The Equidam Monthly curates a collection of articles from the best in the industry and delivers it to you every last Friday of the month. READY: learn about the hottest startup trends out there. SET: receive advice from founders and leaders of the most transformative companies. GO!!!: get inspired by successes of people just like you.

fundraising

fundraising a treasure map

Fundraising: A Treasure Map

When it comes to fundraising, entrepreneurs are like  knights on a quest to find the Holy Grail. Out here on the internet you can find many opinions, representing completely different – sometimes contradicting – approaches and philosophies. At the end of the day, how could it be possible to sum up the tears, the effort,…

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Asset based valuation

Why isn’t asset based valuation for startups?

Many entrepreneurs have the misconception that the value of their businesses is the sum of their parts e.g. assets minus liabilities. The value of an early stage 3D printing startup that owns one machine worth $2M and has outstanding debt for $0.5M seems to be the acquisition price of the asset minus the outstanding debt,…

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dilution

Dilution 101: Calculation And Examples

  What is dilution? Dilution is the reduction in the ownership percentage in a certain company as an effect of the issuance of shares. There is a number of calculations to make before getting your final percentage of dilution. Let’s work them out with an example. Let’s say you are the only owner of a…

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convertible debt vs equity

Convertible Debt vs Equity Financing

Do you prefer podcasts? Listen to the audio here. You have probably heard of the concept of convertible loans. Quite frequently convertible debt is considered the better or even easier financing option compared to raising an equity round. Is that really the case? First things first, if you think you need a quick refresher on what convertible debt…

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convertible debt

Convertible Debt: risks and terms to be aware of

Do you prefer podcasts? You can listen to it here.  Gianluca Valentini, co-founder of Equidam, explains why convertible debt is a complicated security that can have drastic implications at the moment of conversion. It is important that founders are very well aware of what will happen when they convert and of its terms. Is convertible debt…

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How To Rock Your Crowdfunding Campaign

This infographic originally apparead on Vound Software Blog How to rock your crowdfunding campaign? We at Equidam have often asked and tried to give an answer to that question ourselves. If you are curious to see what we think we have some really good ideas on The Drivers Of Online Crowdfunding and How To Stand Out…

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how do convertible notes work

How Do Convertible Notes Work [Infographic]

After discussing how to price convertible notes, we realised that there is a simpler way to explain what they are. Convertible notes are quite simple when understood. They basically are a debt that converts into equity when a certain event (trigger event) happens. They have however some common clauses that are key to determining the equity…

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average

Average Discount Rate For A Convertible Note

A few weeks ago, we built and released a convertible note calculator. It’s useful for making scenarios and forecast your equity outcome, but we gave it a twist. Most calculators out there are static, they perform what you, with little financial knowledge, could build in excel in about an hour. Ours is dynamic, it gives…

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Flexibility in Startup Financing: Alternative options

There are several ways to accept external funds from investors. Debt is strict and it doesn’t really match a flexible structure like the one of a startup. However, there are some shortcuts where entrepreneurs and investors might find an agreement which would benefit both parties. The entrepreneur has a wide range of instruments which will…

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