Remove Demand Remove Pricing Remove Seed Funding Remove Writing
article thumbnail

The Authoritative Guide to Prorata Rights

Both Sides of the Table

These tensions seep out in some angels or seed funds publicly or semi-privately deriding later-stage VCs for their “bad” behavior. Or your A-round investor who wrote a $5 million for 25% of your company may not be well positioned to write another $5 million (25%) of a $20 million round.

Guide 336
article thumbnail

The Damaging Psychology of Down Rounds

Both Sides of the Table

.” In the article I discussed the downside of raising capital at a too high of a price and referred people to a previous article I had written encouraging founders to raise “ At the Top end of Normal ” as opposed to stratospheric prices. If we count seed funds and large angels maybe that number goes up by 2x?

Pricing 302
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

The Audacious Plan to Make Electricity as Easy as WiFi

Both Sides of the Table

It’s true the some VCs have started writing so many checks that they resemble stock pickers but the majority of us still have less than 10 board seats at any time and tend to go pretty deep so the result is that we care deeply about where we commit our time. Was there consumer demand? No brainer. Could we produce this at cost?

article thumbnail

What Most People Don’t Understand About How Startup Companies are Valued

Both Sides of the Table

There is much discussion online and also in small, private groups, about why the price of technology companies – public and private – are falling. It pains me to see the typical (and predictable) responses on Twitter, “VCs want prices to drop!” ” “Sure, prices are dropping.

Startup 150
article thumbnail

US Economic Risks (Sept 2010): Impact on Investors & Entrepreneurs

Both Sides of the Table

The prices of angel deals have recently crept up, VCs have also gotten their checkbooks out again, frothy deals are happening and people are feeling bullish. VCs have also gone back to writing checks because as an industry we can’t be seen as “sitting on the sidelines” for years at a time. VCs get paid to “put money to work.&#.