Category Archives: BUSINESS

Terms in Term Sheet Series 3: Pay-to-Play

Pay-to-Play I think the pay-to-play provision is described well enough in Wikipedia, that says, Pay to Play is a provision in a corporation’s charter documents (usually inserted as part of a preferred stock financing) that requires stockholders to participate in … Continue reading

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Terms in Term Sheet Series 2: Liquidation Preference

This is the second round to cover up the terms in term sheet. The main subject is about liquidation preference, which is concerned with the division of the value when liquidity event – the sale of the company or the … Continue reading

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Terms in Term Sheet Series 1: Price and Option Pool

Term sheet is the primary sentences for the start-ups as they need money from investors. And not to be confused or sneaked by VCs(venture capitalists), the entrepreneurs should keep the terms fully understood. So I share the description of the … Continue reading

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