http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/ Venture capital, seed financings, convertible note bridge debt, M&A, option vesting and other matters explained for founders and entrepreneurs Fri, 19 Mar 2010 08:24:58 +0000 http://wordpress.org/?v=2.9 hourly 1 http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/comment-page-1/#comment-2988 Yokum Tue, 22 Dec 2009 07:28:02 +0000 http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/#comment-2988 @Terry - Most investors would assume that a majority (or super-majority) would not implement an amendment that was adverse to everyone's interests. A careful person would spell out that any amendments must affect all investors equally. @Terry – Most investors would assume that a majority (or super-majority) would not implement an amendment that was adverse to everyone's interests. A careful person would spell out that any amendments must affect all investors equally.

]]> http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/comment-page-1/#comment-2951 Yokum Tue, 22 Dec 2009 00:28:02 +0000 http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/#comment-2951 @Terry - Most investors would assume that a majority (or super-majority) would not implement an amendment that was adverse to everyone's interests. A careful person would spell out that any amendments must affect all investors equally. @Terry – Most investors would assume that a majority (or super-majority) would not implement an amendment that was adverse to everyone's interests. A careful person would spell out that any amendments must affect all investors equally.

]]> http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/comment-page-1/#comment-2952 Yokum Tue, 22 Dec 2009 00:28:02 +0000 http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/#comment-2952 @Terry - Most investors would assume that a majority (or super-majority) would not implement an amendment that was adverse to everyone's interests. A careful person would spell out that any amendments must affect all investors equally. @Terry – Most investors would assume that a majority (or super-majority) would not implement an amendment that was adverse to everyone's interests. A careful person would spell out that any amendments must affect all investors equally.

]]> http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/comment-page-1/#comment-2950 Terry Wed, 16 Dec 2009 17:19:02 +0000 http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/#comment-2950 From the perspective of a noteholder holding a minority amount of the total principal balance of all notes, wouldn't that investor take serious issue with the possibility of his or her note being amended in a very unfavorable way? Is the amendment provision typically drafted to require that all notes be similary amended to prevent amendement of only the investor's particular note by a majority of unrelated noteholders? From the perspective of a noteholder holding a minority amount of the total principal balance of all notes, wouldn't that investor take serious issue with the possibility of his or her note being amended in a very unfavorable way? Is the amendment provision typically drafted to require that all notes be similary amended to prevent amendement of only the investor's particular note by a majority of unrelated noteholders?

]]> http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/comment-page-1/#comment-148 Venture Hacks — [Hack] Supersize your debt with these microhacks Fri, 08 Jun 2007 05:36:03 +0000 http://www.startupcompanylawyer.com/2007/05/11/why-should-a-majority-of-investors-be-able-to-amend-the-convertible-notes/#comment-148 [...] company and a majority of the lenders should be able to amend the debt agreement and make the changes binding upon the other lenders. This is much easier than getting agreement [...] [...] company and a majority of the lenders should be able to amend the debt agreement and make the changes binding upon the other lenders. This is much easier than getting agreement [...]

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