Insights

Demisifying Term Sheets: Part 4 - Dividends in VC

Dividends are uncommon in VC, with profits typically reinvested for growth. Standard term sheets favor non-cumulative dividends, while cumulative ones accrue until an exit, ensuring investor returns.

Demystifying Term Sheets: Part 3 - Liquidation Preference

In this guide, we break down one of the most critical terms —liquidation preferences— which dictate how exit proceeds are distributed among shareholders.

Demystifying Term Sheets: Part 2 - Understanding ESOP

By understanding ESOPs and their role in dilution, founders and investors can make informed decisions supporting the company’s growth while maintaining fair equity distribution.

Demystifying Term Sheets: Part 1 - The Foundation & Valuation

Drawing from years of experience in the VC play, we are pulling back the curtain to highlight what really matters in a term sheet, how both sides should approach it, and the lessons we have learned (sometimes the hard way) to avoid common pitfalls.

Corporate Venture Capital: What can you expect from letting a corporate in?