Startup Finance
Startup Acquisition: What Happens to the Stock When You Sell Your Company
Explore the complexities of startup stock during acquisitions with this guide, detailing types of deals, legal and tax implications, and strategic insights for stakeholders.
by Michał Kowalewski • 7 min readLiquidation preference: A Guide For Startup Founders
In this article we dig deeper into liquidation preference in startup deals - how can it impact the shareholders and founders during a liquidity event.
by Capbase Staff • 7 min readWhat is a down round in startup financing?
Find out what is a down round, why they happen, what its implications are for a startup, what are the anti-dilution provisions, and what are alternative routes you can take to avoid a down round.
by Michał Kowalewski • 7 min readPre-Money vs. Post-Money Valuation Explained
A beginner’s-level introduction to pre and post-money valuation tailored to startups incorporated in the United States.
by Greg Miaskiewicz • 7 min readWhat is a 409A Valuation? Startup Stock Valuation Explained
409A valuations are independent appraisals of a startup's common stock. Startups should use an independent, outside valuation firm to get a 409A valuation before offering stock options to employees to avoid fines and legal issues with the IRS.
by Greg Miaskiewicz • 9 min readHow to Invest Your Own Money into Your Startup
Startup founders inevitably cover some of the costs of getting started out of pocket. Learn how you can stay above board if you reimburse yourself for corporate expenses and invest money into your own company.
by Greg Miaskiewicz • 4 min readHow To Get an Employer Identification Number (EIN) For Your Startup
An employer identification number or EIN is essential to doing business and you will need to get an EIN for your startup before opening a bank account, paying taxes or hiring employees.
by Capbase Staff • 7 min readHow To Prepare Your Startup For Due Diligence
A breakdown of the due diligence process for startups, from early stage fundraising to acquisitions. Learn how to breeze through due diligence and close your financing deals quickly.
by Capbase Staff • 7 min readSetting Up A Bank Account for Your Startup
Learn why you should setup a bank account for your business and what you should think about when choosing the right banking partner for your startup.
by Greg Miaskiewicz • 5 min read