In this episode, Hall welcomes Mikael Krogh, Managing Partner and Founder of Investigate VC. Mikael has experience as both an entrepreneur and investor across four continents, Europe, Asia, Australia, and North America. Investigate is a Singapore-based VC investing in startups with the Network Orchestration business model – companies facilitating information sharing and transactions within their network and sharing the value created with that network.

In this episode, Mikael shares his thoughts on how the industry is changing and evolving. He says we’re at a point where technologies enable disruption of virtually every industry. More than ever before in history, there's an opportunity to launch something with the potential to disrupt the industry you're starting up in. He goes on to say that, if you have an idea that involves AI and big-data analysis, you can have the infrastructure up and running in a matter of two minutes to support that idea. If you had the same idea five years ago, you'd need to build up the physical infrastructure before you could build the product, and this change is an incredible enabler.

You may come across the term warrants in a terms sheet. Warrants are a type of security that gives investors the option to buy more stock over a designated time frame, at a specific price.
 
Three parameters define the details of a typical warrant clause: the term, the coverage, and the price.
 
The term sets the window of time the investor has the option to exercise the warrant.
 
The coverage sets the number of shares the investor is entitled to buy.
 
The price sets the price at which an investor can purchase the shares. This is typically the same as the current price.
 
Warrants are used to ‘sweeten’ the deal by enabling an investor to buy more shares later.
 
Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

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