Startup Glossary


# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

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1X

25102(f)

25102(o)

409A

409A Report

4 Years With A One Year Cliff

83b Election

A

A-Round Financing

Accelerator

Accredited Investor   

Accrued Interest  

Acqui-Hire

Acquisition   

ACRS

Add-On Service

Administrator

ADR

Adventure Capitalist

Advisor

Advisory Board

Agile

Allocation

Alpha Test

Alternative Minimum Tax

Amended And Restated

Amortisation

AMT

Analyst

Angel Capital Association   

Angel Financing   

Angel Fund   

Angel Group   

Angel Investor   

Angel Round

Annex Fund   

Annual Meeting

Annual Recurring Revenue   

Anti-Dilution Agreement

Anti Dilution Provisions   

Arbitrage

Articles Of Incorporation   

Articles Of Organisation   

As-Converted Basis

Assets  

Asset Acquisition

Assignment

Associate

At-Will Employee

Authorised Shares

Automatic Conversion

B

B2B

Backup Certificate

Balance Sheet

Bankruptcy   

Basis Point

Basket

Bear Hug   

beBee

Benchmark

Best Efforts  

BHAG

Big Hairy Audacious Goal

Black-Scholes Option

Black Swan

Blanket Lien

Blended Preferences

Blind Pool

Blue Sky Laws  

Board Consent

Board Of Directors

Boilerpart

Bond

Book Value

Bootstrapped

Bootstrapping

Bootstrap Startup

Break-Up Fee

Bridge Financing

Bridge Loan

Broker-Dealer

Brokers

Burn Out   

Burn Rate  

Business Development Company  

Business Judgment Rule

Business Model

Business Model Canvas  

Business Plan   

Business Plan Competition

Business Valuation

Buyout

Buy-Sell Agreement

Bylaws

C

C-Corporation   

CAGR

Call

Call Option

Call Right

Cap

Capital Call

Capital Commitment

Capital Expenditures

Capital Gains

Capital Gains Tax

Capital Under Management

Capitalisation Table

Capitalise

Capital Stock

Capital Gain

Capped Notes

Carried Interest

Carveout

Cash Position

Cashflow Positive

Certificate Of Incorporation

Certificate Of Incumbency

Change Of Control

Chapter 11

Chapter 7

Charter

Chief Executive Officer (CEO)

Claim Dilution  

Clawback

Cliff

Closed-End Fund  

Closely Held Company

Closing

Co-Invest

Co-Investment

Collar Agreement

Collateral

Committed Capital

Common Stock

Conditions Precedent

Confidential Information

Consideration

Contingent Liability

Control

Control Terms

Conversion Discount

Conversion Price

Conversion Ratio

Conversion Rights

Convertible

Convertible Debt

Convertible Note

Convertible Preferred Stock

Convertible Security

Corporate Charter  

Corporate Governance

Corporate Resolution

Corporate Venture

Corporate Venture Capital

Corporate Venturing

Corporation

Co-Sale

Covenant

Cram Down  

Cram Down  Round

Creditor

Cross-Default

Cross-Fund Investment

Crowdfunding  

Crowdfunding Intermediary Regulatory Advocates

Crowdfunding Professional Association

Cumulative Dividend

Cumulative Preferred Stock

Cumulative Voting Rights

Customer Development Model

D

D&O Insurance  

Daily Active Users

Data Room

Date Of Issue

Dead Pool

Deal Flow  

Deal Lead

Deal Room

Deal Structure

Debenture

Debt

Debt Financing

Debt Instrument  

Debt Table

Debt To Equity Ratio

Deck

Default

Deficiency Letter

Demand Registration

Demand Rights

Demo Day

Depreciation

Dilution

Dilution Protection

Director  

Director And Officers Insurance

Disclosure

Disclosure Document

Discounted Convertible Note

Distressed Debt

Distribution

Disruption

Diversification

Dividend   

Dividend Preference

Dodd-Franck

Domestic Corporation

Double Bottom Line  

Double Trigger Acceleration

Double Dip

Down-Round

Drag-Along Rights

Drip Feed

Drive-By Deal  

Drive-By VC

Dry Powder

Due Diligence

E

Early Exit

Early Stage

Earnout

EBITDA

Economic Terms

Economies Of Scale

Effective Pre-Money

EIN

Elevator Pitch

Employee Stock Option Plan

Employee Stock Ownership Plan –  Employer Identification Number  

Employment Agreement

Engagement Letter

Enterprise

Entrepreneur

Entrepreneur In Residence (EIR)

