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Update on Earlier Post: 15 Common But Avoidable Mistakes

You may have read my earlier post entitled Doing it Right the First Time:  The 15 Most Common, but Avoidable, Mistakes Made by High Growth Start-ups.  I wanted to add some additional articles/posts I’ve read since then that add some flavor to my post.  Check out the following: When to Fire Your Co-Founders, by Simeon [...]

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Doing It Right the First Time: The 15 Most Common, but Avoidable, Mistakes Made by High Growth Start-ups

Imagine you are half-way through due diligence on your Series A round and the venture fund’s counsel realizes that you never complied with federal and state securities laws when you raised angel money.  Or, imagine your early CTO hire does not have the level of experience he/she professed in the interview or on his/her resume and the company is [...]

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Board of Directors vs. Board of Advisors

The basic difference between a board of directors and a board of advisors is that the former is a legal requirement and has fiduciary duties to the shareholders of the corporation and the latter is not a requirement and bears no legal responsibility to the shareholders of the corporation.  The board of advisors concept was [...]

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Corporations or LLCs: Which Do VCs Prefer?

In short, I would say that being structured as an LLC rather than a corporation will never turn a venture capitalist or angel investor away from a great investment opportunity.  That being said, I believe that venture capitalists still prefer to invest in a corporate entity rather than a limited liability company.  If you intend [...]

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What’s The Difference Between S-Corps, C-Corps and LLCs?

Here’s some quick information on the difference between S-Corps, C-Corps and LLCs.  This is meant to be a summary rather than gospel; entire chapters have been written on this topic elsewhere.  The first thing you should know is that people run their business through a corporation or limited liability company because they desire to limit their liability to third [...]

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