Let’s say you’re a first-time entrepreneur and you’ve hit on an idea that is getting some traction and attracting the attention of VCs. You do some research online to familiarize yourself with customary terms and finally get a term sheet from a reputable VC at a valuation you think is fair. Next comes the fun…
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If you are a company that is fundraising, keep in mind that there are a few different levers you can pull to change the amount of dilution that the founders will experience. VCs know about these levers, and they pull them all the time. Let’s look at an example of a lever that you can…
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