#Term Sheet

[stewesmithz]

Term sheets: what are they?

Startup founders and investors use term sheets as their first formal, but non-binding, contract. The terms and conditions of an investment are outlined in a term sheet. Contracts are drafted after final terms have been negotiated.

In the long run, it's better for all parties (including the company) if investors and founders align their interests. Founders and investors are pitted against each other by a bad term sheet.

Take a look at some of the components of a successful term sheet - and let's avoid some of the pitfalls.

How does a term sheet work?

There are specific areas in any startup term sheet that should probably be covered. While each term sheet will differ, it should cover the following.

a. Appraisal

Can you tell me how much this startup is worth? You must know what you're negotiating before you can negotiate terms.

We have compiled ten real-world methods of valuing an early-stage startup.

There are two types of valuations on a term sheet: pre-money and post-money. In terms of startups, pre-money is the value of the startup before investment, and post-money is what the startup is worth after the investment has been made.

b. Option Pools

Employees or future employees can reserve shares in an option pool. An option pool might be needed on a term sheet or you might need to expand the one you have already. As stock is issued, you also decide how it gets diluted.

It is unfortunate that pre-money option pools often favor investors, since they make all future dilution the founder's responsibility. Post-money option pools are more founder-friendly because investors will be included in dilution in the future. Pre-money option pools are, however, most common.

c. Preference for liquidation

Investors who acquire preferred stock have a safety net in the form of liquidation preference. Investors are able to get some of their money back in the event of your startup failing.

d. Right to participate

The benefits of participation rights include two things: First, they receive a return on their investment before anyone else, and second, they receive a percentage of whatever is left over. For example, say an investor who owns 30% of the cap table owns preferred stock with $250k liquidation preference. A $2 million sale gives preferred stock holders $250k up front, along with a 30% stake in the remaining $1.75 million ($525k). For common shareholders and founders, that leaves $1.22 million.

e. Distributions

The purpose of dividends is to distribute profits to shareholders of a company. Cash or stock can be used to pay them. Preferred stockholders also receive dividends - it's one of the things that makes these stocks "preferred." Dividends are usually calculated at a percentage over time - between 5% and 15%.

f. Management board

In an early stage company, a Board of Directors may seem absurd, but as a company grows, it becomes increasingly important. The Board of Directors will therefore be included in most term sheets.

g. Shared Ownership percentage

A company's board often makes big decisions, but shareholders can also vote on some decisions. Share class ownership percentage should be included in your term sheet.

h. Rights of investors

Investor rights are usually outlined in term sheets. There are a lot of rights listed here, which is why you should consult a lawyer to ensure you're getting the best deal. The investor has a right to take or expect certain actions based on their investor rights.

[petnews2day]

Consumer is actually thriving, says Glossier, Away, Farmer’s Dog-backer Forerunner Ventures

New Post has been published on https://petn.ws/riIDo

Consumer is actually thriving, says Glossier, Away, Farmer’s Dog-backer Forerunner Ventures

Sneaker company Allbirds, which raised over $300 million before its 2021 initial public offering, has seen its stock shed 98% of its value. Peloton has reportedly been entertaining private equity buyers, possibly to sell its at-home exercise business for parts. And, most recently, athleisure bull and former Outdoor Voices CEO Tyler Haney, has pivoted her […]

See full article at https://petn.ws/riIDo #DogNews #Fundraising, #PrivateEquity, #TermSheet, #VentureCapital

[hellosunnycore]

✦ 𝑺𝑷𝑬𝑪𝑻𝑹𝑬 ✧

[assigned-caim-at-birth]

GIBA

(short for Gibbulas) she was on the other side of the planet where wayne and crew were during hylics 1, as well as completely underground in an enclosed vault because she, like other of her species, would commit mass cannibalism and was imprisoned away. during both games she made music on her laptop and got popular enough in the online music community to buy herself a lockpick set from Wamaxon (hylics amazon) and got out. she was able to go to 1(one) moon age lobotomy concert before they disbanded.

[knight-engale]

The new and improved commission sheet, this time with better examples! You can message me on Tumblr or Discord at knight.engale if you're interested.

Commissions are first-come, first-serve. I will let you know your place in the commission queue, should you not be the only commission I have at the time.

