<p>A term sheet summarizes the principal terms and conditions of the proposed investment by the Investor in the Company, covering the significant aspects and establishing the basis for future negotiations. It is a crucial and required document for a financing round.</p>


Term Sheet

Accelerator

Acquisition  

Advanced Subscription Agreement (ASA)

AgriTech

Anchor Investor

Angel Investor

Annual Recurring Revenue (ARR) 

Anti-dilution Clause 

Artificial Intelligence (AI) 

Average Revenue per User / Unit (ARPU)

B2B2C

Board of Advisors

Board of Directors (BOD) 

Bridge Funding

Burn Rate

Business Plan

Call Option

Capital

Capitalization Table (Cap Table) 

Carried Interest

Circular Economy

CleanTech

Cliff Period

Closing

Co-investment

Common Stock

Competitive Analysis

Compound Monthly Growth Rate (CMGR)  

ConsumerTech

ConTech

Conversion Rate / Ratio 

Convertible Notes

Cost of Goods Sold (COGS)

Covenants

Customer Acquisition Cost (CAC)

Customer Lifetime Value (CLV)

Cybersecurity

D&O Indemnities 

Day-to-day investor

DevOps

Dilution

Disclosure Letter 

Discount

Dividend

Drag Along Right

Due Diligence

Early-stage business

EBITA / EBITDA - Earnings before interest, taxes, (depreciation), and amortization 

EdTech

Elevator Pitch

Employee Stock Option Pool (ESOP) 

Enterprise Software

Enterprise Value vs Equity Value 

EPS or Earnings per Share

Equity Crowdfunding

Equity

ESCROW 

ESOP Exercise Price 

Exercise period

Exit Event

Fair Market Value

Family Offices  

Feedback Loop

Fiduciary  

Financial Forecast

Financing Round

FinTech

Fiscal Record

FoodTech

Force Majeure  

Founder

Fully Diluted  

Funding Target

Fundraising

Gaming

Governing Law

Gross Margin

Gross Profit

HealthTech

HRTech

Incubator

Indemnifications 

Information Rights

Initial Public Offering (IPO)

Insider Round

Intellectual Property  

Internal Rate of Return (IRR) 

International Financial Reporting Standards (IFRS)  

 Internet of Things (IoT)

Investment Committee

Investment Instruments

Investment Portfolio

Investment Syndicate  

Issuer

Jurisdiction