When it’s time to hire, startups need a way to incentivize new talent. Since startups can’t afford to compete with the salaries offered by established companies, they usually offer employees equity. In order to compensate employees, the startup will have to create an equity incentive plan (EIP), which is also commonly referred to as an option plan.
Building a startup is a huge undertaking that requires serious effort, time commitment, and resources. Company-as-a-Service provides the critical components founders need to create a fully-functioning business in the form of integrated, scalable packages designed to meet the needs of a company at each stage of its life.
As a founder, you most likely (hopefully) developed some sort of exit strategy when you initially embarked on your startup journey, but you may find yourself faced with an exit opportunity earlier than you anticipated. If a company approaches you and is interested in acquiring your startup in its early stages, this can be incredibly exciting, but it also means that there is a lot to think about. Just because someone is...
Startups need pre-professional fundraising support, but also need to remain viable investments for professional investors. Gust Launch is providing support and addressing potential challenges by introducing a cohesive set of interconnected convertible instruments that allow startups to raise money from “friends and family” sources without damaging their chances (or their equity stakes) when they are ready for professional investment.
While private companies are free to manage their own books however they wish (as long as they pay their taxes correctly), high-growth startups eventually need to organize their books according to standards known as GAAP: Generally Accepted Accounting Principles. GAAP was created and is maintained by the Financial Accounting Standards Board (FASB) for the purpose of standardizing financial reporting. While failing to us...