New technologies are bound to alter human behaviour, often in ways unimaginable, over a long-term time horizon. When smartphones came, no one could have imagined we’d be booking everything from a movie ticket to a salon appointment to an international homestay over a...
If you’ve been tempted to try out those beachy, quirky printed shirts that keep popping up on your Instagram feed, chances are you’ve already stumbled upon Snitch, a brand that’s winning hearts of millennials and GenZs across the country. Snitch is nailing the...
While the initial idea of speaking to people in the gaming industry was to validate a hypothesis: Building a casual gaming studio from India for the world is a large opportunity (covered in Part I), those conversations proved way more fruitful than we imagined. Not...
While I’ve always been more of a board games person, the pandemic and my entry into tech investing pushed me to give mobile games a shot. Admittedly, I’ve spent many a night playing Call of Duty (COD) during the lonely days of COVID and more recently, couldn’t escape...
Would ONDC be a real game changer and alter India’s e-commerce landscape in a big way? Would it lead to massive value creation by a host of new companies playing a key role in the unbundled supply chain? Or would its impact be limited & hardly needle-moving for...
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.
