InfoScout skipped a Series C round to avoid taking excessive dilution
Jared Schrieber · 1053 Me: Did You Sell To Vista for $250m? CEO:"Your math astute" · Jun 12, 2018 · at 18:19
Jared Schrieber, CEO of InfoScout, explains why the company opted for venture debt over growth equity prior to being acquired.
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“The growth equity firms wanted to write really large checks and we didn't need that much money... Minimum, thirty million. And we felt like we needed 10 to fifteen million. If we took thirty million from a new lead, we'd have to do pro rata for existing investors. So total cost of the round was going to get us closer to forty million. Level of dilution just didn't make sense to us”
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