Remove Management Remove Recapitalization Remove Seed Capital
article thumbnail

The Silliness Of Recapping Seed Rounds

Feld Thoughts

So they recapitalize the company. The founders usually get wiped out completely, but existing management usually ends up with new options for between 10% and 20% of the company. But in this cycle, I hadn’t seen it in a seed round. It’s not pretty, but it happens.