Startup Professionals Musings

JULY 29, 2020

Every reputable investment firm is registered with FINRA and files regular reports with the SEC. Watch out if someone has a complex plan involving offshore bank financing or gemstones or oil leases in Iran to make you rich. Has the firm ever been disciplined by the SEC or a state regulator? Any mention of “offshore.”

Due Diligence 354

Due Diligence Securities and Exchange Commission Offshore SEC 354

Feld Thoughts

JANUARY 15, 2023

The SEC has an official publication, Ponzi schemes Using virtual Currencies. And there’s plenty of it, especially human nature and greed, all the time, everywhere, in finance. How confusing. What should an investor believe? It’s … not helpful … and implies almost everything in crypto is a Ponzi scheme.

SEC 219

SEC Finance 219

YoungUpstarts

JUNE 26, 2018

For example, regulators in countries such as China and South Korea started to toughen up on cryptocurrencies while in the US, there was a move by the SEC to try and gain control over the cryptocurrency market. In fact, around the world there seemed to be a new passion for regulation.

Finance 147

Finance South Korea Forecast SEC 147

Startup Professionals Musings

SEPTEMBER 23, 2013

The newest equity model was passed into law in early 2012 via the JOBS Act , and still has no scheduled date for availability in the USA, waiting for the rules to be defined by the SEC: Startup equity crowd funding. A good example site, and one of the earliest in this category, is IndieGoGo. Debt-based crowd funding.

Intellectual Property 247

Intellectual Property SEC Venture Capital Equity 247

YoungUpstarts

AUGUST 21, 2020

In June of 2019, the SEC adopted Regulation Best Interest (or Reg BI), which went into effect as of June 30, 2020. It will require greater transparency and record-keeping, but in addition to giving consumers greater protection, Reg BI can also protect finance professionals. We’re approaching one such time right now.

Technical Review 244

Technical Review SEC Affiliate Technology 244

Up and Running

NOVEMBER 12, 2014

If your business needs financing, consider equity crowdfunding; its distinctive traits will lure investors desiring the rewards of investment returns and investor protection, in addition to the goodwill generated by their support. The SEC’s proposed equity crowdfunding rules regulate, in part: Your business (the securities issuer).

Equity 125

Equity SEC Technical Review Security 125

Steve Blank

OCTOBER 8, 2024

Poison startup financing sources. FCC , SEC , FTC , FAA , Public Utility, Taxi/Insurance Commissions, School Boards, etc, …) Use government regulation to keep out new entrants who have more innovative business models (or delay them so the incumbents can catch up). Telling VCs the incumbents already own the market.

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Government Advisory Board Leadership Programming 293

Berkonomics

OCTOBER 24, 2024

When you seek professional investors, whether organized angels or venture capitalists, one of the early questions you are asked is “How have you financed the business so far?” First, how does it happen? Investors love to see entrepreneurs who have used their own money to ignite their businesses.

Cap Table 62

Cap Table Private Placement SEC Accredited Investor 62

SiliconHills

OCTOBER 23, 2013

Early next year, startups may be able to raise money from the general public to finance their ventures. Legislation from the JOBS Act, signed into law by […] The post SEC Releases Rules for Equity-based Crowdfunding appeared first on SiliconHills.

SEC 69

SEC Securities and Exchange Commission Equity San Antonio 69

Growthink Blog

APRIL 21, 2013

However, before entrepreneurs could start using equity-based crowdfunding, the SEC had to write the specific rules governing it. The SEC was given 9 months to write those rules; they were due on December 31, 2012. However, the SEC failed to meet that deadline. The good news is that any day, they will.

Accredited Investor 95

Accredited Investor SEC San Francisco Equity 95

Feld Thoughts

JULY 11, 2010

So, if I contribute $1,000 to the campaign of the Colorado state treasurer, I violate this SEC rule and become someone who is “paying to play.&# The NVCA has also studied the new SEC rule and has come to the same conclusion: “This ruling is consistent with guidance the NVCA has been providing members.

SEC 133

SEC Pay to Play Colorado Campaign 133

Feld Thoughts

DECEMBER 29, 2011

I’ve always had mixed feelings about the importance of a company announcing a financing in the absence of any other activity. When you do a financing, you file something called a Form D with the SEC. For some reason, some companies want to keep their financings quiet. ” Ok, but so what? ” Next.

Finance 133

Finance SEC Term Sheet Acquisition 133

Startup Professionals Musings

FEBRUARY 21, 2015

despite having been passed into law in early 2012 via the JOBS Act , and still has no scheduled date for availability, waiting for the rules to be finalized by the SEC. In this model, often called micro-financing or peer-to-peer lending (P2P), people contribute with the intent to create a pool for all to borrow against.

