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Why Uber is The Revenge of the Founders

Steve Blank

A version of this article is in the Harvard Business Review. Technology cycles have become a treadmill, and for startups to survive they need to be on a continuous innovation cycle. 20th Century Tech Liquidity = Initial Public Offering. Technology Cycles Measured in Years. This seems to be occurring more and more.

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Startup Stock Options – Why A Good Deal Has Gone Bad

Steve Blank

A version of this article first appeared in the Harvard Business Review. For most startup employee’s startup stock options are now a bad deal. Why Startups Offer Stock Options. Not everyone got the same amount of stock. The founders got most of the common stock. Here’s why. Who leads that process best?

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Corporation or LLC? Business Organizations for Tech Startups.

YoungUpstarts

In the tech startup context, you’ll typically choose between a Corporation and a Limited Liability Company (“LLC”). Typically, investors will be interested in “preferred” stock, which comes with special (aka “preferred”) rights, such as receiving a certain payout before anyone who holds “commonstock.

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Venture Capital Q&A Session

Both Sides of the Table

People buy companies for 3 primary reasons: 1) they want the management team / talent 2) they want the technology or 3) they want the market traction (revenue, customer base, profits, etc). The downside is that people need to buy their stock. &# A: Yes. In fact, far better if you haven’t raised venture capital. Do it early.

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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

Our categorization is not a technical one. Additionally, Flexible VC can accommodate all types of companies, not just asset-lite, tech-enabled companies.”. Eligible for favorable treatment under Qualified Small Business Stock exemption, if structured as equity. Technology-centric businesses. Technology-centric businesses.

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How to Fund Your Startup Without Losing Control

Up and Running

They allow you to hire more people, purchase new technology, and establish new business connections, among many other benefits. Proposed private equity deal: Eventually, this business will require private equity to provide sufficient funding to develop some of the more robust aspects of the technology that will attract Fortune 500 clients.

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How to Form a Corporation

Up and Running

It’s common to feel a bit lost or overwhelmed at this stage, but with this guide, you’ll gain confidence in your ability to create your new business entity and get back to the work you love. We’ll review some new language and concepts in this process, but once you’re done, you may never need to think about this stuff again. .