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The Truth About Convertible Debt at Startups and The Hidden Terms You Didn’t Understand

Both Sides of the Table

Because convertible debt deals often have both a ‘full ratchet’ and often have ‘multiple liquidation preferences’ “ Yup. The key for entrepreneurs to understand is whether it’s a “full ratchet” or a “weighted average ratchet.” Convertible notes have full ratchets.

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In Q4 2022, founders face tough choices

VC Cafe

But in the third quarter, venture debt deal value fell by half to $4.7 billion, the lowest quarterly volume since Q3 2017, according to the latest PitchBook-NVCA Venture Monitor. The reason is that as interest rates increase, the debt becomes costly capital to return. CVCs have participated in 25.6% of VC deal count and 45.1% of deal value.

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Fear is the mind-killer

Startup Lessons Learned

As the product matured, they were able to ratchet up the quality to prevent regression on features that had been truly embraced by their customers. Starting instead from a position where feedback cycle time is the priority and allowing quality to ratchet up as the product matures provides a more natural lead in to continuous deployment.

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What To Do When Your Trusted Employees Defect To The Competition

YoungUpstarts

But even worse than the cost of recruiting someone new to fill the vacancy when a key employee leaves, there’s one big, looming worry that’s sure to ratchet your anxiety up to critical levels: “She knows everything!” Like it or not, employee mobility has just become a fact of life.

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Lessons Learned: The hacker's lament

Startup Lessons Learned

It also helps ratchet down the pressure, since so many of the interruptions that plague the typical hacker are actually the same bugs recurring over and over. And taking on too many projects at once is a classic sub-optimization. Sure, it seems efficient. But when there is a task half-done, its actually slowing the team down. Not necessarily.

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[Singapore] Shopify Partners SingTel To Grow Presence In Singapore

YoungUpstarts

The e-commerce space in Singapore has been ratcheted up by another notch as online shopping platform Shopify partners telecommunications provider SingTel to make available its services to businesses in the country. “(But) I’m confident our partnership with SingTel will boost the rate in Singapore,” he says.

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Version 2.0 and why Series Seed Documents are better than capped convertible notes

www.seriesseed.com

  With Series Seed: ·    Costs should be roughly the same (if not cheaper) than using industry standard debt documents.  In sum, Series Seed creates a level playing field between capped debt and equity documents in terms of speed and cost.    This is EXACTLY why I created the Series Seed Documents.