Accredited Investor 120

Accredited Investor SEC Equity Europe 120

Business Plan Blog

NOVEMBER 13, 2013

The first milestone in a new startup’s financing is called ‘Seed Capital’ which refers to the initial investment raised by the founders from their friends and family, or commonly referred to as FFF (Friends, Family and Founders), who mostly use their personal assets. Convertible Debt Financing. Raising Seed Capital.

Finance 93

Finance Accredited Investor Angel Investor Seed Capital 93

YoungUpstarts

FEBRUARY 1, 2020

You are sure to be happy when your business reaches a Series B financing round because it usually means your company has a higher valuation. Before your financial statements can be filed with the SEC or distributed outside of your business, an external auditor must ensure your records adhere to GAAP. 409A Valuations.

CPA 165

CPA Stock Options Valuation Stock 165

The Startup Magazine

OCTOBER 2, 2020

Public accounting helps ensure that your company is meeting the guidelines set by the Securities Exchange Commission (SEC), as well as the Financial Accounting Standards Board (FASB). Separate Your Personal And Business Finances – Startup businesses usually have limited financial resources.

Securities and Exchange Commission 149

Securities and Exchange Commission Finance SEC Software 149

Both Sides of the Table

NOVEMBER 9, 2014

Generally speaking in venture capital financings the legal documents will specify that only “major investors” (a threshold set in the agreement – which can be $500,000 investor or more). They have listed forward revenue figures that are highly questionable and bring the issue of SEC oversight to my mind.

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SEC Venture Capital Early Stage Cofounder 352

YoungUpstarts

JULY 1, 2014

Crowdfunding – the (usually online) collection of finance from a large number of supporters for a particular purpose, such as funding an idea – has taken the online world by storm in recent years, and especially in the startup space. Research estimates $5.1

SEC 184

SEC Finance Security Small Business 184

David Teten

JUNE 6, 2011

Very enthusiastic about the potential for the NY tech ecosystem, leveraging our strength in finance. Social networking is governed by SEC 17a4, and SEC hasn’t opined on this. After Goldman, ran startup Gadgetoff, which brought together inventors and entrepreneurs. Introductory remarks. Maria Gotsch.

Fractional CTO 122

Fractional CTO CTO CTO Hire Azure 122

Feld Thoughts

SEPTEMBER 20, 2013

We’ve confidentially submitted an S-1 to the SEC for a planned IPO. Anyone who has been through taking a company public knows that there are numerous steps between the first S-1 filing with the SEC and the final filling where the SEC says “ok – you are ready to go public now.”

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SEC IPO Investment Bankers Valuation 142

Up and Running

AUGUST 28, 2019

Because of its popularity, Delaware is also statistically a popular state for investors to finance businesses. Some corporations also need to register with the SEC , so be sure to research whether that is required for your company. This sounds great, but doing business in another state means additional paperwork.

Delaware 83

Delaware Stock Nevada Technical Review 83

Startup Professionals Musings

SEPTEMBER 29, 2014

A few years ago it was all the rage to have MBAs in the top finance role. These days, with Sarbanes-Oxley and all the new SEC regulations, an MBA does not begin to cover the accounting, process, and tax knowledge needed to steer a company’s finances. The job of a startup CFO is very different from one at a “big” company.

NDA 248

NDA CPA SEC Startup 248

The Startup Magazine

JUNE 26, 2020

Startup lawyers can help you decide on which structure is the best for you based on your finances, plans and goals. SEC Regulations. Incorporating your business is needed in order to establish a legal separation between the individual entrepreneur(s) and the business itself to prevent personal liability for the business’s debts.

Intellectual Property 149

Intellectual Property Startup SEC Stock Options 149

Venture Chronicles

NOVEMBER 22, 2010

The SEC fulfilled their obligation under the Frank-Dodd financial reform bill and defined what venture capital is. Here’s what would, according to this definition, be illegal for a venture capital fund to undertake: Private investment in public entity (PIPE) financing. Bridge financing. debt) prove to be onerous.

Venture Capital 49

Venture Capital SEC Redemption Bridge Financing 49

Startup Professionals Musings

SEPTEMBER 22, 2013

Every reputable investment firm is registered with FINRA and files regular reports with the SEC. Watch out if someone has a complex plan involving offshore bank financing or gemstones or oil leases in Iran to make you rich. Has the firm ever been disciplined by the SEC or a state regulator? Any mention of “offshore.”

