Investment Stages & Milestones

What the greatest technology investors say about Investment Stages & Milestones

The Company’s Stage: Weighing Investor Quality vs. Valuation

Chris Dixon General Partner Andreessen Horowitz, angel investor and former entrepreneur

 “The earlier stage your company is the more you should weight quality of investors vs valuation.  For a Series A, you are truly partnering with the VCs.  You should consider taking a lower valuation from a top tier firm over a non top tier firm (but probably any discount over 20% is too much).  If you are doing a post-profitable “momentum round” I’d just optimize for valuation and deal terms.”  Chris Dixon, Best practices for raising a VC round, May 4, 2011;