October 25th, 2022 Meeting Agenda Navigating Term Sheets:
This seminar will cover what are angel investors, venture capitalists, and family office investors. Sub-topics will include:
- What is a convertible note, SAFE Agreement, and priced round? How do they work and how are they different?
- What is a term sheet?
- How is valuation calculated? What is the difference between pre-money and post-money valuation?
- What are economic deal terms compared to control terms?
- What is preferred equity and how does it compare to common equity?
- How do liquidity preferences work and how is it triggered?
- What are stock options and warrant coverage?
- How do stock options/warrant coverage impact founder equity if executed/not executed?
- What is dilution? Why is it important? How do I calculate it?