Startup Company Lawyer

MARCH 14, 2010

The primary rights in these documents, ranked in order of importance in my opinion are: Non-participating preferred liquidation preference. Right of first offer on future financings. Information rights. Registration rights. Dividend preference. Liquidation preference.

Finance 70

Finance Software Review Term Sheet Liquidation Preference 70

Gust

NOVEMBER 15, 2012

In my own portfolio I have companies that are generally perceived to be extremely successful with high profile customers and lots of sales…but they just happen to have a liquidation preference ladder of $25 million!

Seed Stage 131

Seed Stage Hockey Stick Cap Table Liquidation Preference 131

Startup Company Lawyer

JANUARY 31, 2011

Optional maturity conversion : into Series AA Preferred Stock based on a $5M valuation. Please note that these are generally the terms of the Series AA Preferred Stock financing documents that Y Combinator previously published.).

Preferred Stock 60

Preferred Stock Liquidation Preference IPO Common Stock 60

K9 Ventures

MARCH 23, 2011

Notes may have fewer rights associated with them, but they come with one big hammer. It is in essence equivalent to being a Liquidation Preference that is typically seen in a preferred equity financing. Legally, the note is still a debt instrument and can be called upon maturity. There are multiple issues at hand here.

Pre-Money Valuation 132

Pre-Money Valuation Valuation Equity Liquidation Preference 132