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You're not happy with an equity investor thinking that his investment should receive priority liquidation preference? Like I understand he might not come across
by huac 11y ago
You're not happy with an equity investor thinking that his investment should receive priority liquidation preference? Like I understand he might not come across as a good guy. But his comments are specifically about the scenario where a company fails - should the investors or should the founders have preferential bankruptcy treatment? What else could a VC say?
- JamesBarney 11y agoThe founders of Secret did not withdraw their money after the bankruptcy but during the fundraising previous to the bankruptcy. Liquidation preference during a bankruptcy event is completely orthogonal to "Should founders give back money they got from selling their stock to investors if the stock later tanks?".