Papa Seeded Toast With $500K Expecting an Early Acqui-Hire
Steve Papa · Steve Papa – Entrepreneur's Perspective on Venture, Venture is Eating the Investment World 13 (Capital Allocators, EP.244) · Apr 4, 2022 · at 33:25
Steve Papa explains the terms and structure of his seed investment in Toast.
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“I'll commit the first 500 K. If you pay me that back in the next few years, you'll get most of the equity back. Pretty aggressive terms because it was going to be an acqui-hire and I should get some return if it is. 250 K into that, they started to displace the industry leaders, their first 10 prospects. I was like maybe there is something more here, and so I committed more capital.”
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