Feld Thoughts

MARCH 10, 2019

Week 1 – Introduction of key players/Form or join a team Week 2 – Fundraising/Finding the Right VC Week 3 – Capitalization Tables/Convertible Debt Week 4 – Term Sheets: Economics & Control Week 5 – Term Sheets Part Two Week 6 – Negotiations Week 7 – Letter of Intent/Getting Acquired.

Term Sheet 166

Term Sheet Capitalization Table Email 166

Up and Running

JULY 2, 2014

This should be clearly spelled out in your Capitalization Table , or “Cap Table” as it’s commonly called. A Cap Table shows who owns the company, what the ownership shares are, and what the owners have invested in exchange for that share. Can they create and advise on a Capitalization Table?

Technical Review 118

Technical Review Angel Investor Due Diligence Dilution 118

Feld Thoughts

JANUARY 27, 2020

The Players Preparing for Fundraising How to Raise Money Overview of the Term Sheet Economic Terms of the Term Sheet Control Terms Other Terms of the Term Sheet Convertible Debt The Capitalization Table Crowdfunding Venture Debt How Venture Capital Funds Work Negotiation Tactics Raising Money the Right Way Issues at Different Financing Stages Letters (..)

Investment Bankers 108

Investment Bankers Term Sheet Capitalization Table Venture Capital 108

Startup Professionals Musings

AUGUST 29, 2018

Professional investors like to keep tight control of capitalization tables and all stock owners, to facilitate their own payoff when a sale, merger, or public stock offering is held. Professional investors typically are accredited to at least the $200,000 level, and understand the risks.

Equity 180

Equity Due Diligence Angel Groups Liquidity Event 180

YoungUpstarts

FEBRUARY 6, 2017

If a VC offers you a term sheet, expect their lawyers to ask you for more information like capitalization tables, contracts, material agreements, employment agreements, and board meeting minutes. Further down the financing path, VCs will ask for additional information, known as due diligence materials.

Venture Capital 100

Venture Capital Term Sheet Technical Review Due Diligence 100

Feld Thoughts

SEPTEMBER 22, 2017

Week 3 – Capitalization Tables/Convertible Debt. The seven-week course, which is about five hours of work each week, has the following agenda. Week 1 – Introduction of key players/Form or join a team. Week 2 – Fundraising/Finding the Right VC. Week 4 – Term Sheets: Economics & Control.

Term Sheet 94

Term Sheet Capitalization Table Venture Capital 94

Pascal's View

JULY 9, 2017

The bottom line: Startup CEOs/Founders need to do the projected capitalization table math on an as-converted, post-money basis from Day 1, before issuing any notes and modeling various possible future scenarios. It will be worth the time and effort.

Post-Money Valuation 49

Post-Money Valuation Valuation Cap Table Covenant 49

Up and Running

SEPTEMBER 10, 2014

Capitalization Table and Shareholder Roster. Financial Model and Balance Sheet (even if there are zeros across the board). Management Resumes and Organizational Chart. Customer References. Personal References. Social Security Numbers (for background checks). Stock Option.

Angel Investor 159

Angel Investor Technical Review Software Review Accredited Investor 159

Gust

DECEMBER 6, 2012

Nobody should ever be on the capital table for what they did once in the past. Advisors with options or equity should be long-term people who will stay with the company from startup to exit. Equity is forever. Options can become equity. Everybody’s busy, but options motivate people to help. . I dislike professionals as advisors.

Startup 165

Startup Equity Capitalization Table Naming 165

ithacaVC

JUNE 26, 2019

The investment will appear as one line item on the company’s capitalization table. Launch NY will handle vetting the companies, provide access to their due diligence files, assist in negotiations, and structure the special purpose vehicle (SPV) which will aggregate the participating investors.

Accredited Investor 40

Accredited Investor Due Diligence Capitalization Table Angel Groups 40

Early Growth Financial Services

AUGUST 23, 2013

You want a valuation firm that has experience with all types of valuation for companies like yours, including stock option management and complex capitalization tables. There are a lot of different types of valuation, including four levels of 409a valuations: Seed, Series A, Series B, and Series C.

Valuation 70

Valuation Stock Options Capitalization Table Early Stage 70

Feld Thoughts

JULY 18, 2011

The table of contents gives you a feel for this. The Capitalization Table. How Venture Capital Funds Work. The Players. How to Raise Money. Overview of the Term Sheet. Economic Terms of the Term Sheet. Control Terms of the Term Sheet. Other Terms of the Term Sheet. Negotiation Tactics. Raising Money the Right Way.

