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#startup-law#ontario
Added: 3 months ago

What document can my business use, when negotiating with VCs or Angels, to define the number of votes and shares being sold, while raising the round of funding?

We are looking for VC/Angels that are willing to work with us on our terms, and we would like to know what is involved in the agreement when negotiating the terms of the deal. I'm unwilling to give up any ownership in th… (Read more)


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Dominic Alfred

IP and Technology Lawyer, Alfred Law


Startups typically use Term Sheet documents to set out terms of a financing arrangement with VCs or Angel investors.


Among other things, the Term Sheet includes the amount of money being invested, the number and type of shares being granted in exchange for the money invested as well as any milestones required to be met by the Startup to receive funding.


Term Sheets are typically not legally binding unless both parties indicate otherwise.


Answered: a month ago