You founded your own firm two years ago.You initially contributed $150,000 of your money and, in...

You founded your own firm two years ago.You initially contributed $150,000 of your money and, in return received 2,500,000 shares of stock. Since then, you have sold an additional 1,000,000 shares to angel investors. You are now considering raising even more capital from a venture capitalist (VC). This VC would invest $10 million and would receive 2.5 million newly issued shares. What is the post-money valuation? Assuming that this is the VC’s firstinvestment in your company, what percentage of the firm will she end up owning? What percentage will you own? What is the value of your shares?

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jeff jeffy answered 2 years ago

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