Short summary of Venture Deals

This is a thorough and definitive book giving an overview of how actually venture capital works. It covers fundraising process from data room preparation to M&A deal details (or tips on dealing with Investment Bankers).

But it wasn’t the details on various points of Term Sheets nor prospects of JOBS act or Rule 506 (b) which I find most useful and insightful. It was an overall vision of Deal which emerged in my brain after reading this book. Now I can definetely see the Deal as a beautiful construction of risks, expectations, negotiations and paperwork finlazing the vision which can be rigoriously discussed and bargained about.

Now I see whole story of common and preferred stocks, liquidation preferneces, venture debt and warrants as tools for laying out the prioritization of interests, which are connected to risks which parties are taking on on different stages of a company lifecycle.

And on top of that, authors mention that it can make total sense to play a Fornite match during dull negotions while adversary might be trying to drown you in details.

Worth reading to anyone who’s going to be involved into one more venture deal anytime soon.