Startup Fundraising
7 Types of Startup Investors Who Can Fund Your Company
Find out everything a founder has to know about different types of startup investors, including angels, startup syndicates, VCs, accelerators and more.
by Michał Kowalewski • 15 min readMost Favored Nation (MFN) Clause in Startup Investing: What it is and how it works
Learn what the Most Favored Nation clause means in investing, how it is used in startup financing agreements, and why investors like it so much.
by Michał Kowalewski • 7 min readVenture Debt Financing For Startups
Venture debt financing can give your company access to working capital, while minimizing share dilution. Learn the ins and outs with our complete guide.
by Capbase Staff • 10 min read
What is a Startup Syndicate and How Does it Work?
Learn how startup syndicates work, who creates startup syndicates, and the pros and cons of raising funds through startup syndicates.
by Michał Kowalewski • 10 min readHow Do Venture Capitalists Make Money?
James Hottensen explores the origins of Venture Capital and how VC's make money on each investment. Portfolio construction and logic is also covered with quotes from top-tier venture capitalists from the United States.
by James Hottensen • 7 min readWho Qualifies as an Accredited Investor?
Learn how to raise money from accredited investors while sticking to Reg D guidelines, and how crowdfunding equity can help your startup grow.
by James Hottensen • 7 min readStartup Fundraising: Key Differences Between SAFEs and Convertible Notes
The SAFE has become more popular as a way of financing early stage startups since its creation in 2013. But convertibles notes are still used by investors around the world. We break down key differences between SAFEs and convertible notes.
by James Hottensen • 6 min readWhat is a Signature Block in Legal Contracts?
Most people don't pay much attention to the signature block when a contract is signed. Signature blocks and conventions around signature in legal contracts serve an essential function in determining the validity of a contract such as an investor agreement or stock option award.
by Stefan Nagey • 2 min readHow Startup Equity Works: Common and Preferred Share Classes
Startups typically issue common shares to founders, employees, advisors and consultants; they issue preferred shares to investors as part of venture financing rounds The preferred class of stock in a startup is typically subdivided into series, each representing a different round of financing, like Series A, Series B, and so on.
by James Hottensen • 3 min readHow to Register A Company in the US: Everything You Need to Know as an Overseas Founder
Registering in the US opens the door to venture funding for overseas startups. Learn about the process for registering your company in the US as a foreign citizen, including incorporation, taxes, visas and more.
by Greg Miaskiewicz • 9 min readC Corporation or LLC: Which is the best entity for your startup?
Startup investors strongly prefer to invest in C Corporations over LLCs for tax and diligence reasons. The proceeds from selling stock in startups registered as C Corporations can be tax exempt due to Qualified Small Business Stock exemption.
by Stefan Nagey • 5 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 Stefan Nagey • 7 min read