james_alonso

4 ms·

1. 1.▲
   by james_alonso 13y ago

   This depends on how the liquidation preference is structured. Sometimes each new Series is made more senior than the prior series, so the last money in gets paid first - in that case if the last investor put in $100m they would get it all
2. 2.▲
   by james_alonso 13y ago

   but in the worst case with the convertible note, the investor gets their money back. and often but not always, the note will also provide that if the note matures hasn't been a QFE, then the note can convert into common stock.
3. 3.▲
   by james_alonso 13y ago

   Right, employees are getting common stock so they don't get to jump to the front of the line when a company is sold. But they are also paying the common stock price, which is a fraction of the price paid by the preferred stock, so it
4. 4.▲
   by james_alonso 14y ago

   Small thing, but it would be a big help if you could expand the font choices for your template maker - I could definitely see myself using this but would need to be able to drop in text in Times New Roman.
5. 5.▲
   by james_alonso 14y ago

   He's talking about early-exercise stock options vs instalment exercise stock options. Early-exercise let's you exercise the shares from day 1, before they're vested. It starts the clock running on long-term capital gains treatment, so you