Employee Liquidation Preference Syndication 
Agile VC
APRIL 17, 2011
5) High Productivity: Kayak had 148 employees at the end of 2010. That means that Kayak generates roughly $1.15M in revenue for each employee which puts it in the same league as Google and Apple (both >$1M/head). liquidation preference, 6% accumulated dividend (1). Series A-1 Preferred. Series B Preferred.
Feld Thoughts
JUNE 10, 2022
Sometimes, given your syndicate configuration, you have no choice but to take structure in a new round. But if you can do a clean financing at a lower price, I always think that’s a better option for everyone (founders, employees, and existing investors.). and a bunch of other things. and a bunch of other things.
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Austin Startup
AUGUST 1, 2017
First, investors will sometimes be willing to take a higher valuation if it means getting a heavier liquidation preference. Should you accept a 3x liquidation preference with a $15MM valuation instead of a 1x preference at a $8MM valuation? If you’re confident you’ll get a huge exit, maybe.
Professor VC
JULY 25, 2013
In investment parlance, it strictly means that new classes of stock have equal rights with prior classes in terms of liquidation preference, voting rights, etc. Another area where I''m not sure I stand is with some of the more formal referral and syndication programs that are emerging now.
www.paulgraham.com
APRIL 28, 2010
When youhear people talking about a successful angel investor, theyre notsaying "He got a 4x liquidation preference." Mechanics Angel investors often syndicate deals, which means they join togetherto invest on the same terms. In a syndicate there is usually a"lead" investor who negotiates the terms with the startup.
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