Let’s say I’m incorporating a new startup as a C-Corp with 10 million shares at a value of 0.001 per share. I’m incorporating a C-Corp because I’m planing to raise funds in the short term. Because I’m starting the start-up with my money and I’m planing to bootstrapping at least for 6 months, my question is about: in what moment I fund/inject the startup with my money? 1) Let’s assume I wanna own 60% of the start-up. Do I have to deposit $6,000 in the start-up bank account? 2) Assuming the (1) it’s correct. Let’s assume in the sixth month I need to inject more money to the start-up from my pocket again. What happen if I want to add more money to the startup? that shares change their value? Do you have any links for on-line courses or books about this topic?
So basically you are not correct. I think you need to gain a better understanding of the basics of capitalization. These should help:
http://www.axial.net/forum/business-valuation-intro-pre-post-money-valuation/
http://avc.com/2009/11/valuation-and-option-pool/
Answered 9 years ago
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