The Gust Launch Blog

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...

It’s nearly impossible to grow a startup with zero capital. For one, you’ll need to show investors that you’ve contributed to your startup financially at some level. Two, you have to present investors with more than just an idea, and the only way you can turn that idea into a product is by having some money to develop it. To ensure that you achieve these two things and make your money go as far as possible, you’ll need...

In order to facilitate fundraising, easily reward shareholders, and protect themselves from legal liability, most sophisticated founders of high-growth startups incorporate their businesses as Delaware C-Corporations. That’s a great first step, but what many founders fail to realize is that it’s only the first one. Right after incorporating, there are several additional steps and ongoing responsibilities that they must...