Participating Liquidation Preference
topic on 1 show · 2 statements across 2 episodes
2 statements about Participating Liquidation Preference, every show
Kupor: Participating Liquidation Preferences Are Rare in Silicon Valley Deals
“Now, participating is slightly different, and it's actually much more advantageous to the venture capitalist, and quite frankly, deleterious for the entrepreneur. We generally do not see it very often, particularly in Silicon Valley, but it's good for you to u…”
Participating liquidation preferences are fundamentally unfair to founders
“Fundamentally, you know, and I say this in the book, like, I think that's very unfair to the entrepreneurs and to the common shareholders, because liquidation preference is really intended to protect your downside, and so it's not obvious to me.”