Both Sides of the Table

OCTOBER 14, 2011

And figuring out how much your equity may be worth over the course of a 5-year stint at a startup is even more complicated. Listen, understanding the world of valuations and how equity gets split on a sale is a whole lot more complicated than the graphic depicts. So you own 15% of the new company but that 15% is now worth $1.5

Startup

SoCal CTO

MAY 10, 2011

A long-time friend and colleague, Steve Wexler, who is great at visualization took my Startup CTO Salary and Equity Data and produced a really need interactive visualization via Tableau. Of course, as you would suspect, equity percentages dilute based on years in business. Most non-founders have less than 2%.

Equity

socalTECH

NOVEMBER 7, 2019

Irvine-based Kajabi , which develops a platform that helps both individuals, as well as small- and mid-sized businesses monetize online courses, training materials, and other content, has receive an investment from private equity investor Spectrum Equity. Financial details of the minority growth investment were not announced.

Equity

SoCal CTO

JANUARY 18, 2011

During that time one of the founders had mentioned that for the initial agreed time (3 months, equivalent dollars could be translated to 2% of equity but no agreement was reached at that time). I tried to argue that the equity should be what it was at the time I joined and discussed but there was no formal agreement at that time.

CTO

SoCal CTO

JANUARY 18, 2011

During that time one of the founders had mentioned that for the initial agreed time (3 months, equivalent dollars could be translated to 2% of equity but no agreement was reached at that time). I tried to argue that the equity should be what it was at the time I joined and discussed but there was no formal agreement at that time.

CTO

TechCrunch LA

OCTOBER 7, 2021

Jennifer Schwab, the founder and CEO of Entity, has built the business since 2016 on virtually no outside funding, but said that this latest financing is a precursor to the company working on its first, more traditional VC-led equity round. Since 2016, some 400 students, almost all women, have completed the course.

Mentor

Startup Professionals Musings

MAY 1, 2023

So, the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Amount of venture funding provided.

Equity

Both Sides of the Table

SEPTEMBER 5, 2012

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

Both Sides of the Table

JANUARY 4, 2014

Of course it makes no sense to have great people management and a crappy product. ” Of course we all go into businesses expecting to be aligned with our co-founders but over time life changes. Equity for the future? Of course I’m sure they both look at the past and wish they would have made different choices.

Startup

socalTECH

JANUARY 30, 2013

Carpinteria-based Lynda.com announced this morning that it has released a number of online training courses, to coincide with the release of Microsoft's Office 2013 and Office 365. The company, which publishes online, video training courses, said the releases bring it to more than 175 courses on Microsoft software.

Content

Both Sides of the Table

MARCH 3, 2013

Today’s higher education is responding by making more courses online and available to people outside of physical boundaries. ” But I pointed out a professor at HBS ( Tom Eisenmann ) who teaches a course where blogs are a part of the classroom reading material. “Online education is truly going to kill us.”

Venture Capital

socalTECH

JULY 17, 2012

The California Institute of Technology is backing, Coursera , a startup in the area of online education with an equity investment, plus the promise to put some of its courses online for free, in a deal worth $3.7M, the school announced this morning with Coursera. in investments to back its efforts to put university courses online.

CalTech

Startup Professionals Musings

SEPTEMBER 10, 2018

So the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Amount of venture funding provided.

Equity

SoCal CTO

MARCH 3, 2011

Of course, I provide part-time CTO services. I'm looking for free (equity only) development, should I contact you? See Equity-Only CTO and Equity-Only Developers for more on this. Generally I can provide quite a bit of help in that brief time. And I try my best to point them to resources that can help them longer term.

CTO Hire

Berkonomics

JANUARY 20, 2022

The problem, of course, comes if the business fails. Do take loans from sophisticated investors only after you have tried everything to get them to purchase equity…. A well–phrased ‘no’ could well be a step toward a correction of course and a later ‘yes.’. Every contact should be a learning experience.

Startup

Both Sides of the Table

MARCH 31, 2012

Here is a sample of the reading list for the course that gives you a flavor for just how modern and practical this course is. Jeff (also an HBS alum) co-teaches the LTV course with Professor Eisenmann about a student of theirs who had written a blog post about sales taking on some of my previous assertions.

Startup

SoCal CTO

MARCH 3, 2011

Of course, I provide part-time CTO services. I'm looking for free (equity only) development, should I contact you? See Equity-Only CTO and Equity-Only Developers for more on this. Generally I can provide quite a bit of help in that brief time. And I try my best to point them to resources that can help them longer term.

CTO Hire

SoCal CTO

MARCH 12, 2012

Okay, so now you have it narrowed down and have determined that you need: Part-Time CTO or Technology Advisor to help guide you and close a bit of the Startup Founder Developer Gap , and Equity-Only Cofounder Developer - the first real developer that will work for equity and produce the bulk of the application. Go to user groups.

CTO Hire

Startup Professionals Musings

AUGUST 9, 2020

So the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Amount of venture funding provided.

Startup

Both Sides of the Table

SEPTEMBER 29, 2013

Therefore of course they need to be more selection when writing checks and can’t spread their bets across 75 deals. Of course it’s obvious that it helps the self-interested syndicate lead who gets carry if the investment is successful. Of course the same goes with traditional VCs. This is what leads do.

