Watch the replay of this webinar in GCV’s The Next Wave webinar series which took place on September 11, 2024, held in collaboration with the GCV Global Consumer Council.
Media for equity, the practice of acquiring equity in a startup in return for advertising time instead of cash, has been around for some two decades, but is still not as mainstream as it could be.
Getting exposure on television, radio or in print can help a company make that jump to a mass audience, and the media-for-equity model gives them advertising at a discounted rate without them needing to spend cash that could be used to grow the business elsewhere. For a corporate investor, it can mean getting a stake in a promising startup with nothing coming off the balance sheet.
So, if you’re the corporate venture arm of a media company, we took a look at why it makes sense to pursue media-for-equity investments. And if you’re not, we explored whether this could be a useful option for your portfolio companies, what kind of startups the model works for and which it doesn’t.
This webinar explored:
- Which startups should be exploring media for equity and how wide does that scope go?
- Is it better to do it yourself or partner with a dedicated fund?
- At what point, should a startup take a media for equity and when is it most useful?
- How should startups value these deals and how do they track advertising to make sure they get full value for their equity?
- How much equity should startups give up in media-for-equity deals and is it through equity or warrants?
- Does this work for international investors or should you stick to one territory?
Speakers:
Arjun Kapur, Founder and Managing Partner of Forecast Labs
Vinay Solanki, Head of Channel 4 Ventures
Niko Waesche, Partner and Co-Founder of German Media Pool
Leif Abraham, Co-Founder & Co-CEO, Public
Moderator: Robert Lavine, Special Features Editor – Global Corporate Venturing