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What Is Preferred Equity Financing?
Most start ups sell a part of their company to raise money. You cannot raise a meaningful amount of money by selling common stock, so your option is to sell another class of stock called preferred stock. The other thing that i think has changed a lot over the years is focus. I don't ever remember anybody ever noticing how much time it took to do these financings in the past,. It's not in anyone's best interest for people to be spending a lot of time fund raising. Bright investors are being expected to take their money and turn it into a billion dollar business. Whether or not you are succeeding at that endeavor - communication is critical.