or less) are taxed at your ordinary income tax rate, and long-term capital gains are taxed at either 0, 15 or 20 percent. Stock investing tax deductions are limited to losses and payments for education and/or advisory services.

CPA 100

CPA Capital Gains Stock LLC 100

Growthink Blog

MARCH 30, 2011

It operates three e-commerce websites: Diapers.com (baby care), Soap.com (health, beauty and household essentials) and BeautyBar.com (luxury beauty products). But then, they'll have to pay 15% capital gains on that $50 million, so they'll each only walk away with $42.5 Rather, Quidsi is simply an ecommerce company.

Salary 93

Salary Acquisition Dilution Capital Gains 93

Cracking the Code

OCTOBER 12, 2012

This post is a translation of the article: « Pigeons » : le cri d'alarme d'un fonds américain published on LaTribune (12/10/2012) and is a response to the proposed tax law proposed by the government of Francois Hollande, suggesting to tax all capital gain at the same level than salaries or 60%. So why twelve years?

France 71

France Europe Capital Gains Dilution 71

The Equity Kicker

NOVEMBER 6, 2012

Most people don’t expect to be in the same job for the 5-8 years most big innovations take, and most shareholders are operating to much shorter time horizons. This problem is made worse by the short time frames that society works to these days.

.Net 102

.Net Capital Gains New York Distribution 102

ReadWriteStart

JANUARY 28, 2022

Dividends paid and capital gains realized on a per-share basis provide ordinary shareholders with a way to participate in the profits stream of the company. It is possible to participate in a company’s capital gains (losses) without purchasing its common stock if the owner of a warrant holds it for a lengthy period of time.

Valuation 108

Valuation Equity Warrant Common Stock 108

BeyondVC

JUNE 29, 2005

Anyway, as I had time to think about it, it might be helpful for entrepreneurs to understand how VC funds operate to better understand our motivations and to better align interests. At the end of the day, VCs are in the capital gains business.

LP 78

LP Private Equity Due Diligence Venture Capital 78

BeyondVC

JUNE 29, 2005

Anyway, as I had time to think about it, it might be helpful for entrepreneurs to understand how VC funds operate to better understand our motivations and to better align interests. At the end of the day, VCs are in the capital gains business.

LP 60

LP Private Equity Due Diligence Venture Capital 60

Bryce Dot VC

APRIL 20, 2015

In it he sketches out 3 types of companies: Lifestyle – too small for VC, but will generate enough annual cashflow to be a great business to own and operate Indie – might be large enough to justify and provide a return on a VC investment, but the desire to retain control and remain independent makes VC untenable for the entrepreneur VC Fundable – large (..)

Equity 40

Equity Capital Gains Bootstrapping Distribution 40

K9 Ventures

OCTOBER 10, 2017

Eventually, that vacuum was filled with capital gained even earlier than the Seed round — i.e., “pre-seed.”. Q: What are some Pre-Seed funds operating today? In addition to K9, the following venture funds are all investing at the Pre-Seed stage: PivotNorth Capital. Seed rounds were getting bigger.

Seed Stage 82

Seed Stage Finance Later Stage Equity 82

Entrepreneurs-Journey.com by Yaro Starak

DECEMBER 29, 2010

One of the keys for me, which is perhaps where I differ the most from outsourcing experts and your typical entrepreneur, is that I’ve deliberately kept my operations small. I’ve yet to come across anyone running a successful business who doesn’t have some element of their operation that is prolific. Very small.

Programming 86

Programming Restful Internet Hiring 86

David Teten

SEPTEMBER 2, 2017

Bloomberg Beta open-sources their entire operating manual on Github, where their website lives. While both the average founder and the average senior partner own 21 percent of their management firm, only the former takes home an equivalent portion of the firm’s carried interest the capital gains investors share with management companies.

Private Equity 60

Private Equity Venture Capital Equity Partner 60

Start Up Blog

JUNE 6, 2019

We’ve changed the way industries operated to make them more human and minimise their externalities. Natural monopolies are why each country has a single telephone numbering system, a single currency, a single set of train tracks, a single operating systems for things like electricity, water and gas and a national language.

Government 79

Government Algorithm Artificial Inteligence Social Media 79

Up and Running

APRIL 29, 2014

In your experience in helping these businesses get up and operational, what type of entity structures are you seeing most of your customers kind of get into or set up at? That’s a little more complicated, because there can be dividends, interest or capital gains, and there’s different tax rates for those.

.Net 85

.Net Capital Gains Distribution Puerto Rico 85

Both Sides of the Table

AUGUST 30, 2010

And the tax changes for 2011 could cause a further end-of-year sell-off: Another factor often not discussed is that the capital gains tax increases coming into effect in 2011 are might just lead to a stock market sell-off in Q410 as investors “lock in” gains at a lower tax rate.

Entrepreneur 298

Entrepreneur Technical Review Balance Sheet Government 298

Venture Chronicles

MAY 29, 2013

Directly as a result of strong performance, companies like Apple, Microsoft and Cisco institute share buybacks and dividends which fuel capital gains tax receipts. For instance, one possibility for reform is to lower American tax rates, which would induce more businesses to keep operations in this country in the first place.

Offshore 48

Offshore Dividend Capital Gains Demand 48

techcrunch.com

SEPTEMBER 2, 2012

Additionally, Convertible Equity is “equity” that may have a lower capital gains tax benefit for investors, since it is likely classified as “qualified small business stock”. Basically, Convertible Equity removes the repayment at maturity and interest provisions of Convertible Debt. Top News Delivered To You. 2011 Holiday. Gift Guide.

Equity 87

Equity San Francisco Technical Review Angel Investor 87

This is going to be BIG.

NOVEMBER 15, 2020

In a memo detailed on the company’s blog, Coinbase CEO Brian Armstrong moved his company towards an entirely “work-focused” apolitical stance , citing, as far as I can tell, management’s inability to empathize with anyone for whom government policy, save for capital gains tax, couldn’t be conveniently and easily ignored. Of course not.

Cofounder 218

Cofounder Founder Employee Silicon Valley 218

Both Sides of the Table

JANUARY 2, 2016

They get to have “long-term capital gains” taxes which are much lower than short-term capital gains taxes paid by people who have stock options or income taxes paid to workers. We invest large sums of our after-tax money into our funds and this gets a long-term capital gain tax rate when we make a profit.

Dividend 150

Dividend Silicon Valley Capital Gains Stock 150