Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist Hardcover – December 26, 2012

Although it hasn't been very long since the first editionof Venture Deals was published, the need for information inthis evolving field continues to grow. That's why Brad Feld andJason Mendelson have returned with the Second Edition ofVenture Deals. While staying true to the original edition ofthis Wall Street Journal bestseller, the SecondEdition contains timely updates—as well as new material ontopics such as convertible debt financing—that will help youexcel at this difficult endeavor.

Some of today's fastest-growing entrepreneurial companies havefinanced themselves by raising venture capital. Yet few people havea firm grasp of how venture capital deals really come together.Nobody understands this situation better than Brad Feld and JasonMendelson. For over twenty years, they've been involved in hundredsof venture capital financings, and now, with this practical guide,they continue to share their experiences in this field withyou.

Venture Deals, Second Edition opens with aninformative overview of the venture capital term sheet and takesthe time to discuss the different parties who participate inventure capital transactions as well as how entrepreneurs should goabout raising money from a venture capitalist. From here, the bookskillfully outlines the essential elements of the venture capitalterm sheet—from terms related to economics to those related tocontrol. Feld and Mendelson strive to give a balanced view of theparticular terms along with the strategies to getting to a fairdeal.

In addition to examining the nuts and bolts of the term sheet,this reliable resource also reveals how VC firms operate, describeshow to apply different negotiating tactics to your deals, andintroduces you to issues you may face at different stages offinancing. You'll also gain valuable insights into several commonlegal issues most startups face and, as a bonus, discover what atypical letter of intent to acquire your company looks like.

Whether you're an experienced or aspiring entrepreneur, venturecapitalist, or lawyer who partakes in these particular types ofdeals, you will benefit from the insights found throughout theSecond Edition of Venture Deals.

For additional information that includes term sheets as wellas all of the documents that are generated from the term sheet aspart of venturing financing, visit the authors' websitewww.askthevc.com.

Praise for the First Edition of Venture Deals

"My biggest nightmare is taking advantage of an entrepreneurwithout even realizing it. It happens because VCs are experts infinancings and most entrepreneurs are not. Brad and Jason are outto fix that problem with Venture Deals. This book is longoverdue and badly needed."
—Fred Wilson, Managing Partner, Union SquareVentures

"Feld and Mendelson pack a graduate-level course into thisenergetic and accessible book. The authors' frank style andincisive insight make this a must-read for high-growth companyentrepreneurs, early-stage investors, and graduate students. Starthere if you want to understand venture capital deal structure andstrategies. I enthusiastically recommend."
—Brad Bernthal, CU Boulder, Associate ClinicalProfessor of Law, Technology Policy, Entrepreneurial Law

"A must-read book for entrepreneurs. Brad and Jason demystifythe overly complex world of term sheets and M&A, cuttingthrough the legalese and focusing on what really matters. That's agood thing not just for entrepreneurs, but also for venturecapitalists, angels, and lawyers. Having an educated entrepreneuron the other side of the table means you spend your timenegotiating the important issues and ultimately get to the rightdeal faster."
—Greg Gottesman, Managing Director, Madrona VentureGroup

"Venture Deals is a must-read for any entrepreneurcontemplating or currently leading a venture-backed company. Bradand Jason are highly respected investors who shoot straight fromthe hip and tell it like it is, bringing a level of transparency toa process that is rarely well understood. It's like having aventure capitalist as a best friend who is looking out for yourbest interests and happy to answer all of your questions."
—Emily Mendell, Vice President of Communications,National Venture Capital Association

"The adventure of starting and growing a company can beexhilarating or excruciating—or both. Feld and Mendelson havedone a masterful job of shedding light on what can either becomeone of the most helpful or dreadful experiences forentrepreneurs—accepting venture capital into their firm. Thisbook takes the lid off the black box and helps entrepreneursunderstand the economics and control provisions of working with aventure partner."
—Lesa Mitchell, Vice President, Advancing Innovation,Kauffman Foundation