These days, it seems like everyone is offering some kind of valuation service. From well-known fintech brands, to local merchant banks, firms have been quick to capitalize on this growing opportunity to supplement sales with complementary 409A valuation esrvices as firms continue to stay private longer. However, as we have discussed in previous series, not […]
Congratulations! After grueling years spent building your business from the ground up, you are in a sale process. If this is your first time going through this kind of process, the fees can be eye watering: lawyers, accountants, and investment bankers, to name a few. How can you make sense of this, and whether you […]
Venture First supports entrepreneurs, VC Portfolios, Family Offices and Estates with the many facets that go into their valuation. Many of the companies Venture First works with use equity as a form of compensation. Doing so has tax ramifications for both the Company and the employee. Internal Revenue Code (IRC) 409a requires that equity-based compensation, […]
Learn the difference between kinds of stock options and what to look out for when issuing them.
Put simply, runway is cash on hand divided by monthly burn rate. With such a simple definition, it’s surprising to read that 29% of failed startups list “Running out of Cash” as one of their primary reasons for going under. And while it’s unwise to associate causation with correlation, a number of these startups might […]
I received a call last week from a friend who inherited her family’s business. Her father passed away unexpectedly with no succession plan. Even though the business has been in the family for decades, my friend didn’t know how to determine her best next steps. I was happy to sit down with her and talk […]
Often times growth-stage companies are so heavily focused on scaling and validation that business functions like document collection and management are pushed to the side. But when it comes to preserving those precious few months runway, a prolonged due diligence process is the last thing a venture needs. What is a Data Room? A data […]
A memo from our Entrepreneur in Residence, Steve Huey on the current Black Swan event.