We are now getting into the juicy stuff – economics of the deal. When discussing the economics of a VC deal, one often hears the question “What is the valuation?” While the valuation of a company, determined by multiplying the number of shares outstanding by the price per share, is one component of the deal, […]

Chapter 3 of Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist is a transitional one that sets up the next few chapters on Term Sheets. At the end of 2005, we participated in a financing that was much more difficult than it needed to be. All of the participants were to blame, and […]

In Chapter 2 of Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist, we cover the basics of the VC fundraising drill.  Your goal when you are raising a round of financing should be to get several term sheets. While we have plenty of suggestions, there is no single way to do this, as […]

On day two of our romp through the table of contents of Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist, we cover the various players involved. While it might seem like there are only two players in the financing dance—the entrepreneur and the venture capitalist—there are often others, including angel investors, lawyers, and mentors. […]

Every day for the next two weeks we’ll give you a small taste of our new book Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist by giving you the overview of each chapter along with the titles of each subsection. Of course, our goal with this is to be good book salesmen and encourage […]