Equity

Equity Financing

Equity Kicker

Equity Offerings

Equity Seed Round

ERISA

Escrow

European Business Angels Network  

Evergreen Fund

Exchange Act

Executive Summary

Exercise

Exercise Price  

Exit

Exit Route

Exit Strategy

Expansion Stage Company

Exploding Offer

F

Face Value

Fair Market Value

Fairness Opinion

Failure

Family Office

Federal Funds Rate

Federal Reserve Act

Fiduciary Responsibility

Final Regulation

Financial Accounting Standards Board

Financier

Financing Out Clause

Finder

Finder’s Fee

FINRA

First-Round Financing

First Refusal

First Stage Capital

First Time Fund

Flat Round

Flipping

Float

Flotation

Follow-On Financing

Follow-On Investing

Foreign Corrupt Practices Act

Foreign Qualification

Form 8 K

Form 10-K  

Form 10-KSB

Form 2553

Form S-1

Form S-4  

Form SB-2   

Founder

Founder’s Agreement   

Founder’s Stock  

Founders’ Shares

Free Cash Flow

Freedom To Operate Opinion

Freeze Out

Friends And Family Round

Friends And Family

Full-Ratchet

Full Ratchet Anti-dilution

Fully Diluted Basis

Fully Diluted Earnings Per Share

Fully Diluted Outstanding Shares

Fund Of Funds

Fund Size

Funding

Funds Flow Memo

Funding Platform

Fundless Equity Sponsors

G

GAAP

Game Theory

General Partner

General Solicitation

Going Private  

Going Public

Golden Handcuffs

Golden Parachute

Golden Rule   

Go-Shop

Grant

Grossing Up

Ground Floor

Growth Hacking

Growth Stage

H

Haircut

Hedge Fund

Hockey Stick

Holdback

Holdback Escrow

Holding Company

Holding Period

Hostile Takeover

Home Run

Honeypot

Hot Issue

Hurdle Rate

I

I Work In PR

I’m A Serial Entrepreneur  

Illiquid

Impact Investing

In-Licensing Agreement

Incentive Stock Option

Incorporation

Incubator

Indemnification

Indemnification Cap

Indemnity

Independent Contractor

Independent Director

Information Rights

Initial Public Offering

In-Kind Distribution

Inside Round

Insolvency

Institutional Investors

Integration

Intellectual Property

Interest

Intermediary

Internal Rate of Return  

Intraprenuer

Intrastate Offering

Invention Assignment Agreement

Investment Adviser  

Investment Banker

Investment Banks

Investment Company Act Of 1940

Investment Letter

Investment Round

Investor Rights Agreement

IPO

IRA Rollover  

IRR

Issued Shares

Issue Price

Issuer

J

J-Curve

JOBS Act  

Joinder Page

Joint Venture

Junior Debt

Junk Bond

K

Kentucky Windage

Key Employees

Key Person Clause

Key Person Insurance

L

Lapsed Option

Last In, First Out

Later Stage

Later-Stage Company

Law Of Large Numbers

Lead Investor

Lead Investor

Lean

Lean Startup

Legal Opinion

Letter Of Intent

Leveraged

Leveraged Buyout

Licence

Lifestyle Company

Lifting A Leg

Light Preferred

Limited Partner  

Limited Partnerships

LinkedIn  

Liquidation

Liquidation Event

Liquidation Preference

Liquidation Waterfall

Liquidity Event

Limited Liability Company

Limited Liability Partnership

Limited Partner (LP)

