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you can negotiate in advance a buyout at the next fundraise event, like if he raises 2 mil you will get 200k in exchange for the 14. I will note that you should
by dustingetz 1y ago
you can negotiate in advance a buyout at the next fundraise event, like if he raises 2 mil you will get 200k in exchange for the 14. I will note that you should try not to anchor on the safe cap, it’s not an equity valuation, the company FMV is something like $900k even with the revenue, valuing your 15% at 135k which seems about right. The problem with this is the seed investor may not like it but maybe the remaining founder can dilute an extra 200k from angels to arrange the buyout w/o damaging perception of the round? idk, the right lawyer can help here