- Closed initial kick-start seed investment with angel investor. Deal was done on an equity basis equaling a postmoney valuation of 400k.
- Have a few FFF who would like to invest small amounts 5-10k each likely totaling 10-25k
- This amount will carry us through beta-launch and prep going after large sums
For such a small amount comparative to a series A financing, is it possible to state the note will convert whenever the company reaches an x dollar valuation. I'm thinking whenever the valuation is 1000k. This would increase the amount of the equity upon conversion and be a better deal than when the company is valued for series A. Or is a better option to offer a higher discount rate (something like 50%???)
And another question that may be too broad, what is the typical range of pre-money valuations for a Series A?