- Leonhardt’s Launchpads receives 9% seed stage equity upon actively entering the accelerator for providing mentorship services through first in human studies. The accelerator has an anti-dilution floor of 9% unless waived.
- Leonhardt’s Launchpads has pre-emptive right to purchase, or to acquire by providing valued services or products, up to 20% ownership in any invention, innovation asset, Licensable Technology Platform (LTP) or startup in the accelerator portfolio right up to exit or graduation from the accelerator. All purchases, exchanged services, converted loans or sweat equity acquisitions of unit share ownership positions (fractional ownership in the case of LTP’s or common stock in the case of C corporations) is made at market unit prices prevailing at the time of conversion to equity.
- Leonhardt’s Launchpads branch affiliates may earn additional equity in innovation assets or startups by this formula
> Up to 3% for providing valuable data (usually up to 1% for pre-clinical and up to 2% for clinical data)
> Up to 3% for securing significant capital from research grants, capital investments, strategic partnerships or other sources.
> Up to 3% for providing meaningful valuable intellectual property (issued patents).
Note most inventions, innovations and venture creations coming into the Leonhardt’s Launchpads innovation & startup launch accelerator are coming from Leonhardt Ventures LLC. Leonhardt Ventures LLC normally has 100% ownership of these asset prior to voluntarily entering the accelerator first through CalXelerator www.calxelerator.com 108 day create to great program and then into Leonhardt’s Launchpads by Cal-X Stars Business Accelerator, Inc. or Cal-Impact www.cal-impact.com Leonhardt Ventures LLC agrees to give 9% seed stage equity to applicable long duration accelerator Leonhardt’s Launchpads or Cal-Impact in exchange for mentorship services through first in human studies of a produced deemed final or near final to go to market for organ regeneration or recovery technologies and through market launch for social good impact innovations. The applicable accelerator has a 9% floor on dilution unless waived in writing. The applicable accelerator also has pre-emptive right to purchase at market prices up to 20% ownership in any asset right up to exit or graduation from the accelerator at market unit prices prevailing at the time. The acquisition of these shares may be via direct cash purchase, sweat equity, convertible debt notes or by provided valued items of equal value in exchange. The accelerator has no obligation to invest any cash in any innovation asset or to provide any services or products free of charge. The fair market value of all products and services provided are considered to be in a convertible debt account until converted. The conversion price is the price prevailing at the time of conversion.
Prevailing market price is that published on the accelerator’s valuation page (often password protected) determined by the most recent Wilson Sonsoni Entrepreneurs Report on financings at similar stages of development discounted up to 60%, comparable financing transactions, last market price paid by an outside investor or warrant holder or a Fair Market Valuation Report if available.
Leonhardt’s Launchpads is the innovation and startup launch accelerator arm of Leonhardt’s Ventures LLC that holds an unbreakable controlling ownership stake never to drop below 50.1% ever under any circumstances. The same is true for all innovation assets or startups Leonhardt Ventures LLC brings into the accelerator unless waived in writing. Leonhardt Ventures LLC gives up 9% equity in its inventions or startup venture creations upon entering the accelerator and agrees to give the right to the accelerator to acquire via cash or provided services or products of equal cash value up to 20% ownership stake in any innovation asset or startup right up to exit or graduation. Accrued cash, services or products provided should be recorded as a convertible debt note up to conversion. Conversion is always at the market price prevailing at the time of conversion. If just before an exit the prevailing market unit price per ownership share is the that of the last full real financing completed by the innovation asset or startup.