If you're $10MM pre-money and raise $5MM, you give up 1/3, not 1/2 of the equity... | Hacker News

Hacker Newsnew | past | comments | ask | show | jobs | submit

sokoloff on April 8, 2014 | parent | context | favorite | on: Reasons Not To Raise Venture Capital

If you're $10MM pre-money and raise $5MM, you give up 1/3, not 1/2 of the equity. The preference doesn't mean the investor gets more shares.

Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact