FirstMoney.In (1st$n) is a program for startup founders to apply to experienced startup angel investors on a standard deal of $5,000 in return for 0.2% of your company. It is designed to facilitate access to capital for never-before-funded companies, especially those led by founders who identify as Women, BIPOC, and/or LGBTQ+. All startups are welcome and encouraged to apply.
While most venture capital requires founders to sell a large stake to investors, the 1st$n deal is purposely modest and as simple as possible. The program uses a standard deal: a $5,000 investment with a $2.5 million cap on a SAFE: Valuation Cap, no Discount. The investment purchases 0.2% equity in your company. In the application, you may optionally request to sell more of your company for a $10,000 or $25,000 investment. 1st$n is not affiliated with Y Combinator in any way, but the program uses their verbatim SAFE document for the financing agreement.
The 1st$n program was created by Alan Glennon, PhD (an angel investor) and Yury Lifshits (CEO Openland, YC W18) to discover underrepresented and underestimated founders. In itself, 1st$n does not generate revenue. Alan benefits through his personal investments he makes through the site. Yury benefits from the development of a community of great startup founders at Openland.
The project is being organized in the open at Openland.com in the Future of Preseed group.
Angel investors associated with the project are followed by the 1st$n Twitter account.