Reblogs are always greatly appreciated ❤

[crazymecjc]

made these patho merch designs ages ago and completely forgot to post them,,,, perhaps they will be real one day I wish to have the sillies in my possession

[starrysharks]

i did it all for tha nookie.....

[batsplat]

Vale's long-time mechanic Alex Briggs agrees that his rider was let down by his inner circle. "My feeling is that the Yamaha team's press group let him down," said Briggs. "They never asked him what he was going to say in the press conference at Sepang. Or what are you doing with this paperwork? Because he had some time sheets as ammo. I think it all could've been stopped, because they knew to a degree something was going to happen." Briggs has vivid memories of that season. “I thought Valentino was going to win it - I thought we were good enough.” However, Briggs noticed that Vale did change during 2015. “Towards the end of the season he got very concerned with everything, he was trying to control everything. I remember the last few races he wanted War and Peace on the pit-board - he wanted to know who was behind him, how many people were behind him, the groups and so on. I don’t think you need all that - just look in front! “I think part of it was that there were a few people around him that were a bit weaker than him, like the crew chief and the Italians in the team had become a bit ‘yessy’. “I think he would’ve been better off just riding. Things got a little bit cloudy and he wasn’t quite as, I don’t know… It’s like when you’re playing golf; if you’re in the middle of your backswing and you start thinking about what you’re doing, you’re not being instinctive.”

Mat Oxley’s Valentino Rossi: All His Races

[lunacchi-fe3h]

Luna's Post-Timeskip Design

I thought it was about time I finally post this...

"Oh, this?" Luna says softly, looking back as her left hand reaches to tug at the blue and gold ribbon adorning her head. As her hand settles, holding on to the soft fabric, a gentle smile graces her features as if recalling a fond memory. "Dimitri gave it to me..."

This is Luna's main look and also the one who is most canon; both Game!Luna and Self!Luna wear this outfit after the timeskip.

[2hoothoots]

obligatory brainswap shenanigans

as a bonus, here's how they all dress themselves, because getting stuck in someone else's body for a few days isn't long enough to need to buy new clothes but it is long enough to think to yourself if i don't get out of this outfit immediately i'm going to die. transcript of the scribbled notes under the cut

raz-as-dogen:

his own shades kept falling off his face

desperately searched Dogen's wardrobe for something more business casual than a hoodie

this was the best he could find

lili-as-raz:

eyeliner, obviously

Raz hates that shirt (he can't stand velvet) but Lili loves it

jewelry is her own

dogen-as-lili:

literally just his regular hoodie and sweatpants

hey. it still fits

[officesuppliez]

henry emily redesign :D been meaning to make one for a while, only just got around to it!

[parin-gurumin]

[absoleyes]

[toads-n-moss]

[ no dl6 au ]

get your chapter one clothing refs here!!

that's right, i'm finally making reference sheets for this au, starting off with chapter one

[ID in alt text]

here we have:

phoenix and miles' teen designs (both warm and cold weather). these designs are mainly shown during the flashback case "turnabout ashes"

phoenix and miles' court outfits for chapter one. these outfits are the most often seen in chapter one. think about how everyone draws phoenix and miles in their courtroom suits. yea, it's like that

phoenix and miles case-specific outfits. in turnabout samurai, miles and phoenix have to dress up as steel samurai fanboys/journalists to get into the studio. it's.. easier for miles than phoenix.

hope you guys like these, i hope they're helpful if you plan to draw these characters, and stick around for chapter two refs

speaking of if you draw these characters, here are some details that i couldn't show on the ref sheet or are small and could be missed

(more info under cut)

in his teen design, miles' bangs are a lot shorter and choppier

phoenix's hair is slightly longer than his chapter one hairstyle, but not by much

in turnabout ashes, phoenix usually carries around a sketchbook

in his teen design, phoenix's clothes are usually splattered with paint here and there

phoenix also has his shoelaces untied a lot in his teen design

miles has red braces in his teen design

in chapter one, miles' bangs have grown out

in turnabout samurai, miles has the signal red samurai keychain on his backpack

in turnabout samurai, phoenix's bracelet reads "rainbow" as a reference to the rainbow samurai from the ace attorney anime

that's all for now :3!!

[eekonis]

some c!dream character designs!

[maxladcomics]

Murder Muffet is actively exploring the void, looking for whatever she lost (She might have left it at home). It's unknown at this point if she'll leave the void until the story requires her to.