Understand the Dilution Impact of Early-Stage Investment

When: Thu September 04, 2014 12:00 pm

Organization: The Capital Network

Location: Constant Contact, 1601 Trapelo Rd, Waltham

Speaker(s): Jeremy Halpern - Nutter McClennen & Fish

Website: http://bit.ly/1h4mFS6

In today’s difficult investment climate, entrepreneurs should have the maximum understanding of the impact of proposed financing – before they talk to investors.
This session will not only explain terms such as:

  • pre-money
  • fully diluted equity
  • option pool
  • percentage ownership
  • weighted average anti-dilution
  • full ratchet anti-dilution
  • per share price

but will show you the exact numerical consequences of these difficult negotiating points.

Also in this workshop lunch, you will learn how to build your own capitalization table in a simple, but powerful spreadsheet. BYOL – Bring your own laptop

Once you have your basic cap table built, we will discuss in detail, how to use this tool to understand the dilutive impact of various investment decisions such as:

  • stock options
  • restricted stock
  • early stage angel or venture capital investment
  • down-rounds
  • anti-dilution provisions
  • and more…

Working lunch programs are hosted by TCN’s experts to provide tactical level information designed to accelerate the fundraising process.

Expert:
Jeremy Halpern, Partner, Nutter McClennen & Fish