David Teten

FEBRUARY 9, 2015

The cover note should include: name, website, location, revenues (if any), detailed financing history (if any), and precise terms on which you are seeking to raise capital. If you are testing the market to see what terms you can get, just say, “We are targeting to raise $X at pre-money valuation of $Y.”

Venture Capital 60

Venture Capital Pre-Money Valuation Prospectus Early Stage 60

www.paulgraham.com

APRIL 28, 2010

There never has to be atime when you have no revenues. If you have to choose between spending time on the demo or thebusiness plan, spend most on the demo. When they demo it, one of theangels is willing to invest. This is a good plan for someone with kids, because it takes mostof the risk out of starting a startup.

Technical Review 76

Technical Review Startup Software Review Angel Investor 76

dondodge.typepad.com

JANUARY 15, 2011

Don Dodge on The Next Big Thing Thoughts on business and technology Home Archives Profile Subscribe About Me « Boston VCs gets first look at Y Combinator Demo Day | Main | Digg-nation is HUGE! Community is more powerful than money or technology » August 11, 2007 How much equity for investors and employees?

Equity 40

Equity Employee Dilution Valuation 40

www.paulgraham.com

OCTOBER 23, 2010

Some angels, especially those with technology backgrounds, may be satisfied with a demo and a verbal description of what you plan to do. If you give an investor new shares equal to 5% ofthose already outstanding in return for $100,000, then youve donethe deal at a pre-money valuation of $2 million. How hard is that?

Startup 105

Startup Cofounder Software Stock 105