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Should a Cash-Poor Entrepreneur Give Up Control to Keep Her Start-Up Alive?

24 点作者 mikek超过 12 年前

6 条评论

dmk23超过 12 年前
Giving up 75% of your company to some huckster is absolutely ridiculous.<p>If you give up control the new guy in charge will always be able to get rid of you. You are basically signing up for an employee type of deal, but with a fundamentally broken employment relationship. The real owner will know that you'll be resentful rather than grateful and will try to get rid of you as soon as practical. If your deal on paper is too costly for them they'll find a way to restructure / dilute you in some way to avoid paying out anything substantial.<p>People get desperate, I understand that. But it should be better to just walk away. The real solution though is to plan things through and not get yourself in the situation of "needing" to raise cash or go bust. There are tons of ways to avoid getting stuck is this situation.
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mrcodedude超过 12 年前
It looks like she already took the deal, or at least some variation of it - <a href="http://artuitive.com/recent.html" rel="nofollow">http://artuitive.com/recent.html</a>
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rhizome超过 12 年前
Wow, 250K for 75% with a 15% max earnout for ultimately 40% on her part? That's $60K/yr for her for a handful of possible gravy. Sad story.
mvkel超过 12 年前
She took the deal as written.<p>It's easy to justify early on, convincing yourself the company wouldn't be able to get off the ground otherwise.<p>It's easy to justify even later, when you think about how the company wouldn't be where it is today without that cash infusion.<p>Unfortunately, it doesn't matter if you don't have majority control. It doesn't matter if the company is doing $10mm/year if it got there based on a strategy (driven by the investor) that drives you up a wall. As an entrepreneur, what makes you crazy isn't a lack of funds, it's a lack of control.<p>Conversely, if you and the investor share a similar vision, it's a legitimate partnership that could work well. You sacrificed a lot more equity, but your company is only worth what someone is willing to pay for it.
tudorw超过 12 年前
25% of something is a lot more than 100% of nothing
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wiradikusuma超过 12 年前
It reminds me of a deal with a businessman (but willing to invest): <a href="http://blog.wiradikusuma.com/2011/07/on-using-new-technology-and-setting-up.html" rel="nofollow">http://blog.wiradikusuma.com/2011/07/on-using-new-technology...</a>
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