Making venture math easier

By Rick Colosimo / August 5, 2016 /

I recently launched a preferred financing calculations tool for you. It’s an online spreadsheet for you to enter some basic capitalization information, a target pre-money valuation, and a target investment amount. It then shows you the results for your cap table. Some inherent things about venture math that are embodied here but that you might…

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Are convertible notes pre-money?

By Rick Colosimo / February 23, 2016 /

How should I account for convertible notes of a company before I invest? Convertible notes aren’t new; they’ve been around for over 15 years, mutating from their original form as bridge notes used by VCs to provide short-term capital to a company while a financing deal was pending. But people still get confused when it…

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Simple cap table for VC round calculations

By Rick Colosimo / October 23, 2013 /

Over the years I’ve had many occasions to figure out the price of an offering of preferred stock for a typical venture funded startup. This is different from, and definitely not to be confused with, the valuation of the company on a pre-money basis. That’s a topic for a later post.  In its most simple…

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