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sethlevine.com
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| | | | Quick note: I'm not your lawyer. I'm not giving legal advice in this post. Back in the olden days of venture capital, company boards had wide discretion in pricing company options. As is true today, there was a requirement that options be priced at or above the "fair market value" of the underlying stock (otherwise there would be tax consequences to the optionee and sometimes to the company as well). However the board could determine what that fair market value was and, generally speaking, there wasn't a practical way that these valuations could be challenged. Most boards did some level of work to determine the FMV of a company's stock but generally options were priced between 10% and 15% of... | |
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larrycheng.com
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| | | | I'm coming up on the six month anniversary of this blog, Thinking About Thinking. I've written 54 posts in that time, so about 2 per week. This blog was named after my favorite class in college - which was a multidisciplinary class on philosophy, science, and law. In that vein, I wanted this blog to... | |
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www.startupcompanylawyer.com
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| | | | The formula is: [Series A price per share] = [valuation] / [fully-diluted pre-money shares] Obviously, there are two ways to affect the Series A price per share (and the resulting dilution to pre-S... | |
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mattspitz.me
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| | software engineering musings |