SoCal CTO

JANUARY 5, 2011

Some really great stuff in 2010 that aims to help startups around product, technology, business models, etc. 500 Hats , February 1, 2010 When to Use Facebook Connect – Twitter Oauth – Google Friend Connect for Authentication? 500 Hats , February 1, 2010 When to Use Facebook Connect – Twitter Oauth – Google Friend Connect for Authentication?

Silicon Valley 378

Silicon Valley Startup Term Sheet Venture Capital 378

Both Sides of the Table

MARCH 17, 2012

I’ve started a series on negotiations in startups. The very first time I ever negotiated a term sheet (and then legal docs for closing the round) I found the experience very frustrating. He marks up the term sheet. Seems like the term sheet will be done in a day or so. Nor did their lawyer.

Term Sheet 301

Term Sheet Ireland Cofounder Finance 301

Both Sides of the Table

MAY 10, 2018

What you don’t know is that MANY of these financings have been a months’ long series of no’s, compromises, hard terms, heartaches, arguments, self doubt, followed by a “yes” that saves the day. When you finally get a term sheet you get three. Fund raising seems so easy for everybody else and you’re doing something wrong.

Term Sheet 232

Term Sheet France Technical Review Restful 232

Startup Professionals Musings

JANUARY 27, 2012

Remember a term sheet agreement is not a deal until the check clears. However, there is no set pattern of terms an entrepreneur might be able to anticipate from either. Your best strategy is to bring your own term sheet to the negotiation as a starting point. Anti-dilution protection.

Term Sheet 223

Term Sheet Pre-Money Valuation Due Diligence Angel Investor 223

Startup Professionals Musings

SEPTEMBER 14, 2010

Remember a term sheet agreement is not a deal until the check clears. However, there is no set pattern of terms an entrepreneur might be able to anticipate from an angel, either. Your best strategy is to bring your own term sheet to the negotiation as a starting point. Anti-dilution protection. Marty Zwilling.

Term Sheet 227

Term Sheet Pre-Money Valuation Due Diligence Post-Money Valuation 227

ReadWriteStart

JUNE 1, 2020

I have often been asked about Startup Funding by entrepreneurs. Many myths surround the subject of startup funding. Here is Startup Funding, a Comprehensive Guide for Entrepreneurs. You must have seen a lot of startups giving out promotions, discounts, and incentives at the early phase of their business.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

David Teten

AUGUST 19, 2019

Does the traditional VC financing model make sense for all companies? 2018 also had the fewest number of angel-led financing rounds since before 2010. However, many industry experts question the accuracy of early-stage market data, given many startups are no longer filing their Form Ds. Absolutely not.

Revenue 60

Revenue Term Sheet Founder Technical Review 60

Both Sides of the Table

SEPTEMBER 5, 2012

Was Paul Graham right in his “high resolution” financing post? I can’t say it much simpler than this: “What if I took some of the worst, most egregious terms in a standard term sheet and made them the defacto standard in most convertible debt deals? Let me explain it more clearly in equity terms.

Ratchet 354

Ratchet Liquidation Preference Equity Stock 354

SoCal CTO

JULY 13, 2010

Some great content around the intersection of startups and being a Startup CTO in June this year. This continues my series of posts: Top 29 Startup Posts May 2010 Startup CTO Top 30 Posts for April 16 Great Startup Posts from March There was some really great content in June. It shows a lack of interest.

Cofounder 175

Cofounder Technical Cofounder Term Sheet Startup 175

Startup Professionals Musings

DECEMBER 26, 2021

In reality, a financing negotiation is not a single-round winner-take-all game, since a “good” deal requires that both parties walk away satisfied -- with a win-win relationship. On the other hand, when negotiating a financing for your company, you should never present your term sheet first. Marty Zwilling.

Term Sheet 328

Term Sheet Bootstrapping Finance Startup 328

Both Sides of the Table

MAY 9, 2018

You race back to the office to tell everybody how well it went and you wait for the follow-up call to have a partners’ meeting or talk about term sheets or at least dip into due diligence. The assistant tried to end the meeting twice but was shoooshed away. What do I do now? You’re in control.

Software Review 381

Software Review Churn Rate Due Diligence New York 381

Both Sides of the Table

MARCH 3, 2012

Since I didn’t originally source the deal I let my co-investor set the terms and negotiate the deal with my consent. But it was early 2009 and not many companies were getting new financings at all so I thought they should take the deal. But for me I care too much about my long-term reputation. He has signed a term sheet.

