When news of the global financial crisis began to hit Silicon Valley in the spring of 2008, venture capital firms felt the reverberations. But no firm felt the pressure more intensely than SVB Financial Group, a financial services company with a roster of venture capitalists who had been making big investments in startup companies for several years.
At the same time, a group of entrepreneurs were launching a company called Rippling, which aimed to provide an automated payroll solution to small businesses. With only 12 hours left until the close of the market on March 10th, the Rippling team was frantically trying to lock down venture funding.
The Rippling team knew that the only way to secure the funding was to get a term sheet from SVB. However, it seemed like the liquidity crisis was hitting the financial firm hard, and the Rippling team thought that their chance of getting a term sheet was slim to none.
The Rippling team quickly mobilized and sought out one of SVB’s partners, who they knew was desperate to invest in a promising startup. After an intense negotiation process, the Rippling team managed to strike a deal and secure a $500 million term sheet in less than 12 hours.
In the months that followed, the Rippling team continued to refine their business plan and pushed ahead with their product launch. Ultimately, their efforts paid off and their automated payroll solution went on to become a success.
This story is a testament to the determination, skill, and hard work of the Rippling team. Despite all odds, they were able to lock down venture funding in the midst of a financial meltdown. Furthermore, their efforts underscore the importance of not giving up and maintaining a positive attitude in the face of difficulty.
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