[jomamaxx]

"Because if you invest $500k, you get information rights, and a significant number of votes. If you invest $5k, you get nothing, "

No - not at all.

First, there is no such thing as 'information rights'.

Second - when you 'invest' - you get shares. Those shares have 3 'rights' generally: 'votes', 'dividend rights' and 'liquidity preference'

Those rights differ depending on class of shares and specifics of the deal.

Whether you invest $5 or $5 million - it could very well entail the exact same terms.

For example, most later stage investors do not get enough votes to influence the outcome, they don't get a seat on the board, and they don't get any real liquidity preference.

[twblalock]

> First, there is no such thing as 'information rights'.

Information rights are real, and they are defined in statute law.

But, that's not why you are posting here. I see that you have been attacking my posts because of a vendetta you have in an unrelated thread. How pathetic!