Limited Partnership

Liquidation Preference

Lock-Up Period

M

Mafia

Main Street Business

Major Investor

Majority Shareholder

Management Buy-In

Management Buy-Out  

Management Fee

Management Rights

Management Team

Mandatory Redemption

Market

Market Capitalisation

Market Terms

Material Adverse Change Clause

Materiality Qualifier

Materiality Scrape

Meetup  

Mentors

Merger

Merger And Acquisitions

Mezzanine Debt  

Mezzanine Financing

Mezzanine Level

Micro-VC   

Milestones

Minority Enterprise Small Business Investment Companies

Monthly Active Users  

Most Favoured Nation Clause

Mutual Fund

MVP Minimum Viable Product

N

Narrow-Based Weighted Average

Nation Venture Capital Association  

NASD

NASDAQ

National Angel Capital Organisation   

NDA

Negative Control Provisions

Net Asset Value

Net Financing Cost

Net Income

Net Present Value

New Issue  

Newco

No-Action Letter

No Shop, No Solicitation Clauses  

Non-Accredited Investor

Non-Compete Agreement

Non-Cumulative Dividends

Non-Dilutive Shares

Non-GAAP Profitable

Non-Qualified Stock option

Non-Participating

Non Solicitation Agreement

Non-Voting Stock

No-Par Value Stock

No-Shop Clause

NVCA Model Documents

NYSE

O

Offering Circular

Offering Documents

Officer

One Liner (Cocktail Party)

Open-End Fund

Operating Agreement  

Operating Budget

Operating Expenses

Opium

Optics

Option

Option Pool  

Ordinary Income Tax

OTC

Outstanding Stock

Overhang

Oversubscription

Oversubscription Privilege

P

PageRank

Paid-In Capital

Par Value

Pari Passu

Participating Preferred

Participating Preferred Stock  

Participating Rights

Partnership

Partnership Agreement

Pass Through Entity

Patent

Payment In Kind (PIK)

