Both Sides of the Table

SEPTEMBER 25, 2011

Institutional investors will always insist on pro-rata rights. All it says is that the VC has the right (but not obligation) to invest his/her proportional ownership in the next round of financing. In the case of a super pro-rata right the investor (let’s say in your A round) will ask for MORE than their pro-rata right.

Entrepreneur 310

Entrepreneur Dilution Finance Silicon Valley 310

The Equity Kicker

FEBRUARY 9, 2016

There’s been a lot of talk recently about what will happen to startup financing in 2016, including here on this blog. Mark also notes that startup valuations went up 3x from 2006-2015, and simple supply and demand logic suggests the non-VC cash in the market was important in driving prices up.

Marketing 60

Marketing Institutional Investors Venture Capital Later Stage 60

A Smart Bear: Startups and Marketing for Geeks

FEBRUARY 21, 2011

Now consider this scenario: That same new hire quit her old job but demands the same $10,000/mo from you. The angel will of course demand Q% of your company for this extremely risky loan, but how do you compute Q? This is the key, because Q — what an institutional investor would accept — is a well-understood system.

Equity 276

Equity Salary Hiring Institutional Investors 276

Board Effect

SEPTEMBER 21, 2020

Shortly after, activist investors followed suit and used the same strategy to advance other important causes. The term ESG was first popularized by the World Bank Group’s International Finance Corporation when they published a report called Who Cares Wins in 2004. Donors demanded it. Getting a financial return.

South Africa 59

South Africa Government Africa Institutional Investors 59

Hunter Walker

APRIL 27, 2014

Here’s what we covered – it’s a bit inside baseball but just as with the funding post linked above, we think exposing the mechanics of venture can help entrepreneurs and future investors (plus, we learn a lot from any resulting discussions). Afternoon Session. Commitment : Yeah, that tattoo. 3) Company Overviews.

LP 98

LP Cofounder Term Sheet Valuation 98

Women Entrepreneurs Can

JUNE 11, 2021

Stock markets are a common platform where individual and institutional investors come together to buy and sell shares. The share price is determined by supply and demand in the market based on the buying and selling stocks. Your ownership of a company depends on the number of stocks you own. Advantages of Buying Stocks.

Stock 52

Stock Securities and Exchange Commission Portfolio Dividend 52

David Teten

NOVEMBER 15, 2013

Since I became an institutional investor, my #1 learning is: this is a highly unusual and somewhat baffling industry. Disruptable Pattern #5: Institutional investors are eager to cut larger checks rather than smaller ones. This is like a chef who likes to buy a whole cow in order to serve a client one hamburger.

Management 114

Management Pre-Money Valuation Venture Capital New Hampshire 114

abovethecrowd.com

MAY 20, 2013

As Benchmark is a large institutional investor in Grubhub, we were actively involved in the merger process, and we are quite excited about the potential of the two companies coming together. There are many synergies – different geographic strengths, different core customer bases, and different product strengths.

Merger 53

Merger Institutional Investors Liquidation Preference Preferred Stock 53

Both Sides of the Table

OCTOBER 1, 2009

I can tell you first hand than bankers are out making road shows to gin up interest in VCs and institutional investors. There is a lot of pent-up demand. VC’s are working hand-in-glove with the investment bankers to prepare for IPOs or create auction-style trade sales. – IPO-able in any normal market.

IPO 255

IPO Investment Bankers Venture Capital Marketing 255

Pascal's View

NOVEMBER 15, 2011

Today, the threshold for liquidity demanded by institutional investors requires $100mm plus for an IPO. Between 1991 and 200 80% of IPO’s raised $50mm or less. And this isn’t just a venture capital problem—this is a major problem for the American entrepreneur—since 1991, 47% of all U.S.

IPO 31

IPO Term Sheet Marketing United States 31

Ben's Blog

MAY 24, 2021

Second, by better matching supply and demand, direct listings have generally mitigated the magnitude of IPO Pops, thus engendering better overall price discovery. Most IPOs have lockups that prevent additional secondary shares coming into the market, sometimes for as long as 6-months. Time Period IPO Pop* 1980-1989 6.1% 1990-1998 13.3%

SEC 36

SEC Accredited Investor IPO Technical Review 36

abovethecrowd.com

JUNE 2, 2021

On March 26, SoFi announced that “it will be offering its members (at least those with $3K in their account) the ability to invest in IPOs for companies going public, an investment opportunity that has traditionally been reserved for large institutional investors or ultra-high-net-worth individuals.” I kid you not —100% true.

IPO 82

IPO Customer Matching Silicon Valley 82