Using Warrants When Issuing Debt, Part II

In the video in Part I we walked through how to figure out how much equity in dollars you will need to provide to your investors to achieve a certain targeted IRR. This equity give-up is accomplished with a security called a warrant.

In this video we walk through i) how to figure out what percent of equity those equity dollars represent; and ii) how many warrant shares will need to be associated with each note you issue.