Pay To Play

Peer To Peer Lending

Penny Stocks

Performance Based Vesting  

Perpetual Warrant

Piggyback Rights

Piggyback Registration

PIK Debt Securities

PIPE

Pipeline

Pitch

Pitch Deck

PIV

Pivot

Placement Agent

Plain English Handbook

Platform As A Service

Poison Pill

Portal

Portfolio  

Portfolio Companies  

Post-Money Cap Table

Post-Money Valuation

Pre-Accelerator

Pre-Emptive Right

Pre-Money Shares

Pre-Money Valuation

Pre-Money Cap Table

Pre-Money Valuation

Pre-Sales

Preemptive Right

Preferred Dividend

Preferred Return

Preferred Stock

Prepaid Warrant

Prepayment

Price Cap

Price Per Share

Principal

Private Companies

Private Equity

Private Investment In

Private Offering/Private Placement

Private Placement

Private Placement Memorandum

Private Securities

Pro Forma

Professional Partner

Promissory Note

Proof Of Concept

Proprietary Deal Flow

Proprietary Rights

Prospectus

Pro-Rata

Pro Rata Rights

Protective Provisions

Proxy Voting

Public Company

Public Equities

Public Offering

Pump And Dump

Purchase Agreement  

Put

Put Option

Put Right

Q

QPAM

Qualified Financing

Qualified Purchaser

Quasi-Public Corporation  

Quora

Quiet Period

Quorum

R

Raising Capital

Ratchet

Recapitalisation

Reconfirmation  

Red Herring

Redeemable Preferred Stock

Redemption Right

Redline

Registered Agent

Registered Offering

Registrable Securities

Registration

Registration Obligation  

Registration Rights

Registration Rights Agreement

Registration Statement

Regulation A

Regulation C

Regulation D

Regulation D Offering

Regulation S

Regulation S-B

Regulation S-K

Regulation S-X  

Reincorporation Merger

Reporting Company

Representations And Warranties

Repurchase Option

Resale Registration

Reserved Shares

Restricted Securities

Restricted Shares

Restricted Stock Purchase Agreement

Restriction On Sales  

Retained Earnings

Return On Investment

Reserve Break Up Fee

Reverse Dilution

Reverse Engineer

Reverse Stock Split

Reverse Vesting

Revlon Duties

Right Of First Offer

Right Of First Refusal

Right Of Rescission

Rights Offering

Risk

Risk Tolerance

Road Show

Rollup

Round

Royalty Based Financing  

Rule 144

Rule 144A

Rule 144A Exchange Offer

Rule 501  

Rule 504

Rule 505

Rule 506

Rule 701

Runway

S

S-Corporation

SaaS

SAFE  

Safe Harbour

Sarbanes-Oxley Act Of 2002

SBIR

Scalability

Scale Up

Screening

Search Fund

SEC  

Secondary Buy-Out

Secondary Market

Secondary Public Offering

Secondary Purchase

Secondary Sale

Secondary Debt

Securities

Securities Interest

Securities Act Of 1933

Securities Act Of 1934

Securities And Exchange Commission (SEC)

Seed

Seed Capital

Seed Fund

Seed Money

Seed Preferred

Seed Round

Seed Stage

Seed Stage Financing

Secondary Public Offering

Sector

Senior Debt

Senior Securities

Serial Entrepreneur

Series

Series A

Series A Crunch

Series A Preferred Stock

Series AA Round

Series B, C, D…

Series Seed

Share Consent

Shareholders Agreement   

Shell Corporation

Sherpa

Side Letters

Silent Partner

Single Trigger Acceleration

Sliding Fee Scale  

Small Business Administration (SBA)  

Small Business Innovation Development Act Of 1982

Small Business Investment Companies

Sniff Test

Social Proof

Social Venture

Society For Corporate Compliance And Ethics

Soft Landing

Sole Proprietor

Special Purpose Acquisition Company

Special Purpose Vehicle

Spinoff

Spray And Pray

Stacked Preference

Stage

Staggered Board

Startup

Statutory Voting

Stockholder

Stockholders’ Consent

Stock Options

Stock Option Pool

Stock Plan

Stock Purchase Agreement

Stock Split

Strategic Investors   

Strike Price

STTR

Subordinated Debt

Subscription Agreement

Subsidiary

Success Fee

Super Angel

Supermajority

Super Pro Rata Rights

Sweat Equity

Syndicate

Syndication

T

Tag Along/Drag Along

Tag-Along Rights

Tag-Along Rights / Rights Of Co-Sale

Takedown

Takedown Schedule

Takeover

Taxable Event

Tax-Free Reorganisations  

Technology Transfer Agreement

Ten Bagger

Tender Offer

Terms Sheet

The Space

Time Value Of Money

Trade Secret

Tranche

Treasury Stock  

Trust Indenture

Turnaround

U

UCC

UCC Financing Statement

UI/UX

ULPA

Uncapped Notes

Underwater

Underwriter

Underwritten Offering

Unit Offering

Unrelated Business Taxable Income

Unsecured Debt

Up-Round

V

Valley Of Death

Valuation

Vanity Metrics

Venture

Venture Capital

Venture Capitalist

Venture Capital Financing  

Venture Capital Firm

Venture Capital Funds

Venture Capital Limited Partnership

Venture Debt  

Vesting

Vesting Schedule

Vintage Year

Voicemail Script

Voluntary Redemption

Voting Right   

Vulture Capitalist

W

Walking Dead

Wantrepreneur

Warrant

Washout Round

Waterfall

We Are Doing Great

We’re A Design-Centric Organisation

“We’re Seeing Great Gross Margins, And So Are Investing In Growth Given Our Strong, SaaS Unit-Economics.”

“We’re Stomping On The Gas Pedal, Given Our Strong SaaS Unit-Economics, And Are Actively Seeking Additional Capital To Power Our Sector-Leading Growth.”

“We’re Crushing It!”

Weighted Average Anti-dilution

White Knight

White Label

Williams Act Of 1968  

Wireframe

Working Capital Adjustment

Workout

Workout Agreement   

World Business Angel Association   

Write-Off

Write-Up/Write-Down

Z

Zombie Fund

Zombie Startup

Zone Of Insolvency

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