What to look for in series A startup?

How do you find such startups?

Following, I’ve got 3rd round at a series A coming up soon

1. Know what you’re getting into: https://github.com/jlevy/og-equity-compensation 2. Know the company financials. Do they have product market fit? Are they growing? Are they just raising money to keep the lights on? Who are the investors? What companies have they successfully invested in? Do the investors provide a good enough (training wheels) to the company to help stand them up? Will the company be able to operate without said help from investor connections? 3. Know the market. What’s the potential upside/exit? Does the business make sense? Any competition? 4. Who are the leaders? What are their backgrounds? You should ask to interview leadership. 5. Are you prepared for the risk? https://youtu.be/BOksW_NabEk 6. If they won’t tell you # of shares issued/outstanding then walk away. 7. If they’re currently raising money I would also walk away because your grant will come in at least 1-2 quarters after the raise is complete at which point you can expect the strike price to be higher. 8. Are they a QSB? 9. Do they allow early exercise? 10. Repeat #4. You don’t want to end up working for an incompetent inexperienced irrational irresponsible infant who’s only goal in life is to be “somebody” and to overthrow the people who bullied them in high school. More: https://go.gusto.com/rs/110-WOX-868/images/An%20Entrepreneur%E2%80%99s%20Guide%20to%20Employee%20Equity.pdf

I joined GoodRx just after the company had raised its seed round. Finding companies like this, and at this round, I can tell you takes a ton of luck. Unless you know someone or have some inside connection to the founding team or founders themself, it’s pretty much 100% luck beyond that. If you believe the problem their trying to solve is real and the founders have a successful history, then I’d say give it a go!

Find out who their customers are and try to interview one.