Excerpt: "So here’s rule number one. If you have a great premium product, don't be afraid to bump the price up. You do not by any means have to beat a competitors price to be competitive, in fact, by putting your price up, it's quite possible that you'll outsell your cheaper competition. Why? Simple. Because a higher price screams quality. Don't for one moment believe you have to have the best price to make any sales. That's just not true, you just have to have the best sales system, and of course a premium product if you really ever want anyone to buy from you again."
Many investors, eager to get started and get their company moving, will agree to terms that are not good business in the long run. It is understandable, and I have a client and friend that is fond of saying "we hope that is a problem" because if it is then the deal has probably been successful. Unfortunately, because of the inequity some deals will get sideways almost immediately and never reach their potential (or even launch).
For some founders the answers are simple, but for most it is a sticky issue that creates a lot of stress and runs the risk of ruining both friendships and the business.