Burn Rate

A protective provision for investors that adjusts their equity ownership percentage in the event of a future funding round at a lower valuation, ensuring their stake is not reduced unfairly. Anti-dilution provisions can come in various forms, such as full ratchet or weighted average adjustments.

A quality of earnings report (QoE) reveals the true financial status of a company. It digs deeper than a standard income statement, breaking down income types, sources, and future viability.

The process of investigating and evaluating a potential investment or business opportunity, including reviewing financial statements, legal documents, and other relevant information.