Tag Archives: startup fundraising

Revenue Based Financing Startups – How Does It Work?

in Articles, Fundraising, Start-ups

Introduction You can look at revenue-based financing through the lens of an investor and a lender. Revenue-based financing (RBF) helps investors tap into investment opportunities with high returns. However, these opportunities come with risks since late repayments impact revenue growth.   Conversely, a revenue-based financing model is not for every company. RBF model is suitable for […]

Is Y Combinator Worth It in 2023?

in Articles, Fundraising

The Y Combinator is a U.S.-based startup accelerator started in May 2005. It has become one of the best accelerators, having funded companies like Airbnb and Coinbase. In this article we see if Y Combinator is worth it. Building a successful startup requires tremendous hard work, a bit of luck, and extensive guidance. Most startup […]

Terms Sheets 101: Drag Along Rights

in Articles, Term Sheet, Term Sheet

Introduction Drag-along rights are one of the common clauses in term sheets, that allow majority shareholders to force the remaining minority shareholders into a prompt sale. But this is based on the requirement that minority shareholders get similar terms and conditions like majority shareholders. After equity distribution between shareholders like the investors and founders, drag-along […]

What is a Convertible Note: Everything You Need to Know

in Articles, Fundraising

Introduction Convertible notes are incredibly popular and practical for raising funds by startups. But startup founders often don’t understand the mechanics and fundamentals of convertible notes. The truth is that most investors don’t want to invest in startups that don’t guarantee a significant return on investment. Startups are inherently risky! From the perspective of startups, […]