After years of increasing acceptance of and reliance on convertible note financings as a mechanism for funding early-stage companies, we have noted a clear emerging trend away from such transactions (and others like them,...more
7/15/2016
/ Capital Raising ,
Conversion ,
Convertible Debt ,
Early Stage Companies ,
Entrepreneurs ,
Equity Financing ,
Investors ,
Preferred Stock Financing ,
Qualified Small Business Stock ,
SAFE ,
Seed Financing ,
Startups ,
Term Sheets ,
Valuation
It turns out that all of the boasting about the Greater NYC metro region rapidly becoming that heretofore elusive “Silicon Alley” is an emerging reality. Our area scored a record year in 2015 for venture capital and angel...more
Acquiring a startup often provides the acquirer with access to new markets, products, solutions and services, as well as innovative ideas and a pipeline of future products. While the idea of acquiring the “next big thing” is...more
Only recently, we debated the merits of the SAFE (Simple Agreement for Future Equity), an alternative funding mechanism for early-stage companies designed to replace the industry-standard convertible note financing....more
As counsel to scores of companies in capital raising mode at any point in time, my colleagues and I regularly are asked questions by entrepreneurs regarding the valuations and other terms they should expect to receive from...more
On March 25, 2015, in a long-awaited action by the SEC, the regulatory agency finally made a bold move intended to facilitate access to capital for entrepreneurial, high tech startups and other smaller companies. Pursuant to...more