Tag Archives: startups

  1. Unfollow the Leader: Angel Investors Follow Their Own Investing Path

    We hear about the big names, like Sean Parker committing $250M to immunotherapy or Bill Gates investing to find a clean-tech miracle, but here’s a statistic that might surprise you. For all of the talk about innovation, less than 0.1% of the $53 trillion in assets under management goes to early stage science and technology…

    Continue reading
  2. Reg A+: It’s Already Helping Our Case!

      There’s a been a lot of anticipation building up to the passing of Regulation A+ rules by the SEC as part of the JOBS Act. The original Regulation A allowed companies to raise up to $5 million dollars in registration exempt public offerings in a 12-month period. The update increased the funding ceiling to…

    Continue reading
  3. Do You Really Know What’s in Your Note Purchase Agreement and Convertible Note?

    By Ralph Turlington Convertible notes are used for many early stage investments to protect the interests of both the start-up and note holders. They are most common for start-ups to use when raising initial outside-funding, after the family and friends of the entrepreneurs have already invested. Convertible notes are relatively inexpensive to draft and usually…

    Continue reading
  4. Earn $10 Million in an Investment, AND Skip the Taxes!

    By Ralph Turlington Milton Friedman once said, “Nothing is as permanent as a temporary government program.” This applies to the government’s handling of the U.S. Tax Code as well as more visible programs. In 1993, the federal government established Section 1202 in the Internal Revenue Code (IRC). At that time it allowed an exemption of…

    Continue reading
  5. Does a Start-up’s Corporate Structure Really Matter to Investors?

    By Ralph Turlington The corporate structure of a startup is something that can easily get overlooked when considering an investment opportunity. Currently, the two most common business entities are the LLC and the C Corporation. There are also S Corporations that have elements of each; however, they are quite rare when it comes to startups…

    Continue reading