Comment by lenerdenator
9 days ago
Let this be a lesson to anyone investing in a startup: don't give any cash unless there's real corporate governance.
9 days ago
Let this be a lesson to anyone investing in a startup: don't give any cash unless there's real corporate governance.
but the opposite is true too: don't take money from investors unless they let you keep control of your company. for every case like this there are probably a dozen cases where investors took control of a company and ruined it for the sake of making money.
How did they "ruin" a company if that company made money?
Not all humans are driven by the same motivations.
3 replies →
Same with trading your time for stock options (that you hope are eventually negotiable shares); trust is earned in drops and lost in buckets.
Dilution is a real problem. If they want you to act like a Founder, you should have protected equity like one.