Financing Document Forms

A VC: Musings of a VC in NYC

Many founders want to do SAFE note financings for their early rounds to save time and money. My response to that is “let’s do a priced round, we can use a standard financing form we both like, we won’t use a lawyer on our side, and we can close in a week.” ” The key to being able to do that is the availability of standard financing forms. Many venture law firms and also the NVCA have published standard forms on the web.

Personal finance startup Truebill raises $17M

TechCrunch

Truebill , a startup offering a variety of tools to help users take control of their finances, announced today that it has raised $17 million in Series C funding. ” Truebill raises $15M to build a comprehensive platform for personal finance.

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As venture capital rebounds, what’s going on with venture debt?

TechCrunch

The American venture capital world has staged an impressive comeback from the early months of the COVID-19 pandemic. Those tailwinds helped the venture capital world get back into its own game in a big way, leading to Q3 being an outsized quarter for domestic venture capital activity.

Getaround tops up $25M debt financing to its $140M Series E

TechCrunch

Silicon Valley peer-to-peer car rental startup Getaround has secured a $25 million loan from Horizon Technology Finance Corporation. Dan Devorsetz , Horizon’s chief investment officer, told TechCrunch that venture debt has been a part of Getaround’s financing strategy for 2020. “It

What I wish I’d known about venture capital when I was a founder

TechCrunch

Andy Areitio is a partner at the early-stage fund TheVentureCity , a new venture and acceleration model that helps diverse founders achieve global impact. So, I’ve decided to share the main lessons about VC that I wish I’d known when I was a startup founder chasing venture capital.

M1 Finance closes $45M Series C mere months after it raised its $33M Series B

TechCrunch

Just months after it announced a $33 million Series B, Chicago-based M1 Finance today disclosed a $45 Series C. The new financing event was led by Left Lane Capital , the same investor that led M1’s Series B. M1 Finance raises $33M Series B as it reaches $1.45B AUM.

Making Sense of the Stock Market Drops in Relation to Venture Financing

Both Sides of the Table

But I do have some insight into how this will affect venture markets. When many venture investors are seeing their personal public portfolios tank it creeps into their business lives and creates an emotion that is less risk tolerant whether they’re aware of it or not. I’m not saying I’m not investing – just that I’m generally aware that the market does drive venture capital fundings and I’m very interested to see how September plays out.

Startup fundraising is the most tangible gender gap. How can we overcome it?

TechCrunch

Year-in, year-out, the gender gap in venture capital investment continues to be a problem women founders face. This should come as no surprise, given that fintech combines two sectors traditionally dominated by men: finance and technology. Ximena Aleman. Contributor. Share on Twitter.

Bad Notes on Venture Capital

Both Sides of the Table

On the phone … Me: So, you raised venture capital? It’s like we need a finance 101 course for entrepreneurs. In finance they call it “terminal value” but the truth is the price is as arbitrary at your A round as it is at your seed round. Plus, if you price it then when you go to your next round of financing there is no haggling with future investors on what the note should be priced at. This week.

United Nations Development Program and 500 Startups Join Forces to Bridge the World of Impact Financing and Tech Startups

500

ImpactAIM Indonesia’s goal is to bridge the world of impact financing with the world of tech startups in Indonesia. The post United Nations Development Program and 500 Startups Join Forces to Bridge the World of Impact Financing and Tech Startups appeared first on 500 Startups. All imapactaim indonesia indonesia accelerator jakarta Southeast Asia southeast asia accelerator southeast asia startups southeast asia venture capital united nations united nations development program

Lightspeed Venture Partners backs Theta Lake’s video conferencing security tech with $12.7 million

TechCrunch

Lightspeed Venture Partners led the round with commitments from Cisco Investments, angel investors from the collaboration and security space, and previous investors Neotribe Ventures, Firebolt Ventures and WestWave Capital, the company said.

Venture Capital is About Human Capital

Both Sides of the Table

Most VCs did well academically and had enough career success that a venture firm was willing to give them an investment role or they were able to raise their own fund. Fundamentally venture capital is about human capital. Importantly, we recently announced a $30 million financing that gives us the resources we need to build a global enterprise software company. In the end I know the only true differentiator in venture capital is the company you keep.

Is fintech’s Series A market hot, or just overhyped?

TechCrunch

Ryan Falvey is co-founder and managing partner at Financial Venture Studio , an early-stage fintech venture capital firm. Theo Katsoulis is an associate at Financial Venture Studio. Image Credits: Financial Venture Studio (opens in a new window). Ryan Falvey. Contributor.

