You have secured a meeting with a team from a venture capitalist organization. Although you have had initial discussions, the serious dialogue is expected at the next meeting. In preparation, you are developing a term sheet to present. In an 12-15 page paper (excluding title page, reference page and appendix), develop your initial draft of the term sheet. In support of the entrepreneurial venture you have been exploring, respond to the following:
- Provide a definition of a term sheet. What is its purpose?
- Review sample term sheets provided in the text and through the National Venture Capital Association. Identify your position on what is being sold, stock amount, voting rights, dividends, founder rights, and exit provisions. For each element, provide a definition of the element, your rationale for your position, and any objective examples you have found to support your position.
- As you are preparing for your negotiation, what are the key issues to think about in successfully negotiating this term sheet? Are there any unique considerations?
- What are the basic interests of the venture capitalist organization? Have you identified objections that may occur?
- Are there any non-financial resources you need?
- Identify your legal and negotiating strategy. What will you emphasize?
Writing the Final Paper The Paper:
- Must be 12-15 double-spaced pages in length and formatted according to APA style as outlined in the approved APA style guide. Title, reference, and any exhibits or appendices are not counted in the paper length.Â
- Must include a cover page that includes:Name of paperStudentÂ’s nameCourse name and numberInstructorÂ’s nameDate submitted
- Must include an introductory paragraph with a succinct thesis statement
- Must address the topic of the paper with critical thought.
- Must conclude with a restatement of the thesis and a conclusion paragraph
- Must use APA style to document all sources.
- Must include a final reference page that includes the references that you relied upon in constructing your paper per APA guidelines. Â
Carefully review the Grading Rubric for the criteria that will be used to evaluate your assignment.