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Entrepreneurs Common Stock

Mintz Edge

A Balanced Approach to Founder's Equity

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When accepting money from outside investors, entrepreneurs are generally asked to give up some degree of control over their start-up, exchanging equity in their company for cash. In an effort to minimize the control they...more

Foley & Lardner LLP

Why Start-Ups Use Convertible Debt Part II: How a Convertible Debt Works

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In Part I of our “Why Start-Ups Use Convertible Debt” series, we discussed one of the typical start-up financing structures, the sale of common stock, along with the issues that should be considered when setting a valuation....more

Foley & Lardner LLP

Why Start-Ups Use Convertible Debt Part I: Common Stock Financing and the Problem of Setting a Valuation

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Most start-up companies turn to friends, family and/or high net worth individuals as the first source of capital to fund their operations. Banks will not lend to these companies since there are no real assets to collateralize...more

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