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Investor Connect Podcast

Investor Connect is for investors interested in learning more about investing in startup and growth stage companies. Experienced investors share their experiences and advice with those who are considering an investment into startups and growth companies. It includes a podcast series of interviews with investors to inform others about the process of funding startups as well as a resource list and a discussion board.  

Topics include sourcing, analyzing, and researching companies. Other topics include valuations, terms Sheets, board of directors, board of advisors, due diligence, syndicates, venture capital, angels, angel networks, family offices, crowdfunding, exits, and more.

Investor Connect is a community program. We welcome your suggestions for speakers and topics which you can send to us through the Contact page. No registration is required to use the resources.  Discussion boards are available to post and answer questions about startups and growth company investing through which registration is required.

Investor Connect is a program under the Texas Open Angel Network which is a 501(c3) non-profit dedicated to the education around startup funding.

Disclaimer: Hall T. Martin is the Director of Investor Connect which is dedicated to the education of investors for early stage funding. All opinions expressed by Hall and podcast guests are solely their own opinions and do not reflect the opinion of Investor Connect. This podcast is for informational purposes only and should not be relied upon as a basis for investment decisions.

Jan 30, 2020

Who should have access to the cap table in a startup?

The Cap Table which shows the ownership of each investor and those from the company is reserved for investors, board members, the CFO, and the corporate attorneys.

For employees, you want to create a culture of openness.

Employees and other shareholders get visibility into their ownership but in general they cannot see the ownership of others.

You want to discourage employees buying/selling shares with each other or investors as they should receive liquidity with everyone else.

On another note, what is a down round?

A down round is when a startup accepts an equity investment at a valuation lower than the previous established valuation.

This comes from raising too much capital at too high of a valuation previously.

Those who have a burn rate that is too high or have pivoted to a new business model may be subject to down rounds.

This hurts previous investors, founders, and employees whose options are now worth less.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today!