In the early days of starting a business, you might be tempted to gloss over ownership structure, equity stakes, and other seemingly boring details. After all, you might think, as long as you keep taxes low, paperwork uncomplicated, and partners motivated, better to deal with the big stuff first. But these decisions can have a significant cost down the road, particularly for entrepreneurs who seek outside investors. Read more of my latest column at businessweek.com
Category Archives: Finance
BusinessWeek: Structuring a Business with Investors in Mind
BusinessWeek: Get your personal finances in order before startup
Aspiring entrepreneurs preparing to start businesses will find that savings, credit access, and credit scores matter more than market research and investor presentations
Read my latest story for BusinessWeek
BusinessWeek: Making your business more appealing to lenders
As the recovery limps along, small business owners looking for bank credit and loan officers assessing their applications have their work cut out for them. Read more from my latest story for Bloomberg BusinessWeek.
BusinessWeek: Don’t undercut your equity stake
By Monica Mehta
After a decade’s lull, the IPO is back, stoking dreams of entrepreneurs looking to cash out. Yes, dramatic market swings have changed some game plans recently, but in the first two quarters of 2011, 79 companies issued initial public offerings generating $24.3 billion, more than double the amount raised in the same period last year, according to PricewaterhouseCoopers. Often overlooked by newbies: By the time a company is ready to go public, the founders usually have diluted their personal ownership stakes considerably through previous financing rounds.
Fox: Are public unions loosing influence?
Monica returns to Fox Business Cavuto to discuss growing M&A activity and the declining influence of public unions with legislators.
Posted in Finance, Fox Business, Video
Tagged Fox Business, Monica Mehta, Neil Cavuto
BusinessWeek: Raising Seed Capital Now
BusinessWeek: Raising Capital With Convertible Notes
Converts look like equity, but taste like debt. To serial investors they’re brussel sprouts. But to certain entrepreneurs and angels, they’re what’s for dinner.
By Monica Mehta