Enough has been written about the need for more consumer brands in almost all spheres of our lives. Given that we are all consumers first, it is apparent that with increasing individualism, rising incomes, and scarcity of time at hand, a new set of brands will get...
Loadshare is an asset light logistics network powered by technology. Founded in 2017, today the network spans over 4000+ pincodes and has 130+ active partners who are an integral part of the offering. Stellaris Venture Partners and Matrix Partners are the primary...
EVs will redefine the automotive, energy and mobility industries at their core. The structural advantages of EVs are hard to ignore. Yet, there is scant reflection of this wave in India. We discussed in our last article why it is hard to stop the EV tsunami and...
Introduction Having met dozens of companies in the space so far, we are not exaggerating when we say that we believe electric vehicles (EV) to be a once-in a-generation technological shift with massive ramifications – for businesses as well as society; consequently,...
The next wave of 300 mn vernacular Indian users coming online has been the talk of the town for a while now, and rightly so, given the massive implications it has on multiple industries such as content, commerce platforms or brands. We have seen many startups emerge...
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.