Securities and Exchange Commission 240

Securities and Exchange Commission Offshore SEC Iran 240

Professor VC

NOVEMBER 14, 2011

These investments would be exempt from registration under the 1933 SEC Act. There is a reason the SEC exists. I cant remember if the SEC was one of the government agencies that Rick Perry wants to get rid of (but neither can he ), but it seems like this is the exact type of investor that the SEC was set up to protect.

SEC 54

SEC San Jose Angel Investor Accredited Investor 54

Feld Thoughts

MARCH 14, 2018

When I first heard the phrase “ ICO ” three or four years ago, my immediate thought was something like “that’s just an invitation to the SEC to regulate that. Knowing the SEC would move very slowly, I didn’t pay much attention. In both cases, the idea of advertising an ICO is ludicrous to me.

Advertising 86

Advertising SEC Private Equity Equity 86

Berkonomics

MARCH 7, 2019

When you seek professional investors, whether organized angels or venture capitalists, one of the early questions you are asked is “How have you financed the business so far?” What would the SEC say about your investors? Enter the need for larger investments. But often, entrepreneurs turn to others for initial capital.

Cap Table 61

Cap Table SEC Private Placement Accredited Investor 61

Startup Professionals Musings

MARCH 9, 2013

A few years ago it was all the rage to have MBAs in the top finance role. These days, with Sarbanes-Oxley and all the new SEC regulations, an MBA does not begin to cover the accounting, process, and tax knowledge needed to steer a company’s finances. The job of a startup CFO is very different from one at a “big” company.

NDA 237

NDA CPA Startup SEC 237

Duct Tape Marketing

FEBRUARY 27, 2014

Equity Crowdfunding: Your Solution for Small Business Financing? But in order to travel, add personnel, and execute on expansion plans in the coming year, many small businesses will need financing… which is where things get tricky. Crowdfunding for Small Business: Marketing and Financing. The first is marketing.

Equity 63

Equity Finance Small Business Accredited Investor 63

abovethecrowd.com

FEBRUARY 24, 2015

Historically, different financial institutions specialized in different stages, because the assessment of risk and opportunity was considered unique at each stage — for example, a seed investor was unlikely to do late-stage financing, and vice versa. Some have argued that each of these companies would already be public in a prior era.

IPO 40

IPO Liquidation Preference Valuation Technical Review 40

BeyondVC

JANUARY 6, 2018

6 portfolio companies raised Series A financings including Manifold , Hypr , and 4 unannounced, 1 raised a Series B (unannounced), and Security Scorecard raised a $28mm Series C. 2 exits including yhat (sold to Alteryx?

Cloud 60

Cloud Cofounder Portfolio Advisory Board 60

Scott Edward Walker

MAY 15, 2012

This post is the third part of a three-part primer on convertible note seed financings. Part 1, entitled “ Everything You Ever Wanted To Know About Convertible Note Seed Financings (But Were Afraid To Ask) ,” addressed the basics. Part 2, entitled “ Convertible Note Seed Financings: Econ 101 for Founders ,” addressed the economics.

Finance 64

Finance Founder Accredited Investor Preferred Stock 64

Berkonomics

FEBRUARY 27, 2020

When you seek professional investors, whether organized angels or venture capitalists, one of the early questions you are asked is “How have you financed the business so far?” How it happens. Investors love to see entrepreneurs who have used their own money to ignite their businesses. The legality issues.

Cap Table 62

Cap Table Private Placement SEC Accredited Investor 62

Startup Professionals Musings

JANUARY 30, 2011

Every reputable investment firm is registered with FINRA and files regular reports with the SEC. Watch out if someone has a complex plan involving offshore bank financing or gemstones or oil leases in Iran to make you rich. Have you or your firm ever been disciplined by the SEC or a state regulator? Any mention of “offshore.”

Securities and Exchange Commission 232

Securities and Exchange Commission Offshore SEC Iran 232

The Startup Magazine

NOVEMBER 17, 2021

The SEC tightly regulates the way you must share information about your investment opportunity, and following this framework is absolutely mandatory. Issues regarding compliance, deadlines, and engagement could represent speedbumps in the road ahead for all SPACs. Credit: ilixe48 via FreePik. Challenge No. 1: Reporting Compliance.

Initial Public Offering 142

Initial Public Offering Merger IPO SEC 142

The Startup Magazine

OCTOBER 3, 2019

Financing a business venture is a difficulty that many start-up owners have encountered. There are also regulations on these loans under SEC Rule 144, providing oversight and protecting your assets. It can be uncomfortable putting your car or home at risk to finance your business.

Stock 75

Stock Angel Investor Startup SEC 75