Climate change is increasingly being seen as the most important problem facing us at the moment. Extreme weather events are occurring more frequently e.g. heatwaves and droughts are 2.8X and 1.7X more likely, respectively, as compared to a 1900 baseline. Their impact...
Nagesh is 27, based in Mysore, and has been driving vehicles to distribute FMCG products to distributors for the past few years. He is the proud owner of two Light Commercial Vehicles (LCVs) – a Tata Ace and a Piaggio Ape; he drives one himself, and has hired a...
As a consumer, I (Arpit) have had several shopping experiences I remember fondly – our local grocer reminding me of adding something to my list by virtue of knowing my family and our preferences, a retail associate helping find the right skin product for my...
The migration of enterprise software from an on-premise model to one hosted on a central cloud — a trend that started ~20 years ago with Salesforce as a torchbearer — has continued unabated, with much headroom left still. Consequently, SaaS has been on a roll in...
The Company and the Founders shall complete an initial public offering or a ‘strategic sale’ within 5 years from the Closing Date (“Exit Date”) on terms that are acceptable to the Investor. The failure of Company and Founders to provide an exit by the Exit Date shall not relieve the Company / Founders of their obligations to provide an exit to the Investor, which shall continue until the Investor ceases to hold any shares. In case of failure to provide exit, the Investor shall inter-alia have a drag along right on all other shareholders of the Company.
Liquidation Preference
Higher of 1x or pro rata entitlement on an as-if converted basis in any liquidity event. Liquidity event shall be defined in the definitive documents and will inter alia include change in control or sale of substantially all of the assets of the Company.
Pre-Emptive Rights
The Investor shall, in any subsequent offering of securities by the Company, have a right to maintain their shareholding in the Company. [Note to Draft: Any super pro rata rights will be over and above this and should be included here]
Valuation
The valuation section concerns what an investor believes the company is worth. valuation issues addressed in the term sheet will include: pre-money valuation, post-money valuation, capitalization table and price per share.
