4 ms·
No opinion on the product, market, etc. But two business lessons: Never sign a 'no-shop' agreement unless the other party covers your burn rate during the no-s
by ridgeguy 9y ago
No opinion on the product, market, etc. But two business lessons:
Never sign a 'no-shop' agreement unless the other party covers your burn rate during the no-shop period. Burn gets paid weekly, one week in advance. A missed burn payment auto-terminates the no-shop in seven days. This protects your enterprise and screens against tire-kickers.
Never assume a deal is done until the check or EFT clears. Doesn't matter how good the vibes feel. I lost a $10M scale-up round when (Big ChipCo) pulled its "solid commitment" less than 24 hours before the signing meeting. I do feel your pain.