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CTO Equity - Negotiation After Funding

SoCal CTO

I received an inquiry from a reader of my blog and thought I would provide some thoughts, but would definitely welcome input: I am an unpaid CTO of a small startup. I have been working full time with two founders for about 10 months on full time basis. Please let this be a lesson to everyone – founders and CTOs.

CTO 167
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CTO Equity - Negotiation After Funding

SoCal CTO

I received an inquiry from a reader of my blog and thought I would provide some thoughts, but would definitely welcome input: I am an unpaid CTO of a small startup. I have been working full time with two founders for about 10 months on full time basis. Please let this be a lesson to everyone – founders and CTOs.

CTO 150
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HyreCar Raises $1.46M In Debt Funding

socalTECH

Los Angeles-based online car rental service HyreCar has just raised $1.465M in debt funding, as part of an ongoing $2.3M funding round, according to a regulatory filing from the firm on Thursday. Details on the funding--which appears to be a convertible note or bridge round, with warrants--have not yet been announced.

CTO Hire 157
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Getting Your Head in the Game for Fund Raising

Both Sides of the Table

Fund raising is hard for everybody. Very, very few founders have an easy time despite what you read in the press. I’ve seen many founders lose confidence in the earliest parts of the process rather than accept that it’s a numbers game where you’re just not a fit for everybody. It sounds like a lot of work, I know!

Funding 238
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Equity for Early Employees in Early Stage Startups

SoCal CTO

For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula. For example, suppose you're just two founders and you want to hire an additional hacker who's so good you feel he'll increase the average outcome of the whole company by 20%. n = (1.2 - 1)/1.2 =.167. and we have 11.1%

Equity 391
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Want to Know How VC’s Calculate Valuation Differently from Founders?

Both Sides of the Table

Back in 1999 when I first raised venture capital I had zero knowledge of what a fair term sheet looked like or how to value my company. Brad Feld hadn’t written his seminal “ term sheet series &# and The Funded hadn’t yet been created. But this example above is all entrepreneur math, not the VC’s.

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Ryan Blair, HashtagOne: From Gang Member, To Entrepreneur, To Anti-VC

socalTECH

He eventually founded and sold consumer health firm ViSalus to a public company and is now back making investments, in technology companies, as a venture capitalist here at Los Angeles-based HashtagOne (www.hashtagone.com). Ryan Blair: The theme around the fund is pretty simple. I'm a bit of an anti-VC, as you know.