Private Equity & VCIntermediate
Term Sheet
A short, mostly non-binding document listing the key terms of an investment.
Detailed explanation
Covers valuation, amount, investor rights, board seats, liquidation preference and anti-dilution protection before final agreements are drafted.
Why it matters
The terms often matter as much as the valuation.
Key points
- Mostly non-binding.
- Exclusivity and confidentiality are binding.
- Leads to definitive agreements.
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Educational content only. Definitions and examples are illustrative and are not investment, tax or legal advice.