Ideas on how to Structure Your Company & Target a Term Sheet to Raise Capital
New investments are an exciting opportunity for both founders and investors alike. For the entrepreneur, the right investment at the right time from the right type of investors can fast-track growth and make it easier to manage the many challenges that arise when expanding a new venture. For the investor, providing capital is not only a great way to make a return, but also an opportunity to have a helping hand in the next big, exciting thing.
How will you structure your company from the get-go to ensure you give yourself the ability to easily grow and take on investors? What type and class of shares?
Does the BC Tax Credit program make sense for you? How to accomplish? How will it impact investors? Should you apply as an EBC?
If you can’t answer these questions, you may find yourself stuck in a contract that reduces your profits, cedes too much control, and ultimately drains your enthusiasm for building your company.
But what if you had a better understanding of investment documents, the ability to recognize a good deal when you see it, and feel more completely at home negotiating big-dollar investments that could generate returns for years to come?
That’s what you’ll learn how to do in this four-part series.
Entrepreneurs: you will learn how to properly structure and properly document your company; how to position yourself for future due diligence; and how to position yourself for growth and eventual exit so you don’t get caught in a cul-de-sac. We will also dive into the venture capital tax credits in BC.
Investors: will learn what to look for in a corporate structure, corporate documents, term sheet (understanding this) and how to discuss valuation with the Entrepreneur. We’ll review what a term sheet is and how to negotiate it, how to determine if the Entrepreneur’s valuation is fair, and how to conduct a due diligence audit.
The Capital Idea is a series of interactive lunch and learns for Entrepreneurs and Investors. Feel free to sign up for all of them or just one, they are independent of each other but also build on each other. Future dates are June 26th, July 11th and then tbd for Sept and Oct. Details will be posted shortly.
- Practicing business and technology lawyer
- Former President of the Premier’s Technology Council of BC
- Experienced board member (current and past) of public and private company boards including QHR, Vecima and ProSmart
- Co-founder of a venture backed software company that raised over $30M
- Former CEO of a fintech company
- Hands-on work with many mergers and acquisitions, fund creation, venture capital financing in a range of industries
- An active investor
Other Speaker to be announced.
- 10 minute intro
- 30 minute talk
- 15 minute Q&A
- 5 minute wrap up
June 6, 12:00 - 1:30pm
Location: Okanagan coLab