article thumbnail

8 Questions You Should Ask Before You Join A Startup

Startup Professionals Musings

How complex is the capitalization table? If the company has been around for more than a couple of years, and still has no product or revenue flow, there better be a good explanation. Look for examples of similar companies and revenue multiples achieved from acquirers. Think twice before you jump in.

article thumbnail

8 Red Flags To Evaluate Before Pledging To A Startup

Startup Professionals Musings

How complex is the capitalization table? If the company has been around for more than a couple of years, and still has no product or revenue flow, there better be a good explanation. Look for examples of similar companies and revenue multiples achieved from acquirers. Think twice before you jump in.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Validate The Pedigree Of A Startup Before You Jump

Startup Professionals Musings

How complex is the capitalization table? If the company has been around for more than a couple of years, and still has no product or revenue flow, there better be a good explanation. Look for examples of similar companies and revenue multiples achieved from acquirers. Think twice before you jump in.

article thumbnail

8 Questions Before You Join Or Invest In A Startup

Startup Professionals Musings

How complex is the capitalization table? If the company has been around for more than a couple of years, and still has no product or revenue flow, there better be a good explanation. Look for examples of similar companies and revenue multiples achieved from acquirers. Think twice before you jump in.

article thumbnail

Unintended Consequences: When SAFE and Convertible Notes Go Awry

Pascal's View

In these cases the caps can easily diverge from the true number at which a company could raise sufficient equity to provide at least 18 months of runway with no revenue (a normal VC round).

article thumbnail

Cap Table Explained — What is it and How to Maintain it for Investors

Up and Running

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
article thumbnail

Valuing Startup Employee Options

David Teten

Enter Raul: This capital table startup options valuation model was created with the purpose of valuing options for an illiquid, early-stage start-up. For my start-up, I built a very robust operational and financial model with a detailed revenue build up and a validated cost structure.

Employee 155