Liquidation Preference

A liquidation preference is a right that one class of stockholders may have to be paid ahead of other class(es) of stockholders in the case of a liquidation of the company.

Data Page

Drill down on financing trends and data. Review the data Jump to related text 247 reported venture capital financings, totaling $13.5 billion of invested capital Jump to 68 billion information...

Preferred Stock

Preferred Stock (like Common Stock) is a security that represents ownership in a corporation. In addition to the ownership interest, Preferred Stock has rights that Common Stock does not.

Drag-along Rights

Drag-along rights enable majority shareholders to “drag along” minority shareholder shares in an acquisition.

Common Stock

Units of equity ownership in a corporation entitling their holder to a share of the corporation’s success through dividends and/or capital appreciation.

Understanding an M&A Term Sheet Blog Post

Congratulations! You just received an offer to acquire your company.  A serious buyer will present you with a term sheet that covers the basic terms of the transaction.  Do not…

Choosing the Correct Business Entity: The Basics Blog Post

This article briefly introduces each of the principal business forms in the United States, namely corporations, partnerships, LLCs and sole proprietorships. More detailed considerations and strategies in making an appropriate…