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Liquidity for the founders, early employees and previous investors can also be a reason to have another funding round.
by andruby 11y ago
Liquidity for the founders, early employees and previous investors can also be a reason to have another funding round.
- djhn 11y agoWhat kind of situations would result in previous investors looking for liquidity? Assuming it is a trade for equity, it would be counter-intuitive do divest a fast-growing company if you are at least risk-neutral, which VCs should be?
- andruby 11y agoNot VC's. But perhaps friends, family or fools who helped on a seed round. Granted, in the case of Github this seems very unlikely.