Venture Capital

socalTECH

JANUARY 16, 2013

Lynda.com , the online video education provider which has been one of the region's most successful, bootstrapped companies--is no longer bootstrapped, after inking a massive, $103M growth equity round. Lynda.com offers up online education courses on things like Adobe Photoshop, Illustrator, Microsoft Excel, AutoCAD, and much more.

Funding

socalTECH

FEBRUARY 14, 2013

According to the company, video2brain provides German-, French-, Spanish- and English-language courses covering many of the same categories as lynda.com. lynda.com's big investment round, announced last month, came from Accel Partners and Spectrum Equity. Financial terms of the buy were not disclosed. READ MORE>>.

Training

Both Sides of the Table

JUNE 12, 2013

Of course he wanted to talk a lot about his product and company – he was looking for money after all. Who cares what my equity is. Some practical examples. Jason Nazar is a master networker. As good as they come. Early in his days when he was raising capital for DocStoc he came to see me a lot. He would send deals.

Venture Capital

socalTECH

JANUARY 22, 2013

Last week, Carpinteria-based Lynda.com announced one of the biggest investments in the region in the last few years--a $103M, growth equity investment in the company, which came from Accel Partners and Spectrum Equity. Eric Robison: We're not going to spend it all right way, of course. There are many opportunities for us.

Funding

socalTECH

JANUARY 22, 2013

Last week, Carpinteria-based Lynda.com announced one of the biggest investments in the region in the last few years--a $103M, growth equity investment in the company, which came from Accel Partners and Spectrum Equity. Eric Robison: We're not going to spend it all right way, of course. There are many opportunities for us.

Funding

TechCrunch LA

DECEMBER 17, 2020

” Over the course of working with LA startups including Docstoc and ZipRecruiter, Jones realized that the precarity he had witnessed in his father’s situation as an employer carried over to employees as well. The HR service component where the trust equity is built … how much can you expand what you can get these companies to do?”

Services

Xconomy

JUNE 12, 2019

At public research universities like U-M, introductory courses in STEM (science, technology, engineering, math) subjects are the required first steps in the process of earning a STEM degree. A University of Michigan professor and colleagues from 10 universities are hoping to change that.

Equity

Both Sides of the Table

AUGUST 14, 2017

And of course we help with business development introductions and with fund raising events. Boards are not appointed to be founder-friendly lapdogs for the 1–3 founders who start companies and usually own the largest equity positions in the company. Often we are asked to get involved in executive-level recruiting.

Startup

SoCal CTO

MAY 13, 2014

For me, if I can help you within a couple hours Free Startup CTO Consulting Sessions , I’m happy to do that and I don’t expect compensation or equity for that. Of course, you will want to work out the specifics of how you plan to work together with the advisor once it becomes more formal and adjust accordingly.

CTO Coach

Both Sides of the Table

OCTOBER 15, 2016

Defy teaches them personal finance like how to keep a checking account, the difference between debt and equity, what cashflow is and so forth. Of course the contrasts are stark and the questions get more personal and much harder to hide from the privilege our side of the so obviously enjoys. How many of you were raised with 2 parents?

Writing

Technology Council

JULY 29, 2008

Angels, private equity investors, investment bankers, and, of course, a who’s who of the VC community will be on hand to see [.] Only 12 companies will have the chance to convince the biggest gathering of technology investors to be assembled in Southern California this year that theirs is the company that deserves to be funded.

VentureNet

Startup Professionals Musings

AUGUST 29, 2020

Of course, every alternative has advantages and disadvantages, so any given one may not be available or attractive to you. For example, professional investors put great priority on your previous experience in building a business, and they expect to own a portion of the business equity and control for the funds they do provide.

Funding

socalTECH

DECEMBER 2, 2014

lynda.com is venture backed by Accel Partners, Spectrum Equity and Meritech Capital Partners. Lynda.com offers a wide range of video-based courses to help users learn about everything from application software to hardware, graphic design, business, and more. READ MORE>>. lynda award electric vehicle education online learning energy'

Software Review

Startup Professionals Musings

NOVEMBER 8, 2021

This usually means not taking money from equity investors, since investors want fast growth, high profits, and an exit event, to allow investments to be recouped. Of course, even lifestyle entrepreneurs want to be happy, and want their business to be “successful.” According to William R. There is no free lunch for money.

Entrepreneur

Startup Professionals Musings

AUGUST 24, 2016

So the first question I usually get is what percent of the company or equity is that person worth? Just because it was your idea doesn’t mean you “deserve” 90% of the equity. The value in a startup is all about tangible results, so I see no equity value in the idea alone. Amount of venture funding provided.

Equity

Berkonomics

JULY 16, 2020

It may not be equity. Venture or angel-financed companies with plenty of working capital sometimes are immune to this working capital need for some time into their growth, but at some point, it will become clear that the cheapest form of finance is not equity in a growing enterprise. Back to loans costing less than dilution of equity.

Company

Startup Professionals Musings

FEBRUARY 20, 2010

If these challenges can’t be resolved by the existing team with “course corrections”, an investor will often bring in an experienced CEO to tackle the “turnaround” before or after bankruptcy. In this case, a private equity firm engaged me to assist in the purchase of a German software supplier.

Course