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angel investing

Should the interest on convertible notes be paid in cash in some cases?

on Tue, 03/08/2016 - 23:09

When startups raise capital from outside investors, one financial structure commonly used is called a convertible (promissory) note. There are several motivations for startups & investors to use this arrangement.

One thing is coming back to bite me, though, and makes me wonder if the terms of it ought to change in common use: conversion of the interest into stock at conversion.

Typically, a note accures interest over the time that it remains a debt.

Viewpoint follows role: 2013 in review

on Thu, 12/26/2013 - 08:45

I left Acquia in the capable hands of its current management team last December after I had the fortunate experience to be tightly connected to TechStars during the Fall 2012 class. That involvement made me wonder whether there might be a business opportunity in building an accelerator for companies using Drupal as a technology platform, and I left Acquia to follow that idea. Fortunately for me, the TS Boston Managing Directors, Katie Rae & Reed Sturtevant, let me sit closely "inside the tent" (their excellent term) that fall to dig deep.

In the end, I decided not build a Drupal accelerator.