[SWalker26]

Thanks Brandon - excellent point. Indeed, Chris Dixon addressed this issue in a recent post here: http://www.cdixon.org/?p=702. Moreover, I made a similar comment to your solid interview with Andrew Warner on mixergy.com (http://bit.ly/dVkS1):

"Lesson #3: understand the deal terms and run models as to what happens under various scenarios. Fenwick & West puts out a quarterly survey of market deal terms in venture capital financings (see, e.g., http://www.fenwick.com/publications/6.12.1.asp?...). At a minimum, the entrepreneur should understand what is "market" and how each deal term plays out in a liquidation. For example, in Q1 ’09, participation only occurred in 51% of the Silicon Valley vc deals and 40% of those were capped."

Thanks again.