How much shares do I have to offer to the investors ?
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How much shares do I have to offer to the investors ?

Hello guys,

I started a company in europe in a food chain about a year ago. After a relative success, I have now chance to ask some investors to join on board as we would like to grow further and we need cash. They have connections, networks, expertise in the exact field and money (Multi billion dollar private equity).

The reason that I prefer to offer them shares over debt is that I need their expertise and resources so there is no discussion about that. However, as this is my first company, I have no clue how much shares do they want or may ask eventually. I have a cash flow problem so I am not in the position of power as much for bargain and also they may still find the business to risky at early stage.

What if they would like to ask for a full control (+50%) of total shares. should I go for it and risk that I eventually may lose my position of my own company ? How would you negotiate it forward ? Would you offer them more than 50% of your company shares and risk of losing your power ?

submitted by /u/bobandack
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