Funded by Connect Ventures, Purple Dot plans to take on Klarna-style purchase debt

TechCrunch

million, led by Connect Ventures, with support from AI Seed, Moxxie Ventures, Andy Chung and Philipp Moehring from AngelList, Alex Roetter (former SVP of Engineering at Twitter) and the family office of Paul Forster, co-founder of Indeed.com. The Purple Dot payment method sits alongside “buy now, pay later” finance options.

Do venture capital firms or private equity funds offer debt financing for startups?

Gust

The direct answer to your question is NO, VC and PE funds do not provide debt financing for any companies. For venture capital, this is typically ten times the invested capital, and those returns can only be achieved through equity appreciation, not debt service. Invested Interests debt financing private equity funds startup VCs venture capital firms Their entire business model is based on investing in companies that can potentially offer very high returns.

India’s insurance platform Turtlemint raises $30 million

TechCrunch

Turtlemint, an Indian startup that is helping consumers identify and purchase the most appropriate insurance policies for them, has raised $30 million in a new financing round as it looks to reach more users in small cities and towns in the world’s second largest internet market.

What Is Debt Financing? – Types, Sources, Pros & Cons

Feedough

It is when the founders need to make a tough decision of whether to raise money by diluting ownership ( equity financing ) or by taking loans (debt financing). This makes many founders choose debt financing as a capital financing method, that requires repayment along with interest.

How to Get into Venture Capital - An Update

This is going to be BIG.

About seven years ago, I wrote a post on breaking into venture capital and I continue to point the five or six people a week who ask me how to break into venture. The candidates for venture capital roles are already out there and usually in plain sight and there simply wasn''t anyone out there doing what Amrit was doing who wasn''t already fulltime at a firm. Venture Capital & Technology

How Venture Funding For Early-Stage Startups Will Change During the COVID-19 Crisis

Dream It

In New York, for instance, there are now venture funds with a West Coast mentality and firms with an East Coast mentality; the same is true for firms in San Francisco. Will a financial crisis affect how venture funds deploy capital? At a high level, venture funds collect money from limited partners (LPs), which usually consist of high net worth individuals, endowments, foundations, and family offices. Do startups need to conduct due diligence on a venture fund’s LPs?

New Study by MPOWER Financing Shows the Value of Investing in Immigrants

Dream It

An Impact-Investing Success Story: Goldman Sachs-Backed Fintech Fuels Double Bottom Line by Investing in International Students A new study by MPOWER Financing (Dreamit Spring 2016 alum) highlights the dramatic impact of no-cosigner loans for international and DACA (Deferred Action for Childhood Arrivals) students on campus diversity, gender equity, and financial inclusion. About MPOWER Financing MPOWER Financing, headquartered in Washington, D.C.,

How International Founders Can Raise US Financing

Startup Grind

Venture investors will probably ask you to follow their process: If they’re interested, they’ll move you to a meeting with multiple partners, then maybe with other partners, then maybe a full partner meeting. When I was a Y Combinator partner, I noticed that more and more of the batches were companies started by international founders. It's now at 35 percent , and because of this a common question I hear now is: How do you set yourself up to raise money in the U.S.?

How to Create a Budget for Your New Startup

StartupNation

Establishing a budget at the very beginning of a new venture will ensure that you’re able to forecast profits over time and monitor spending habits as your business grows. Some of the most groundbreaking products and services of the 21st century began as startups.

NeuroFlow Closes $7.5M Series A Financing to Advance Behavioral Health Integration and Engagement

Dream It

million Series A financing round led by San Francisco-based Builders VC. Also participating in the round are Dreamit Ventures , Spring Point Partners, Red & Blue Ventures, and AWT Private Investments. Builders VC, a leading venture capital firm with investments in several health tech companies, saw value in NeuroFlow’s technology and the market demand for new solutions closing the divide between mental and physical health.

health 150

This fintech-focused VC firm just closed a $75 million debut fund; backers “came out of the woodwork”

TechCrunch

Still, Sheel Mohnot, who was formerly a general partner at the fintech fund of 500 Startups, and Jake Gibson, co-founder of personal finance startup NerdWallet, were a little taken aback by investor interest in their fintech-focused early-stage venture firm, Better Tomorrow Ventures , or BTV.

