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« Power of Angel Investing in Milwaukee | Main. Please see later version of this post on May 16, 2010 Entrepreneurs are often not experts in the area of term-sheet negotiations and all of the surrounding issues. Investors sometimes “present” the terms they’d like and expect the entrepreneurs to react.
During the summer of 2010, I developed a workshop, A New ACEF Valuation Workshop for Angels and Entrepreneurs. To provide some reference points, I surveyed thirteen angels groups in North American to determine their recent experience in negotiating the pre-money valuation of pre-revenue companies. 2011 Angel Group Valuation Survey.
« Listening to Entrepreneurs | Main. I saw that on a t-shirt worn by a bartender at the Milwaukee Irish Fest last night. But I liked it and it got me thinking about entrepreneurs and investors. Who is responsible when investors encourage entrepreneurs to "manage" the data? I have no idea why.
from the August 20th Milwaukee Journal Sentinel. Who the entrepreneur takes money from (see this post ) is always more important than the terms. " The problem has been that too-high valuations and too generous terms have spawned painful down rounds that squash the entrepreneur and his early investors.
If you’ve accomplished very little and are still a few years away from revenue, VCs aren’t going to invest in your deal. You don’t want to have to nod and agree that you’ll move to Milwaukee if you had never considered it. Now, investors carefully balance the risk versus reward aspects of your deal. It’s simply too risky.
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