I've been a co-founder of three ventures and have had to negotiate ownership stakes with my partners for each one. I've also conducted intellectual property diligence, as a consultant to IP/M&A attorneys, for multiple multi-million dollar software M&A deals. As Stoney said, it's a bit hard to co...
No that pricing is too high as the maximum finders fee that is offered is 2.2% i.e. 440K max. Although if he is doing other tasks for you other than finding the investor that price may change. Traditionally the commission is as stated 2.2%.
Hi, This is a huge question and one that I often get asked - from various aspects (investors, founders, service providers...). General answer: there is no 'magic percentage' that a founder should hold - it all "depends" on the founders, on the investors, on the size of the investment, the indus...
You will find a lot of different views on equity split. I haven't found a silver bullet. My preference/experience is for: 1. Unequal shares because one person needs to be the ultimate decision maker (even if it's 1% difference). I have found that I have never had to use that card because we are ...
Consider reaching out to companies like Foodem and Root. Perhaps you've never heard of these names, but i've always liked Foodem's b2b model and for some reason I've always liked their videos, who knows... Root happens to have a great product (and team btw) Eric is a great guy, I'm sure he'd be h...
Compatibility with your vision? Does 1+ 1= 3 or even 5? Personality mix? If you are going to stay with the acquired entity. These might be more important than any of the numbers.
Crowdfunding for startups is a difficult task if there isn't a tangible product at hand currently. If he kept the funding on a personal level and only involved family and friends, then it could work, but that opens pandora's box of "borrowing" money from people you have a non-business connection to.
There shouldn't be any "magic" to this. It's stock standard: 1. Set the conversion cap 2. Give them follow on rights should you need another round (you never know) 3. No anti-dillution 4. No liquidation multiple, just preference 5. 7% interest rate That's as fair as fair can be. Don't reinvent...
You can use a Factoring company (someone who purchases invoices). And likely they'll require some sort of seasoning of recurring payments before purchasing. You can go for Angel capitol + will have to give up a big chunk of income. If possible, write your own bridge loans by writing balance tr...
Hello! This is a very good question, my name is Humberto Valle, and I'm the founder of www.Unthink.me a small globally known inbound marketing agency. We have helped many tech-related companies such as Software Developers who work on equity as well as traditional payments. For our marketing agenc...