Why might an investor in an early financing round want to anticipate the need for additional financing

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Why might an investor in an early financing round want to anticipate the need for additional financing rounds even in cases where the entrepreneur and investor agree on the terms for investing?

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Entrepreneurial Finance Strategy, Valuation, And Deal Structure

ISBN: 9780804770910

1st Edition

Authors: Janet Smith, Richard Smith, Richard Bliss

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Question Posted: Apr 30, 2024 01:02 AM

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Why might an investor in an early financing round want to anticipate the need for additional financing

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Even when the entrepreneur and investor agree on the terms for investing in an early financing round an investor may want to anticipate the need for additional financing rounds for several reasons 1 S...View the full answer

Entrepreneurial Finance Strategy, Valuation, And Deal Structure

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