Pay-to-Play: Startup Life Raft or Investor Nightmare?
In recent months, funding rounds featuring “pay-to-play” provisions have surged. These provisions aim to encourage reinvestment and attract supplemental funding. During the recent financing boom, these provisions were largely absent due to a thriving market. However, as capital began to dry up, they started resurfacing. Earlier this year, Sequoia Capital generated headlines when it declined … more