Strategy - Founder Collective. Here’s how we do it: Peer-to-Peer investing Everyone at Founder Collective has started a technology company. We love building stuff. We aren’t investors who sit in an ivory tower analyzing spreadsheets. We’ve lived through the emotional roller coaster of leading startups so we have huge respect and empathy for our founding teams. We think of it as peer-to-peer investing. Right fund for the seed stage Most large venture funds are not structured in a way that is well aligned to founders at the beginning. We dilute alongside our founders over time. Collective Support Starting a company is tough. We’ve been there. That’s why we go to such great lengths to make sure founders and CEOs in our portfolio can interact and learn from each other, both online and offline. With over a hundred companies and hundreds of exceptional founders, the thing we love the most is the founder “collective” community: a willingness of our founders to help each other.
Executive Summary - Artist and Art Materials USA 2009 (PDF file) - International Art Materials Association. World Internet Usage Statistics News and World Population Stats. If I Launched a Startup. Here’s what I’d do in the beginning: Incorporation (1) Entity Choice: Corporation or Corporation (2) State of Incorporation: Delaware (3) Authorized Shares in Charter: 10,000,000 Shares (4) Type of Shares: Common Stock (5) Par Value of Common: $0.0001 (6) Initial Founders Issuance: 8,000,000 Shares (7) Founders Equity Split: Depends on the Team, But Quickly and After the Awkward & Difficult Conversations (8) Vest Founders Shares? : Hell Yes (9) Vesting Schedule for Founders Shares: 4 years with a One Year Cliff (10) Consideration for Founders Shares: Cash & IP (11) Handling of “Lost Founders”: Lock Down the IP (then Wish Them Well) Raising Capital (1) Length of NDA: 0 pages (2) Fees Paid to Pitch my Startup: $0 (3) Investors: Accredited Investors (4) Structure of First Capital Raise up to $1MM: Convertible Notes 4 Years with a One Year Cliff is the typical vesting schedule for startup founders’ stock.
Authorized Shares is the maximum amount of shares of stock a startup can issue. DressRush Pitch Deck. Build Complete Financial Statements for Your Startup. Five year financial model template for fundraising and business planning for startups and entrepreneurs. Built for subscription, SaaS (consumer and enterprise), ecommerce, retail, hardware, manufacturing, marketplaces, apps, physical products, and more types of businesses. Forecast revenues, operating expenses, hiring plans, cash and runway, financial statements, funding needs, cap table, valuation, and more. Creates summaries and key reports using industry-standard metrics to help you clearly communicate your business. Made for founders, executives — CEO, CFO, COO, VP of Finance — or advisors, mentors, or consultants that need to create a model for an idea-stage, pre-seed, seed, A, or B stage company.
Five year financial model template for fundraising and business planning for startups and entrepreneurs. Built for subscription, SaaS (consumer and enterprise), ecommerce, retail, hardware, manufacturing, marketplaces, apps, physical products, and more types of businesses. The Resource for Entrepreneurs. How to Estimate Ad Revenue When Using an Ad Network? | LinkedIn Answers. Projecting Online Advertising for Business Plans. As a consultant to tech startups, I’ve seen entrepreneurs planning online ventures confused when it comes to projecting advertising revenue.
Having done ad projections with the benefit of live models from which to extract real data, I offer the following guidelines on how you can calculate revenue projections for your business plan. Baseline Criteria: Let’s assume that for Year One you will only use third-party ad-serving networks, instead of direct selling. This is as simple as adding their code snippets to your pages, to automatically feed their ads to your site. Because it’s rare to find one service that can fill all your inventory, I recommend a primary service and a backup service.
In terms of ad providers, I’ve used Contextweb for CPM and Google AdSense for CPC. Year One Assumptions: 2 CPM ad slots per page80% of your inventory filled (a common percentage with a 2-service approach)$1.20 earned per 1,000 pages viewed You start by projecting monthly page views. Future Years: How To Calculate Lifetime Value. Co-Founder Equity Calculator. Employee Equity: How Much? The most common comment in this long and complicated MBA Mondays series on Employee Equity is the question of how much equity should you grant when you make a hire. I am going to try to address that question in this post. First, a caveat. For your first key hires, three, five, maybe as much as ten, you will probably not be able to use any kind of formula. Getting someone to join your dream before it is much of anything is an art not a science. And the amount of equity you need to grant to accomplish these hires is also an art and most certainly not a science.
