How much of the company should I expect to sell?

There is a range, depending on several factors. In general, the more stable the company, the less you need to give up in terms of equity.

How mature the company is, where you are in development, and what partnerships you have established all combine to influence how much of the company we feel we require to secure our partners' investment.

Potential counts for something, but execution, and delivering on potential is what investors are looking for. The more you have already delivered, the better off you will be as a company, and the more investors will want to give you their money.

For risky ventures, it's not unheard of to give 50% of the company in the first round. For a company that has established the partnerships and validated the technology, less is possible.

« Will the VC take over the Board? | Main | What are the criteria for Draper Triangle investments? »