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This Week in Startups

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Navigating Due Diligence in Startup Funding

This chapter explores the evolving landscape of due diligence in startup investments, contrasting the minimal checks of early-stage funding with the rigorous scrutiny required in later stages. It highlights the culture of trust and skepticism among investors, underlining the critical importance of legal clarity and thorough examination of documentation. Through anecdotes and discussions on high-profile fraud cases, the chapter serves as a cautionary tale about the consequences of dishonesty and the challenges faced by startups amidst rising capital demands.

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