Funding & Capital Raising
Comparing Convertible Instruments

In this blog, we explain the key similarities and differences between convertible notes and post-money Safes so you can understand the nuances between convertible instruments before you get to the negotiation table.


VW Abroad
What We Learned From A Month Working Abroad

August 5th marked the end of Vela Wood’s first month working abroad, and it was the first of many more to certainly come. The idea to relocate our entire law firm overseas to work remotely for a month sprung out […]


Funding & Capital Raising
Why the Venture Capital Operating Company Exemption Matters (and how a Management Rights Letter helps)

If a venture capital fund plans to take money from an employee benefit fund and does not want to be subject to ERISA, it is imperative to always obtain a management rights letter that provides opportunities to exercise control and actually exercise those rights during the annual valuation period.


Funding & Capital Raising
The Unintended Consequences of Too Many New Venture Funds

Venture capital activity is hotter than ever, which has led to more available capital and fueled the growth of many exciting companies.  From 2020 to 2021, the aggregate deal value of VC investments in the U.S. increased from $167B to […]


Funding & Capital Raising
Let’s All Use Lego® Bricks. 

Venture financing rounds need to be constructed so that they can stack neatly on top of each other. Angel on top of Friends & Family, Series Seed on top of Angel, Series A on top of Series Seed, Series B on top of Series A, and so on.


Funding & Capital Raising
Series A is Closed. Now what?

There are a number of post-funding boxes to check off and the purpose of this blog is to give founders a starting point for next steps after completing a Series A financing.


Crowdfunding
Equity Crowdfunding

Equity crowdfunding is a way for private businesses to raise capital from multiple investors via online platforms.


Funding & Capital Raising
SEC Amends 506(c) Accredited Investor Verification

One of the recent SEC amendments updated the accredited investor verification requirements under Rule 506(c), which is a common federal exemption utilized by startups to broadly solicit capital from accredited investors.


Funding & Capital Raising
SEC Amendments Positively Impact Capital Formation For Emerging Companies

On November 2, 2020, the Securities and Exchange Commission (SEC) voted to amend the existing regulations and those rules went into effect on March 15, 2021. The SEC amendments change the landscape for small businesses and entrepreneurs seeking to raise capital through exempt offerings.


Funding & Capital Raising
The Critical Role that Accelerators Play in Venture Financing

Seed capital provided by accelerators must be provided to startups with great care. Here are three ways accelerators can avoid causing long-lasting negative ramifications for startups.