Resolving Tensions Between Heterogeneous Investors in a Startup

The authors thank Will Cong (the editor), an anonymous associate editor, and three referees for helpful comments and Anton Tsoy (the 2020 University of British Columbia Winter Finance Conference), Savitar Sundaresan (the 2020 European Finance Association Annual Meeting), Ji Shen (Guanghua International Finance symposium), Li He (18th Corporate Finance Day), Alexander David (the 2022 Northern Finance Association Annual Meeting), Matt Elliott, Lorenzo Garlappi, Nadya Malenko, Lucio Sarno, and participants at the 2022 NFA meetings, Cambridge-Nova Lisbon Workshop, Cambridge Endowment for Research in Finance Cavalcade, the 2022 British Accounting and Finance Association Annual Conference, 2021 Asia Conference on Business and Economic Studies, the 2019 Southern Finance Association Annual Meeting, the 23rd Annual International Real Options Conference, and seminar participants at the universities of Cambridge, Essex, Fudan, Humboldt, Macau, Lancaster, Leeds, Tilburg, Turin, Xiamen, and Hong Kong Baptist University, Korea University Business School, and University of North Carolina at Charlotte for helpful comments and discussions. An earlier version of the paper was circulated under the title “Optimal Financial Policies for a Group.”