Term Sheet 356

Term Sheet Silicon Valley Reputation Partner 356

YoungUpstarts

OCTOBER 12, 2017

To outside investors, the future of early stage and startup companies can be murky. However, as a condition of financing they may require annual audited financial statements. For many startups this results in a need to raise additional financing through debt or equity arrangements. What are the company’s obligations?

San Francisco 133

San Francisco Forecast Early Stage Term Sheet 133

Both Sides of the Table

JULY 29, 2010

We received so much positive feedback from our This Week in Venture Capital show walking through valuation calculations & term sheets that we decided to do a Q&A show this week to address topics that entrepreneurs want to learn about. Q: “If you have a term sheet on the table how should you leverage with other VCs?&#

Venture Capital 282

Venture Capital Term Sheet Valuation Stock Options 282

YFS Magazine

OCTOBER 8, 2016

It can be tempting to skip the term sheet and simply have your lawyer prepare the investment documents.

Term Sheet 112

Term Sheet Startup Venture Capital Finance 112

Both Sides of the Table

APRIL 23, 2017

When you run a startup you’re always on borrowed time. It’s why raising a round of capital often feels like a hollow victory because it almost feels like a temporary reprieve from the Grim Reaper and in a way every new round just sets the bar higher to clear for the next round of financing or the hope of reaching profitability.

Burn Rate 238

Burn Rate Term Sheet CTO Hire Fractional CTO 238

Both Sides of the Table

OCTOBER 19, 2014

Because the hundreds of millions that it takes to greenlight a theatrical film could never be absorbed by a startup and because they way we experience media & characters has evolved dramatically over the past 20 years to a point where the starting point for media is often digital, gaming or even graphic novel oriented.

Technical Review 373

Technical Review North America Los Angeles Cofounder 373

Gust

DECEMBER 27, 2012

The second reason is that investors want to know that YOU believe in your own startup…and the best way for you to demonstrate that is to show that you have personally put your own money where your mouth is. Start by letting absolutely everyone know that you’ve got a great startup looking for early investors.

Software Review 164

Software Review Term Sheet Technical Review Angel Investor 164

Startup Company Lawyer

MARCH 14, 2010

After the recent announcement of the Series Seed Financing documents by Marc Andreesen, Brad Feld points out that there are now four sets of “open source&# equity seed financing documents: TechStars Model Seed Funding Documents (by Cooley). Y Combinator Series AA Equity Financing Documents (by WSGR). under $500K).

Finance 70

Finance Software Review Term Sheet Liquidation Preference 70

www.seriesseed.com

MARCH 2, 2010

SeriesSeed.com Series Seed Financing Documents Blog Home Documents Blog Archives Subscribe 09/02/2010 Version 2.0   That’s because there are not that many issues to negotiate in a simple equity financing. 2) Redline - Series Seed Term Sheet (1 v. Series Seed Term Sheet (v 2.0) Then you win.”

Finance 58

Finance Term Sheet Equity Aggregator 58

www.seriesseed.com

DECEMBER 9, 2012

Series Seed Financing Documents Blog. Series Seed Financing Documents. Series Seed Term Sheet (v 2.0). Series Seed Term Sheet. Listed below are links to weblogs that reference Series Seed Financing Documents : 1 Reblog. Ted: Great service to the startup community!

Finance 40

Finance Term Sheet Vesting LLC 40

YoungUpstarts

OCTOBER 28, 2015

Craig Schmitz, a partner in the Technology Companies Group at law firm Godwin Proctor LLP who works on corporate, governance, board and fundraising issues, and Erika Fisher, an associate in the firm’s Business Law Department who deals with IP, fielded questions about the legal issues startups face. ” The Cost of Financing.

Convertible Security 100

Convertible Security IP Technical Review Software Review 100

Both Sides of the Table

APRIL 13, 2011

There was a lot of consumer internet activity again…resurgence of things, but it was still mysterious, venture capital was still kind of closed, 1st time entrepreneurs had a lot of questions that were unanswered, and there was still some sort of hand waiving around all the financing stuff and so we took it on….”. Is that when it became big?

Technical Review 288

Technical Review Venture Capital Silicon Valley Software Review 288

Startup Lessons Learned

MAY 31, 2019

He’ll be speaking at this year’s Lean Startup Conference , and also has a new book (for which I very happily wrote a short foreword) coming out next month: Secrets of Sand Hill Road: Venture Capital and How to Get It. It used to be that startups went public about 6-7 years from founding; that number is now 10-12 years.

Lean 108

Lean Venture Capital Conversion IPO 108

Steve Blank

APRIL 1, 2020

So here’s a five-day playbook to help CEOs of cash-flow negative startups, or ones about to go negative, assess the new normal and respond with speed and urgency. For companies burning cash, such as startups, how much cash do you have? For startups: source of VC money? Some VC’s are walking away from signed term sheets.

