Prepare the core set of documents for a venture financing using forms provided by the National Venture Capital Association.
Preferred Stock (like Common Stock) is a security that represents ownership in a corporation. In addition to the ownership interest, Preferred Stock has rights that Common Stock does not.
A term used by Y Combinator that describes short “open source” documents that have been drafted for use in early-stage private company financing deals.
Series Seed equity financing documents have become one of the “go-to” sets of documents for many early-stage equity financings. Generate your own set of Cooley's version here.
Series FF Stock is a hybrid between Common Stock and Preferred Stock, and sometimes issued to founders at the time of incorporation…
A type of anti-dilution protection for preferred stock in the event of a down round of series financing that adjusts the number of common shares the preferred shares can be converted into based on the new share price.
“Fully diluted” shares are the total common shares of a company counting all currently issued and outstanding, plus shares that could be issued through the conversion of convertible preferred stock or through the exercise of outstanding options and warrants.
Units of equity ownership in a corporation entitling their holder to a share of the corporation’s success through dividends and/or capital appreciation.
Provisions in a company’s certificate of incorporation that increase the number of shares of common stock into which preferred stock when the company sells stock at a lower price.
Angel investors are wealthy individuals who provide early capital for a business startup in exchange for preferred stock or convertible debt.