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A general rule of thumb is that you have 3 board members at the seed (1 non-CEO founder, the CEO which is typically another founder, and the lead investor). So
by hellcow 1y ago
A general rule of thumb is that you have 3 board members at the seed (1 non-CEO founder, the CEO which is typically another founder, and the lead investor). So you have 1 seat available for investors, whereas you may take 5-20 checks. Not everyone is getting a seat.
At the A you usually expand to 5, adding the lead of the A round and an independent board member. Beyond that, it’s common for the earlier investors to get replaced on the board in future rounds and maintain observer rights.
- algo_trader 1y agoWhat happens if your "lead" angels want to put money but not a board seat?
- bcantrill 1y agoIf you are taking truly no institutional capital, it's a party round -- and unless you have a repeat founder that knows exactly what they're doing (and often even then!), it's a huge red flag.
- toomuchtodo 1y agohttps://techcrunch.com/2022/08/31/lets-talk-about-party-rounds/ https://techcrunch.com/2022/08/31/lets-talk-about-party-roun...