ENFB 4190 final (quiz) 25 points
12-15 MC - Correct Answers -
ideally you justify 5-7x valuation is by - Correct Answers -looking to the future, and
taking pro forma valuation
in a real negotiation 4-5 hours would be spent on - Correct Answers -pro forma studying
he would have preferred the board representation would have some from - Correct
Answers -less common
bill jones should have the options to be granted - Correct Answers -5-6% of options
pool, no discussion of the vesting schedule
deal ended up being - Correct Answers -5 million pre,
1x liquid, 5% cum D no warrants
Corman thinks that it should be a 8-9 million valuation
when raising seed series a and B their are different kinds of debt that can come into
play - Correct Answers -debt that becomes available at each of these stages
series A , losing money, no means of repayment - Correct Answers -venture debt-
usually from a commercial bank
installment loan, interest only for 3-12 month 3 year term
usually only a 36 months loan, usually from month 7-36 your charged amortization and
-collateralized by all assets, first claim to all assets
-market interest rate + penny warrants
if their is another lein, then it is not uncommon for venture debt to take the place as the
first person
12-15 MC - Correct Answers -
ideally you justify 5-7x valuation is by - Correct Answers -looking to the future, and
taking pro forma valuation
in a real negotiation 4-5 hours would be spent on - Correct Answers -pro forma studying
he would have preferred the board representation would have some from - Correct
Answers -less common
bill jones should have the options to be granted - Correct Answers -5-6% of options
pool, no discussion of the vesting schedule
deal ended up being - Correct Answers -5 million pre,
1x liquid, 5% cum D no warrants
Corman thinks that it should be a 8-9 million valuation
when raising seed series a and B their are different kinds of debt that can come into
play - Correct Answers -debt that becomes available at each of these stages
series A , losing money, no means of repayment - Correct Answers -venture debt-
usually from a commercial bank
installment loan, interest only for 3-12 month 3 year term
usually only a 36 months loan, usually from month 7-36 your charged amortization and
-collateralized by all assets, first claim to all assets
-market interest rate + penny warrants
if their is another lein, then it is not uncommon for venture debt to take the place as the
first person
