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Equity-Only CTO and Equity-Only Developers

SoCal CTO

Understand where they were in terms of being able to pay or was this equity-only (sweat equity only). And he was still in the process of raising additional capital, so it was equity only. There are cases where I will do equity-only deals. who start with small equity percentages don’t end up making very much from startups.

CTO Hire 241
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Praying to the God of Valuation

Both Sides of the Table

Starting in 2009 I began writing checks consistently, year-in and year-out. During this era, from 2009–2015, most founders I knew were in it for building great & sustainable companies. I admit that my writing style back then was a bit more carefree, provocative and opinionated. If we took them public we are naked now.

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What is it Like to Negotiate a VC Round?

Both Sides of the Table

” Today I want to talk about how a VC thinks about equity pricing on your round and particularly if you’re coming off of a convertible note. This was until about 2009 because most the investments in companies came from one, maybe two, sources. So how DOES a VC think about financings at early stages? It’s very simple.

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The Great VC Ice Age is Thawing (for now) – Part 1 of 3

Both Sides of the Table

I would argue that the shut-down of September 2009 was equally severe yet there are signs that this “VC Ice Age” has begun to thaw. It helped me avoid chasing deals (and a house) in 2007/08 and it led to GRP’s fastest pace of investment in many years in the first three quarters of 2009 at a time when many others weren’t investing.

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What is the Right Burn Rate at a Startup Company?

Both Sides of the Table

In a world where the economy only heads in one direction (read: 2009-2014) most investors & entrepreneurs forget to pay attention to gross burn. So money spent should add equity value or create IP that eventually will. I am not suggesting these are bad sources of capital – they are not.

Startup 383
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Interview with Gregg Champion, OneCubicle

socalTECH

That was the jumping off point for OneCubicle a little over 18 months ago, when we started writing the business plan and code. What I feel like now, in 2009, is that to be an entrepreneur who dabbles both in entertainment and technology, you need to be able to talk tech, and talk entertainment, and be pretty well versed in both languages.

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The Truth About Convertible Debt at Startups and The Hidden Terms You Didn’t Understand

Both Sides of the Table

This time by the efforts of Adeo Ressi to introduce a new kind of structure called “ convertible equity.” My initial reaction to Adeo when we spoke was that while it may have solved some issues (debt versus equity) it didn’t solve the ones that I’ve been warning entrepreneurs about most loudly.

Startup 354