Simon Willison’s Weblog

At seed funding stage, how can a Startup protect itself from losing the majority?

24th July 2013

My answer to At seed funding stage, how can a Startup protect itself from losing the majority? on Quora

Firstly, don’t sell a majority stake in your company. Secondly, hire competent legal advice to make sure you fully understand the terms of your investment and don’t get caught out through misunderstanding board voting rights, preferred vs common stock, liquidation preferences etc.