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With the startup market on life support, last-ditch financing tools with ominous nicknames like the "death-spiral loans" and "Frankenstein bridges" are coming into vogue. Transactional and bankruptcy lawyers in California's Silicon Valley say they're seeing an increase in loans and investments that ask companies for concessions ranging from putting their IP up as collateral to deeply discounting their stock.
August 02, 2001 at 12:00 AM
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The original version of this story was published on Law.Com
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