A Guide to Founder Liquidity

Why It Matters

The author emphasizes the importance of strong metrics (Rule of 40), the role of experienced investment bankers, and promotes his SaasRise and VentureRise communities for CEOs seeking guidance.

Summary

The post explains how SaaS and tech founders can secure personal liquidity through minority recapitalizations—selling less than 50% of their equity to growth or private equity investors—while retaining control and upside. It illustrates the concept with a detailed case study of the author’s $15 million secondary sale at iContact, and lists numerous recent founder‑liquidity deals to show market viability. The author emphasizes the importance of strong metrics (Rule of 40), the role of experienced investment bankers, and promotes his SaasRise and VentureRise communities for CEOs seeking guidance.