What are the key terms in equity sharing agreements?
An example of an AI chatbot conversation about equity sharing terms in agreements.
What are the key terms in equity sharing agreements?
Key terms in equity sharing agreements include equity percentage, vesting schedule, and buyout options.
Can you explain what a vesting schedule is?
A vesting schedule outlines when equity is earned over time, often to incentivize long-term commitment.
What are buyout options?
Buyout options allow one party to purchase the other's equity stake under specified conditions.
How do these terms affect startup funding?
These terms can influence investor interest, control dynamics, and the overall valuation of the startup.
Are there any common pitfalls to avoid?
Yes, common pitfalls include unclear terms, lack of legal review, and not considering future funding rounds.
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