Changes in the Venture Capital Funding Environment

Both Sides of the Table

The other major trend of 2012–2015 was the entrance of “non VCs” into late-stages of venture capital , which mostly consisted of hedge funds, mutual funds, corporate investors, sovereign wealth funds and even LPs doing direct deals. These are extreme positions and often the deals settle in between but it can be U-G-L-Y and the financings are at times coupled with changing management teams.

It’s Morning in Venture Capital

Both Sides of the Table

Many observers of the venture capital industry have questioned whether its best days are behind it. There are obvious reasons the industry has had less-than-desirable returns, including: massive over-funding of the sector, huge increases in inexperienced venture capitalists that took a decade to peter out, and the massive correction in the value of the public stock markets that closed many exit opportunities for half a decade. This article originally ran on PEHub.

Fintech VC keeps getting later, larger and more expensive

TechCrunch

The venture capital market appears to be getting later, larger and more expensive. Venture capital getting later and larger was something we saw repeatedly in our examinations of what happened in Q3 2020 more broadly.

Study finds most big open-source startups outside Bay Area, many European, and avoiding VC

TechCrunch

Not from individuals, not from institutions and not from venture capitalists. In 2017, Battery Ventures published its own BOSS Index, but the index was abandoned. Of course, open-source doesn’t mean these companies will never monetize or not go on to raise venture capital.

OpsLevel raises $5M to fix DevOps

TechCrunch

The company, which was co-founded by John Laban and Kenneth Rose, two of PagerDuty’s earliest employees, today announced that it has raised a $5 million seed funding round, led by Vertex Ventures.

Financial institutions can support COVID-19 crowdfunding campaigns

TechCrunch

Before considering how financial institutions can assist with crowdfunding campaigns, we must first look at the diverse array of impressive results from this financing option during the pandemic. Doing so will ensure fair and equitable financing for all, at least, in theory.

Venture Capital Q&A Session

Both Sides of the Table

We received so much positive feedback from our This Week in Venture Capital show walking through valuation calculations & term sheets that we decided to do a Q&A show this week to address topics that entrepreneurs want to learn about. Mike Stern (wasn’t sure which one so leave a comment if it’s you): Q: “is it possible to sell your startup without venture investment if the company has big traction and a large user base?&#

What Is Equity Financing? – Types, Sources, Pros & Cons

Feedough

It also involves a lot of money; and this money is generally sourced by taking loans (debt financing) or selling equity (equity financing). On the other hand, equity financing is usually a go-to-strategy for most founders to raise funding, get strategic guidance, and run a successful long-term startup. But what exactly is equity financing, how it works, and what are its sources? What Is Equity Financing? How Does Equity Financing work?

Instead of sticking a fork in the venture market, realize. there is no fork

This is going to be BIG.

venture capitalists are now asking tougher questions about start-ups' revenue and profits.". David's firm most recently participated in the $77 million second round financing of SoFi, a one year old startup focusing on student loans. I suppose, more specifically, the bubble ended in the last two weeks of September--right after this financing. The venture process just takes time--many rounds take three months to close, if not more. Venture Capital & Technology

4 takeaways from fintech VC in Q3 2020

TechCrunch

Adding to the trend of venture getting bigger — and later as unicorns age without graduating to the public markets — the same report noted that fintech investment from $100 million rounds grew 24% compared to Q2, while investment in the space from smaller deals fell 16% over the same timeframe.

Revisiting Paul Graham’s “High Resolution” Financing

Both Sides of the Table

When I first read Paul Graham’s blog post on “High Resolution&# Financing I read it as a treatise arguing that convertible notes are better than equity. Legal costs of early stage financing should be cheap – this is one of the final remaining arguments for convertible debt but even Paul acknowledges that this is no longer necessarily the case: “Different terms for different investors is clearly the way of the future.

Trust & Will raises $15M as digital estate planning hits mainstream

TechCrunch

Now, the startup is returning to the capital trough, picking up a $15 million Series B led by Jackson Square Ventures and a bunch of other firms listed below. Returning investors included Link Ventures, Rise of the Rest, WTI, Techstars Ventures, Luma Launch, and Halogen Ventures.

MSCHF’s Push Party raises an unconventional seed round at a $200 million valuation

TechCrunch

As part of its latest stunt, MSCHF, a venture-backed creative studio that’s smarter and more audacious than most, is poking a little fun at the venture industry itself — and perhaps publications like TechCrunch, too.