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Re:Scalabe Funding - Money as you need it? by DenisM on Sunday May 11, 2008 @11:23PM (#187237)
Trading ability to cut your losses at 50% of typical investment for inevitability of being cut off at 50% of a hugely successful return will balance out.

However, a hugely successful investment will bail sooner than 50% is reached. Thus the skew is in favor of startup.

Of course the actual negotiation may not take math into account. :-)

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