Please enable JavaScript.
Coggle requires JavaScript to display documents.
Topic 10: Working with Investors (Typical Terms from Investor (Anti…
Topic 10: Working with Investors
Invest in startups hoping to get return in 5 - 10 years time -> high risk business
How to generate interest within the investors
Good Team
Reputed lead VC Commitments
Unique IP/Patent
Good Product-Market Fit
Good Startup Growth
Good Financial Planning
Potential Conflicts with Investors
Dispute on financial returns
Control rights
Uncertainty in the future
Key Concerns of VC
Growth
Valuation
Success of Competitors against the startup
Typical Terms from Investor
Anti Dilution
Reverse Vesting
Participation Rights
Board Representation
Liquidation Preference
Period of Exclusive
Certain control of the startup