South Korea 334

South Korea Salary Business Model China 334

The Startup Lawyer

AUGUST 24, 2010

Just like the preferred equity financing process, the convertible debt financing process can start with a term sheet, rather than a full set of financing documents. Closing : Is there a specific date that the convertible debt financing will close, or will there be an open round of seed investment ?

Term Sheet 62

Term Sheet Pre-Money Valuation Liquidity Event Warrant 62

Gust

SEPTEMBER 29, 2011

The most successful serial entrepreneurs in the world may found three or four, perhaps even eight or ten venture-backed startups over the course of their careers. It should therefore come as no surprise that an asymmetry of information exists, mostly gleaned from experience, between founders and investors in a venture financing deal.

Finance 178

Finance Term Sheet Preferred Stock Bridge Financing 178

Gust

NOVEMBER 11, 2011

Startups and investors discover each other, and the community wins because the event becomes visible evidence of new business and new jobs locally. Or the in-kind winning includes legal work or management consulting, but the startup that wins has its own providers. But before the term sheet is signed, problems come up.

Software Review 79

Software Review Term Sheet Due Diligence Angel Investor 79

ReadWriteStart

SEPTEMBER 2, 2011

While certainly not every business needs to raise venture financing, it is the path for many high-growth technology startups. As Steve Blank explained earlier this week on ReadWriteStart from research at The Startup Genome Project : One of the biggest surprises is that success isn't about size of team or funding.

Cap Table 125

Cap Table Term Sheet Liquidation Preference Technical Review 125

Both Sides of the Table

SEPTEMBER 8, 2012

I recently wrote about my views that startups rounds should be priced. But Paul Graham really did have a point in his “ high resolution fundraising ” post – that there is a problem – particularly in angel financing – with herding cats. You simply draft up a series seed term sheet.

Pre-Money Valuation 294

Pre-Money Valuation Finance Liquidation Preference Warrant 294

David Teten

JANUARY 19, 2021

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Part of the magic of revenue-based financing is how historical performance and strong, achievable financial projections are ultimately the backbone of how RBI/RBF investment decisions are made.” Of the Inc. 5000 companies, only 6.5%

Cofounder 78

Cofounder Technical Review Equity Dividend 78

Feld Thoughts

FEBRUARY 28, 2023

Corporate law: In Germany, most companies in general and most VC-financed companies are structured in the legal form of a “Gesellschaft mit beschränkter Haftung” (GmbH). KG companies have decisive tax disadvantages for startups and are, therefore, rarely used in this area. BAND) and the Bundesverband Deutsche Startups e.V.

Germany 165

Germany Liquidation Preference Option Pool Advisory Board 165

Feld Thoughts

MARCH 2, 2010

Y Combinator Series AA Equity Financing Documents (by WSGR). Founders Institute Plain Preferred Term Sheet (by WSGR). Series Seed Financing Documents (by Fenwick & West). I wrote about this in my post The Challenge of The Ideal First Round Term Sheet. TechStars Model Seed Funding Documents (by Cooley).

Finance 133

Finance Term Sheet Angel Investor Early Stage 133

Business Plan Blog

NOVEMBER 13, 2013

Most startup founders do not have enough capital to launch their companies and need to raise money at some point. FFF investing is not a short-term play and mostly investors do not get a return on their investment immediately. Individual investors who provide financial funding to startups are called ‘Angel Investors.’

Finance 93

Finance Accredited Investor Angel Investor Seed Capital 93

Up and Running

MAY 18, 2016

Reading lists are dime a dozen, but reading lists that focus on rapid-growth startup businesses? It’s the ultimate startup guide if you’re looking for systematic business growth and guidance on what not to do. The Lean Startup: How Today’s Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses.

Startup 80

Startup Venture Capital Angel Investor Lean 80

Mucker Lab

AUGUST 27, 2014

My father eventually decided on Santa Clara (Saratoga, more specifically), and so I grew up in the shadows of the orchards of Cupertino and the nondescript concrete startup boxes of Santa Clara. Encyclopedic knowledge of term sheets and startup buzzwords can be quickly learned, trained, and packaged.

Los Angeles 138

Los Angeles Southern California Silicon Valley Technical Review 138

Startup Company Lawyer

APRIL 22, 2009

Always looking for ways to better serve the entrepreneurial community, Wilson Sonsini Goodrich & Rosati is pleased to announce the release of the WSGR Term Sheet Generator , a publicly available online tool that allows entrepreneurs and investors to generate an initial draft of a term sheet for a preferred stock financing.

Term Sheet 39

Term Sheet Finance Preferred Stock Kentucky 39