Explore stage appropriate funding options and considerations for your company’s long-term success.
We assume a number of variables in order to help you understand just how many factors affect your potential payout from your stock options.
Funding through equity sources typically allocates some percentage of economic ownership and control to one or more investors. Providers of equity capital often focus on particular stages of the company lifecycle, beginning with seed rounds, all the way through public offerings.
Funding through debt sources generally requires some historical track record of financial performance, but does not introduce dilution of economic ownership. Due diligence requirements are higher for debt funding and providers focus on specific types of debt, rather than stages of company growth.
Funding your business through personal funds or company operations is ideal, though not always feasible. Outside capital, through equity or debt, may be needed before the business can fund itself on a long-term basis.