Luma, a startup company, provides a platform for people record live shows, educate, and find their communities via Zoom. Suppose a Founder owns 100% of the startup and currently has 0.5 million shares. The Founder plans to raise $3 million from Veni. ck (a venture capital firm investing in technology and healthcare companies) in Series A financing with the pre-money waluation of $10 million. An option pool of 15% is reserved for future employees. Given the information, find the Price/shares paid by Venrock following capitalization table AFTER series A.
Luma, a startup company, provides a platform for people record live shows, educate, and find their communities via Zoom. Suppose a Founder owns 100% of the startup and currently has 0.5 million shares. The Founder plans to raise $3 million from Veni. ck (a venture capital firm investing in technology and healthcare companies) in Series A financing with the pre-money waluation of $10 million. An option pool of 15% is reserved for future employees. Given the information, find the Price/shares paid by Venrock following capitalization table AFTER series A.
Chapter1: Introduction To Finance For Entrepreneurs
Section: Chapter Questions
Problem 2EP
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Transcribed Image Text:Luma, a startup company, provides a platform for people to host virtual classes,
record live shows, educate, and find their communities via Zoom. Suppose a
founder owns 100% of the startup and currently has 0.5 million shares. The
founder plans to raise $3 million from Venick (a venture capital firm investing in
technology and healthcare companies) in Series A financing with the pre-money
valuation of $10 million. An option pool of 15% is reserved for future employees.
Given the information, find the Price/shares paid by Venrock following
capitalization table AFTER series A.
$2.7
$7.2
$12.5
O $16.1
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