Seward & Kissel’s Conversation Series – 2020 Annual Seward & Kissel Seed Transaction Deal Point Study

June 9, 2021

In the first several months of 2020, Seed Deal activity was affected by the COVID-19 pandemic, but finished out strong to remain consistent with 2019 data. In our latest Conversations Series podcast with Gary Anderson, a partner in the Business Transactions Group at Seward & Kissel LLP, we discussed the following topics from the 2020 Seed Transaction Deal Points Study:

  • Which investment strategies were the most (and least) popular in receiving seed capital?
  • Seed Deal economic terms related to:
    • Seeder bearing some of the start-up costs of the new business;
    • Seeder liquidity that aligns with other investors in the Fund;
  • Working Capital Support – how is it structured and what percentage of deals include it?
  • Deal Structure – Equity versus Revenue Share?
  • Lockup of Seed Capital
  • Length of the Seed Deal and Cost of Exiting the Deal?

Click here to view the podcast.