Term Sheet Guide: Important Terms, Clauses, and Closing Deals
The term sheet is a vital document that entrepreneurs face on rare occasions but venture capitalists see regularly. Learn the terms and clauses to be prepared.
Angel Investing
How to Become an Accredited Investor
We’ve all heard the phrase, it takes money to make money, but to rephrase it in terms that accredited investors would understand, we must make an appendage: it takes money to make money in unregistered offerings.
What is an Angel Investor? Definition and Overview
Angel investors invest in both mature companies and start-ups alike. A recent study shows that the average business that seeks out angel investors is 6 years old. Companies seek out angels because it allows them to connect with public investors while remaining a privately-held company.
Common Stock vs. Preferred Stock: Understand The Differences
All corporations, whether public or private, have shares of stock. Each share carries a price, whether established by the market (investors) or approximated by the company itself (pre-money valuation), that when combined, represent 100% of the company’s equity.
How To Set Up a Self-Directed IRA in Five Steps
Many people choose traditional and Roth IRAs over a self-directed IRA (SDIRA). However, knowledgeable investors may be missing out on investment opportunities in nonstandard sectors like real estate, private equity, crowdfunding, and cryptocurrency. A self-directed IRA opens up these possibilities.
How to Become a Venture Capitalist
Becoming a venture capitalist is no easy feat. In fact, you’re more likely to be drafted into Major League Baseball than you are to become a venture capitalist — but Major Leaguers don’t count the odds and we bet you don’t either.
Liquidity Ratio: Definition & Overview
Liquidity ratios are used to measure the financial health of a business. These metrics are used by banks and creditors to determine loan eligibility, and by investors to decide if the company is a safe investment. The liquidity ratio helps the company itself determine if they have too little capital or have a surplus of capital that can be put to use.
If you’re in the market to invest in stocks you might be weighing the options of buying stock with a stockbroker, through a brokerage account, or purchasing directly from a company itself.
How to Invest in Pre-IPOs & How They Work
“Getting in on the ground floor” is the dream of just about every investor who has heard of the fortunes amassed by early investors in Apple and Amazon. Because of that, the average retail investor shows a keen interest in Initial Public Offerings (IPOs).