However, a rule of thumb for those first few hires is that you will be granting them in terms of points of equity (ie 1%, 2%, 5%, 10%). To be clear, these are hires we are talking about, not co-founders. Once you have assembled a core team that is operating the business, you need to move from art to science in terms of granting employee equity. We have developed a formula that we like to use for this purpose. Senior Team: 0.5x. Alliance of Angels - Presentation Guidelines. Tell Your Story Well A successful pitch is like an engaging movie trailer – it should clearly convey the gist of your business and provoke investors to engage. Be interesting, tell a memorable story, and make heavy use of visuals. 10 – 15 slides are all that’s needed.
Purpose Declare what your company does in a single sentence. Problem Describe your customer’s burning pain point. Solution Describe your product and explain why it makes the customer’s pain go away. Market Size Use both tops-down and bottoms-up.Segment and identify your sweet spot. Business Model Explain how you make money.State your customer acquisition cost and lifetime value. Go-to-Market Describe your sales distribution model.
Traction List current customers, partners and users, as well as your pipeline. Competition List your competitors and describe your economic moat. Team List your founders, key management and advisors. Financials Offer. How I Raised $350k as a Solo Founder using these 4 Email Templates. Online Business Plan Software for Mac and PC - LivePlan. UpStart Bootcamp : Online Course. Angel Investors and Startup Funding. Cutting Up the Founder’s Pie. The Founders’ Pie Calculator By Frank Demmler Several weeks ago, we took a look at the founders’ pie. I noted that frequently the founding team divides 100% by the number of founders. I also cautioned that this is the WRONG WAY! I then went on to identify the factors that should be considered when making these decisions.
Since then, I have had several people tell me that while what I wrote certainly made sense, it wasn’t very helpful. As a public service, I have “invented” a Founders’ Pie Calculator. Its primary benefits are that it provides a way to quantify the elements of the decision making process, and that it appears to be logical and fair. Let’s revisit the factors that should be considered. Idea The company wouldn’t exist if it weren’t for the original idea, and that is certainly worth something, BUT there’s a lot of truth in the saying, “A successful business is 1% inspiration, and 99% perspiration.”
Business Plan Preparation Domain Expertise Commitment and Risk Responsibilities. How to Divide Equity to Startup Founders, Advisors, and Employees. Since returning from MIT back in June I’ve been focusing on the growth of the company. It has been pretty much on mind non-stop for months now. The part that I’d like to zero in on is when you’ve got a high growth company what are some of the best practices out there to distribute equity to the founders, advisors, and employees? Equity for Founders The Founders’ Pie Calculator by Frank Demmler, an Associate Teaching Professor of Entrepreneurship at the Donald H.
The idea behind the calculator is to come up with a weight for each of these five elements and then assign a value to each founder on a scale of 0-to-10. Equity for Board of Directors and Advisory Board When figuring out how to provide equity to advisors, you can use this chart as a guideline. Equity for Employees It’s important to figure out how much equity you give to your employees. By Nevi on VentureHacks.com Number of shares = Meaningless. All this information that I’ve gathered up here seems rather logical. Seedhack Founders Collaboration Agreement. Starting a new company requires inspiring early co-founders to join you in your efforts and then quickly establishing an environment of trust where everyone works hard and fairly shares the upside of any success. To that end, we’re launching the Seedhack Founder’s Collaboration Agreement (download here in .DOC or in .PDF ) which is designed for a newly formed team to agree on what each founder’s shareholding should be as well as how to make sure that each founder puts a continued effort throughout the lifetime of the company in order to keep their equity stake.
The hope is that this document will not only help events like Seedhack, where collaboration amongst team members is key, but also any ‘back of a napkin at a cafeteria’ brainstormed startups where people put a lot of sweat equity in even before they think about forming a ‘formal’ company. A big thank you to Tina Baker from Brown Rudnick for drafting the agreement. Supporting Organizations: Usage of the document: