Accounting for Convertible Debt
Learn how to account for convertible debt and its complex elements. This article delves into one of the most challenging subjects to understand for finance and accounting professionals today.
Convertible Debt Complexities
Understand convertible debt’s most complex elements as we discuss eight particularly challenging points of interest related to convertible debt.
Types of Startup Investors
Founders have more financing options than ever before. Cut through the confusion and get an in-depth look at the different types of startup investors.
Dives into the process of 409A evaluations that should be planned on and performed early on in the IPO process to avoid incurring unnecessary costs.
Overview of Startup Financing
Gain a broader perspective about startup financing and find out how startups raise capital to fund their growth.
Find out how Venture capital (VC) firms are structured, how they decide which startups to invest in, and what characteristics you should look for in a VC investor.
This article addresses the topic of cheap stock and the complications that can arise from accounting for stock compensation plans when going public
SEC Significance Tests: Overview
Understand the tests required by the SEC for determining the significance of an acquisition. Three tests required and the related financial statement requirements.
Startup valuations are at the center of negotiations between investors and founders. Find out how investors determine a company’s worth.
SEC Significance Tests: Topic 1.J Example
Gain an understanding of the exception to the SEC significance tests (Regulation S-X Rule 3-05), given to companies going through an IPO.
Term Sheets Overview
Term sheets explain the details of a VC firm’s investment offer. Learn more about these important documents and discover some tips for navigating negotiations.
Dilution and Stock Option Pools
Securing capital from outside investors will dilute your ownership position. Learn about how funding rounds and stock option pools can affect your startup’s ownership structure.
Executive Compensation and Disclosure
Top executives require top compensation. Learn the common types of the executive compensation and the required disclosure.
An effective flux analysis can help you understand changes in your financial statements and communicate them effectively in your S-1.
Find out how warrants can increase your capital (hint: these aren’t search warrants).
Key Performance Indicators
KPIs are powerful tools for measuring performance. Learn how to choose KPIs and report them in your MD&A.
Private Placements: Reg D Offerings
Fewer regulations and more flexibility—a private placement may be a good source of funding for your company's next big project.
Stock Options 101 (for Employees)
This article provides an easy-to-understand overview of how stock options work and why startups use them.
Convertible Preferred Stock and Convertible Debt
Startups typically raise capital by issuing convertible preferred stock or convertible debt. Find answers to frequently asked questions about these financing arrangements.
Valuation Considerations — Earnings Quality and Accruals
Earnings quality refers to the quality and reliability of your financial statements. Learn how investors will analyze your earnings quality during the valuation process.
The Black-Scholes Model
What is the Black-Scholes Model (BSM), how is it developed, and how does it compare to lattice models? The answers can be found in this article.
Choosing an ERP System
ERP systems are an important aspect of a growing business. Learn when to implement and what needs to be considered before implementation.
Cash Vs. Accrual Accounting: When to Switch?
Startups often use cash accounting method, yet public companies must use accrual accounting method, so when is the proper timing to make the switch?
Learn about the mechanics of liquidation preference calculations and how these provisions can influence the amount that shareholders receive during an exit.
Term Sheet Provisions (Part I)
Term sheets are complex documents full of legal jargon. Learn about some of the most important provisions within a term sheet while gathering helpful negotiating tips.
Accounting for Stock Compensation
This article moves beyond the basics of stock compensation (including stock options) and touches on the accounting complexities associated with stock compensation awards.
Investors often receive anti-dilution provisions in funding arrangements. Learn more about these provisions and how they can affect the ownership structure of your startup.
Valuation Caps and Conversion Discounts
Delve into the mechanics of how investors structure convertible debt arrangements with valuation caps and conversion discounts to protect the value of their investments.
Startup Debt Covenants
Negotiating debt covenants is often part of getting a bank loan. This article describes different types of debt covenants and their impacts on your business.
Preparing for High Growth and an IPO: Building Your Team
This article will help you to understand what steps you need to take to gather the group of people that will guarantee you navigate the high growth and IPO stage successfully.
ASC 842: Impacts and Practical Guidance for Lessees
This article explores and compares the old and new lease accounting standard. Learn how a lessee properly accounts for leases under the new leasing standard
Term Sheet Provisions (Part II)
Term sheets are complex documents full of legal jargon. Learn about some of the lesser-known provisions within a term sheet while gathering helpful negotiating tips.
Looking to acquire as you prepare to go public? This article discusses the pros and cons of pre-IPO acquisitions.
Total Addressable Market
Understanding TAM is important for defining your company’s strategy and determining a valuation during all stages of a start-up’s life cycle.
Private equity can be confusing, but it doesn’t have to be. Learn the basics of the private equity industry in this article.
How to Form an Effective Board of Directors
Having a good Board of Directors is the key to a successful business. Learn more about the roles of the Board of Directors and how to form an effective Board in this article.
This article will help you understand the strategies and trade-offs involved in maintaining or ceding control of both the majority ownership and management control of your company.
Secondary Pre-IPO Markets
How can I buy or sell stock in a company before an IPO?
Regulation A+ Mini-IPO
Learn about Reg A+ offerings (mini-IPOs) and what to expect if your company is considering this alternative form of equity financing.
A well-planned and economically supportable transfer pricing policy can have a large impact on a company’s profitability. Learn about the current issues and potential solutions for transfer pricing in our digital world.
M&A: Buy Side vs. Sell Side
Before engaging in a merger or acquisition, be sure to learn about the services and incentives of advisors on each side of the deal.
Tech Valuations (SaaS)
Learn the unique valuation principles that are used for technology and SaaS companies to maximize your valuation potential.
Acquisition Decision Making
Before you decide to acquire another company, be sure to carefully identify synergies and consider how to avoid your cognitive biases that could destroy value.
Asset vs. Stock Acquisitions
Learn to understand the tax and economic differences between transaction structures for your next M&A negotiation.
Guide to ESG reporting
ESG reporting can seem like a daunting task, but it doesn’t have to. Learn the basics in this article.
Foreign Currency Risk
This article is an overview of types of foreign currency risk, the potential points of exposure, and the risk mitigation strategies used to manage this risk.
Bridge Loan Financing for Startups
Common features, qualifications, and settlement of rapid IPO capital providers called bridge loans and their impact on startup companies.
The Audit Committee
Understand the role of the audit committee and how to establish an effective committee.
Developing a Cybersecurity Strategy
By understanding several key frameworks and concepts, business leaders will be better able to create and manage their cybersecurity strategy.
Mezzanine lending is a hybrid loan option for companies that need an influx of cash but in which the owners want to retain control.
Cybersecurity Best Practices for Businesses
By understanding and implementing a few basic principles, many businesses can greatly increase their level of technological and physical security.
Before going public, some companies offer pre-IPO dividends to their shareholders. This article explains when and why companies use this strategy.
Cybersecurity Laws & Regulations
Businesses that want to establish proper cybersecurity systems and processes need to understand the relevant cybersecurity laws.
Legal’s Role in an IPO
What role do lawyers play on companies filing for public?