Term Sheet 162

Term Sheet Venture Capital Capitalization Table Finance 162

Feld Thoughts

AUGUST 15, 2019

Week 1 – Introduction of key players/Form or join a team Week 2 – Fundraising/Finding the Right VC Week 3 – Capitalization Tables/Convertible Debt Week 4 – Term Sheets: Economics & Control Week 5 – Term Sheets Part Two Week 6 – Negotiations Week 7 – Letter of Intent/Getting Acquired.

Term Sheet 34

Term Sheet Capitalization Table Venture Capital Video 34

www.mattbartus.com

SEPTEMBER 24, 2011

I can tell you that, among other problems, any uncertainty in the capitalization table when the company is acquired will be resolved squarely and unequivocally in favor of the buyer. .” Are you really going to have a record of each event that caused shares to vest and the backup to determine if they did, in fact, vest?

Equity 40

Equity Vesting Silicon Valley Intellectual Property 40

Up and Running

SEPTEMBER 20, 2021

Wondering what a cap table is, its importance, and how you can maintain it to expand your business? What is a cap table? A cap table is also known as the capitalization table. This is a table that outlines the company’s capitalization. Let’s dive in.

Cap Table 112

Cap Table Pre-Money Valuation Stock Options Option Pool 112

OnlyOnce

JULY 18, 2011

As Brad noted in his launch post , the book’s table of contents says a lot: The Players. The Capitalization Table. How Venture Capital Funds Work. How to Raise Money. Overview of the Term Sheet. Economic Terms of the Term Sheet. Control Terms of the Term Sheet. Other Terms of the Term Sheet. Negotiation Tactics.

Term Sheet 92

Term Sheet Capitalization Table Venture Capital Finance 92

Business Plan Blog

DECEMBER 26, 2013

A capitalization table showing the post-investment ownership structure of the business to include founders, option pool and investors in the current round. Rights and restrictions of shareholders. Representations, undertakings and warranties of the founders. Professional fees and costs. Exclusivity period and timescales. -

Angel Investor 51

Angel Investor Due Diligence Pre-Money Valuation Angel Groups 51

David Teten

NOVEMBER 17, 2011

Enter Raul: This capital table startup options valuation model was created with the purpose of valuing options for an illiquid, early-stage start-up. We had a simple balance sheet by financing round model in our earlier master template financial model , but this model is more suitable for use in employment negotiations.

Employee 155

Employee IRR Startup Mexico 155

onstartups.com

JULY 11, 2012

VCs want clean capitalization tables (less people involved = less headaches) and acquirers don't want to have to deal with shareholder lawsuits or other risks of having a whole bunch of (relatively) unsophisticated investors involved. The VCs get more ownership, an Angel makes money and the entrepreneur doesn't get diluted.

Angel Investor 77

Angel Investor Dilution Investment Bankers Valuation 77

Board Effect

MAY 10, 2019

Capitalization tables—”cap tables” for those who don’t have time for extra syllables—map the balance of power in a company. If org charts are about people power , cap tables are about money power. In reality, however, cap tables are often far more complex.

Cap Table 40

Cap Table Liquidation Preference Dilution Liquidity Event 40

www.quora.com

SEPTEMBER 22, 2011

If I grant equity to a outsourced developer for future services after his initial contract with me is delivered on, where on the capitalization table do I place him? Is it reasonable to not have equity in a startup as a first employee ? Founder or employee?

Equity 40

Equity Employee Founder Cofounder 40

abovethecrowd.com

APRIL 20, 2016

The reason these terms can produce returns by themselves is that they set the stage for a rejiggering of the capitalization table at some point in the future. The typical Silicon Valley term sheet does not include such terms. This is why the founder and their VC BOD member can still hold onto the illusion that everything is fine.

IPO 40

IPO Term Sheet Silicon Valley Valuation 40

www.payne.org

SEPTEMBER 22, 2011

The other factor is the "cap table" (capitalization table, or summary of who owns what stock). As the company progresses, expect stock offers be lower; late joiners are coming on board after more of the risk has been worked out.

Equity 56

Equity Employee Vesting Preferred Stock 56

Up and Running

JULY 14, 2015

They never worked with startups who needed to put together private placement memos for investors, capitalization tables and all of those things. They never worked with the startup who had needed to raise multiple rounds of financing.

Incubator 60

Incubator Email Startup Oregon 60

www.xconomy.com

JUNE 9, 2012

Instead of scrutinizing gigabytes of information about a prospective deal, Coats says Correlation gets the information it needs from five documents—the business plan or power point presentation, term sheet, historical financial, capitalization table, and pertinent legal documents. “We

San Diego 40

San Diego Venture Capital Technical Review San Francisco 40