Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist

One way, in theory, to protect your ownership is with pro-rata rights. A pro-rata side letter is a legal agreement or document that is often used by venture capitalists, and sometimes used by angel investors. Basically, it outlines an investor's right to maintain their ownership percentage in a company by having the right to participate in future f... See more

Asking friends what would kill their firms, I heard; Performance. Succession planning. Politics. There was plenty of overlap in their answers. What stuck out to me the most was how a lot of these fears closely aligned with the revolutions already going on in venture that I've been writing about. The productization and improvement in a venture funds... See more

Investing

Simple Agreement for Future Equity (SAFE)

A SAFE gives investors the rights to purchase stock in a future equity round, often with a specific cap and/or discount. No specific price per share is determined at the time of the initial investment.

They’re a simple and fast way to get early investments into a company. The SAFE was originally i

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