Leading this week’s Flash is a look at the record valuations enjoyed by Silicon Valley startups as they approach their scheduled (or hoped-for) IPOs. How do Valley investors calculate valuations for these hot startups? Get some insight into how VCs, founders, and attorneys manage the financial provisions used in today’s private-market tech deals. Also, Y Combinator startups shrewdly leverage FOMO to enhance fundraising leverage, and AngelPad tops Fortune’s list of top U.S. seed accelerator programs. Check out these and others in our weekly roundup for Founders Flash!
- Fundraising by startup founders in Y Combinator startups takes on elements of gamesmanship in the weeks leading to Demo Day, with several founders deftly using data to hype their companies and ensure that when they do raise money they do so at the most favorable terms possible. (Fast Company)
- Many state-sponsored tax incentives for angel investors are available only to high-volume often to high-income “accredited” investors, and the startups they’re designed to help are often unaware that these incentives exist. (The Washington Post)
- Entrepreneurs who used crowdfunding to jumpstart their projects now face tax scrutiny by the IRS, which categorizes them as small business owners for accounting purposes. (The New York Times)
- SF-based AngelPad tops the Fortune list of top U.S. seed accelerator programs. (Forbes)