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Wednesday, June 27, 2012

How to pick a co-founder - Venture Hacks

How to pick a co-founder - Venture Hacks: "It’s more important than your product, market, and investors.

The ideal founding team is two individuals, with a history of working together, of similar age and financial standing, with mutual respect. One is good at building products and the other is good at selling them.

The power of two
Two is the right number "

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(7) For a new startup, what would be the "acceptable" equity percentage given to VC (Series A financing)? - Quora

(7) For a new startup, what would be the "acceptable" equity percentage given to VC (Series A financing)? - Quora: "The short answer to your question, however, is that in most cases, for most early funding rounds, a startup should be prepared to give up 20%-40% of its equity in each round, with the amount of cash raised being enough to take the company to 'the next level' (that is, far enough along that it has reached important milestones and demonstrated success, so that it will be able to secure an additional round of financing at a higher valuation."

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Thursday, June 21, 2012

The Truth About Raising Early-Stage Capital | Rock The Post | Blog

The Truth About Raising Early-Stage Capital | Rock The Post | Blog: "I bought the assets through a negotiated three-part deal that included cash up-front, a senior note payable (debt that takes priority) and finally, convertible debt that will eventually give the nonprofit (which is a going entity) a future position in the company. If the company is wildly successful — as I intend it to be — the nonprofit will be quite successful as well.
For all the negotiating, the debt and the buyout, I had yet to raise new capital to build the company. Reflecting on the lessons that I had learned about valuation, and understanding that equity in the early stage of a company is usually not ideal, I took on convertible debt from two angel investors."

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Monday, June 18, 2012

Motorola Mobility Acquires Video Guide Startup SetJam | TechCrunch

Motorola Mobility Acquires Video Guide Startup SetJam | TechCrunch: "The company’s products currently include a customizable TV and movie widgets designed for embedding on websites, plus developer-friendly tools like a REST API and XML download of the SetJam database.

The TV widgets are designed to be context-sensitive and offer full CSS-styling, so they blend in with the website where they’re placed, while also allowing the site’s owner to increase revenue through affiliate income that comes from clicks to third-party sources."

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