Intermediate fundraising
Liquidation Preference
The right of preferred investors to be paid back before common shareholders in a liquidation or sale event, protecting downside.
#term sheet
4 results
Glossary
Intermediate fundraising
Pre-Money and Post-Money Valuation
Pre-money valuation is a company's value before investment. Post-money adds the investment amount. Both determine investor ownership.
Intermediate fundraising
Pro-Rata Rights
The right of an investor to participate in future funding rounds to maintain their ownership percentage in the company.
Guides
Advanced fundraising
18 min How to Read (and Negotiate) a Term Sheet
A founder's guide to every clause in a VC term sheet — valuation, liquidation preference, anti-dilution, board control, and what to actually negotiate.