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Common? Preferred? Founder? Making Sense Of Startup Shares

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1) Preferred vs Common Historically there have been two types of stock: preferred and common. Preferred is for investors, common for everyone else including founders. When a company has an exit, preferred gets paid...
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Why We Invested In Klivo — Chronic Disease Management Platform

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Excited to announce our investment alongside Valor Capital in the R$ 45M ($8M) series A of Klivo which provides a chronic disease management platform, starting with diabetes and Brazil. Tau Ventures is an AI-first...
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So Your VC Wants To Invest More? 5 Practical Tips For Entrepreneurs

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If your VC wants to invest more in you then you have a good problem in your hands. Here are five practical ways to think about it. 1) Prorata (and Super Prorata) A prorata is the...
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Why We Invested In Signos – Weight Loss Built For You

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  Excited to announce the $13M series A led by GV in Signos, which helps you lose weight through continuous glucose monitoring (CGM). Tau Ventures had first invested alongside Courtside Ventures and 1984.vc in the...
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Why We Invested In Drip Capital — Financing For Developing Markets

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Excited to announce our investment alongside TI Platform, Sequoia, Accel India, Wing Ventures, Initialized Capital and YC in the $175M series C of Drip Capital which offers trade financing focused on SMEs in developing...
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Uncapped Note? No Discount? Making Sense For Entrepreneurs

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What is the right cap and discount for your convertible? Should you even have them at all? The latter used to be a very rare situation, now it is a commonly asked question. This...
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What is Up With These Mega Rounds? Making Sense Of The Startup Market

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$530M round: Snyk snags another $530M as valuation rises to $8.5B $400M round: Cityblock Health raises another mega-round of funding, tipping its valuation over $5 billion $130M round: TrueLayer raises mega-round as open banking heats up These...
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Signaling Risk? How Early Startups Can Work Best With Big Funds

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Signaling risk typically happens when a large fund comes into an early round, creating an expectation in the market that they will lead the next round. For instance, if a $1B firm puts in...
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Digital Health 2.0? The Next Generation Of Startup Business Models

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At Tau Ventures, these are three principles we continue holding as generally true: i) In healthcare typical sales cycle to get a true recurring contract are 9-18 months ii) Once you get a contract it’s hard...
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Hardware is Hard — 5 Practical Tips For Startups To Raise Successfully

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You had a great idea. You built a great team. You know that hardware is a significant part of the product but also provides defensibility. Then why are you still hearing too many polite...
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Should I Raise More? 5 Principles For Entrepreneurs

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Many things about startups are about power laws -- fundraising included. The best companies do attract disproportionate attention and the entrepreneurs are faced with the choice, if not pressure, of raising more. Below are...
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So My Startup Is Not Growing As Fast — 5 Practical Tips To Still...

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Long sales cycle? Marketing got too expensive? Spent too much time fixing the product? There are so many reasons why things can take much longer than planned. In fact, our experience at Tau is that...
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Closing Your Startup Round? 5 Practical Guidelines

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Previous articles have talked about party rounds and keeping momentum in your fundraising. This one will focus specifically on the close, which ideally is a foregone conclusion but sometimes becomes the period of highest...
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Medicine, Paperwork And How Startups Can Help

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If images speak a thousand words the following ones will illustrate the point resoundingly. A) We spend more on healthcare as a % of our GDP than other comparable countries: B) Higher administrative costs is very...
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Have A Startup Idea? How To Raise A Pre Seed

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The term pre seed has really become institutionalized in the last couple years, before that the idea / powerpoint stage wasn’t called by any other specific name. Let’s delve into definitions before  1) Definitions There is...
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Why We Invested In HeyRenee - Personal Health Assistant

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Excited to announce our investment alongside Quiet Capital, Mucker Capital, Fika Ventures, Global Founders Capital, SaaS Ventures and Founders First in the $3.8M seed round of HeyRenee — your personal care concierge. HeyRenee is a first-ever...
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Clone or Clown? Adaptation Vs Innovation For Startups Going From One Market Into Another

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Society often celebrates the inventor, the lone genius or small group of people who comes up with a new insight. We heap praise upon the innovators, those who take the inventions and make them...
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Why We Invested In Banjo Health – Simplifying Medical Paperwork Through AI

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  Excited to announce our investment alongside Epsilon Health Investors in the $5M series A in Banjo Health which employs artificial intelligence in prior authorization (PA) i.e., reduces medical paperwork. Tau Ventures is an AI-first...
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Why We Invested In Teiko — Mapping Immune Profiles To Improve Clinical Outcomes

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Excited to announce our seed investment in Teiko.bio, which calculates an immune fingerprint for each person. Tau Ventures is an AI-first fund in Silicon Valley investing primarily in mature seed, typically when there is...
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Ventures What? A Practical Guide For Entrepreneurs On What A VC’s Naming, Connections And...

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The more you understand about your VCs the better decision you can make. Obviously there are diminishing returns on how much time you spent analyzing versus executing, but my experience as both an entrepreneur...