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Mark Hauser’s Hauser Private Equity Spearheads Major Deals in Industrial Sector

The Startup Magazine

According to Mark Hauser, the rising costs of healthcare and growth of the aging patient demographic in the region made the company well-positioned for growth within the market, and in researching the company he found that it had a very favorable reputation and was in line with Hauser Private Equity’s mission to invest in stable, quality companies.

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Cram Down – A Test of Character for VCs and Founders

Steve Blank

But then there’s one more thing – to make it easier for you and a few key employees to swallow the cram down – they promise that you’ll get made whole again (by issuing you new stock) in the newly recapitalized company. You just failed the ethical choice and forever ruined your reputation. Stopping Cram Downs.

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The Silliness Of Recapping Seed Rounds

Feld Thoughts

So they recapitalize the company. And developing a reputation for recapping seed rounds is, in my book, silly. The term sheet converts all the convertible debt into a post-money valuation of $100, essentially making the convertible debt worthless. In a single turn game, this might be rational behavior.

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On the Road to Recap:

abovethecrowd.com

This severely heightens the risk of either running out of money or a complete recapitalization that wipes out previous shareholders (founder, employees, and investors alike). They use the reputation of the other investors as a proxy for due diligence. They didn’t call you before when they built their reputation.

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The Right Way to Lay People Off

Ben's Blog

outcome with no recapitalization. The reputations of your company and your managers depend on you standing tall, facing the employees who trusted you and worked hard for you. Shortly after we sold Opsware to Hewlett-Packard, I had a conversation with the legendary venture capitalist Doug Leone of Sequoia Capital.

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The Entrepreneur Thesis

Both Sides of the Table

Let me outline the contra viewpoint, which is never expressed openly, but it what I believe gives our industry a bad reputation. Let me outline the contra viewpoint, which is seldom expressed openly, but it what I believe gives our industry a bad reputation. It is simply the thesis that I believe in. It’s the “entrepreneur thesis.”