WHO WILL BE THE WINNER IN RIDE-SHARING NETWORK?

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Credit to phandroid.com

I find the autonomous car industry very exciting. If you look back at the automotive industry over the last hundred years, not all that much has changed. Now, however, we are undergoing two crucial changes.

One is the transition to being EV (electric vehicle) and FSD (fully self-driving vehicle), second is the ride-sharing network.

My favourite childhood animation was ‘The Jetsons’. I wanted to commute to school like George Jetson in a family-size flying car that magically turns into a briefcase at the end of the journey. …


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If you are the founder of a company, you are likely to come across a term sheet at some point. When terms sheets are drafted, one of the main clauses that are discussed and outlined is the outcome of an exit.

Clauses such as tag along and drag along rights are common ways of protecting the interests of all shareholders involved during an exit. These are the rights of the majority and minority shareholders that are created to represent their competing interests. Shareholder disputes are often thought as David (tag along) and Goliath (drag along), competing against each other with the oppressed minority in the role of David. The best protection for both tag along and drag along rights would be a Shareholders’ Agreement or a well-modified memorandum and articles of association. These contracts govern the shareholders’ rights, obligations and liabilities. …


ALL YOU NEED TO KNOW ABOUT CONVERTIBLE DEBT

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In recent years, there has been a particular interest in the negotiations between startup founders and investors. At a recent online startup talk I gave, I was asked a lot about the structure of convertible notes and how they impact on a startup’s future. I have decided to write about convertible notes in order to highlight some of the common mistakes and how to avoid them.

What is a Convertible Debt?

It is a debt that allows investors to convert their interest into equity on a given maturity date. With convertible debt, you don’t sell shares in relation to the ownership of your company. Instead, you borrow money from investors with a promise to repay it. The flexibility of convertible debt offers security for investors wishing to participate in the growth of a particular company where they aren’t sure about the potential downsides and upsides. …


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Shutterstock

We all agree that valuations are paramount for setting a road map for the future of a company and its financing. The Liquidation Preferences is one of the second most fundamental term founders run into and is crucial to understand when evaluating a term sheet.

The liquidation preference clause applies when the investor exits the Company through a liquidation event. Liquidation event can be either a bankruptcy, the transfer of all the company shares (through sale or merger) or the sale of the Company’s business.

This clause enables favourable treatment for preferred shareholders in the event of liquidation as downside protection of the invested capital in low-return scenarios. …


Digitally Native Vertical Brands Rely on Three Core Concepts

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https://hackernoon.com/

Over the last decade, digitally native vertical brand (DNVB) companies that build, market, sell and ship their products without using a third party, such as Glossier, Sleeper, Allbirds, Dollar Shave Club and Warby Parker, have not only changed how customers buy products, but have also carved a successful niche away from traditional retailing and the Amazon marketplace. As a result, recent years have been very tough for physical retail. However, the bricks and mortar store concept is still alive and well, and DNVB companies are embracing physical retail space. …


3 Reasons Why Snap Stock Can Keep Heading Higher

It has been a rough year for most stocks but you don’t see Snap’s investors panicking. Snap’s shares increased by 27% following the release of the Q1 2020 report on April 21st. Snap’s DAUs were 229M in Q1 2020, which is a 20% y-on-year (YoY) increase.

Business Model

Snap (Snapchat) describes itself as a camera company because the smartphone camera is the centre point of all of their products and services from sending messages (Snaps) to Augmented Reality features. Snap generates a substantial part of its revenue through advertising, totalling 229M DAU. It also has a hardware business (spectacles).

Snap monetises its ad business in 4…


How did we get to now?

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Photo Courtesy of Tom Vanderbilt

We live in an age of disruption. We see it happening so rapidly sometimes it’s hard for us to even keep up. Look away, and suddenly everything’s different.

Behind the scenes, it’s not always like this. The seeds of disruption are often planted long before. The key is spotting the signs.

From the late 80's, the controls of a car have been transitioning from mechanical to electric. Yes, we heard about this … how it makes cars cheaper and more reliable. It happened with brakes and your accelerator pedal too. …

About

Ariella Young

Ariella, Tech Enthusiast, Supporting Companies @Axis. Lawyer in Former life @Baker&Mckenzie.

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