waveid

4 ms·

1. 1.▲
   by waveid 5y ago

   You would be able to borrow against ~10% of your vested shares. So if your vested shares are worth $10mm, you could borrow up to $1mm. Downside Case A: Your vested equity is worth $10mm and you borrow $1mm, but your total vested equity ends
2. 2.▲
   by waveid 5y ago

   I would focus on Seed+ startups backed by well-known VCs, so the failure rate would likely be ~50%. I modeled the probable distribution and it looks like I would return ~10-15% net IRR in a midpoint scenario. Interest rate would be LIBOR +
3. 3.▲
   by waveid 5y ago

   Agree the spirit of the loan is very “option-like.”
4. 4.▲
   by waveid 5y ago

   No involvement or weird terms. Would probably require that you have raised a Series A+ from a decent VC. The spirit of the loan would be such that if your equity value goes to zero, you owe nothing. If the value of your equity appreciates,
5. 5.▲
   Idea: Non-Recourse Founder Loans

   10 points by waveid 5y ago|10 comments