Indeed.  Smart, young companies are refusing preferred share investments and are willing to keep their valuation lower because of that.  It&#x27;s true that you&#x27;re selling a larger portion of your future for less money in many ways, but you protect the founders and original investors as well as the employees too.<p>Huge growth is important but it&#x27;s also important to be smart about it.  Selling a part of your company for a bit less if often better than mortgaging the common shares.