Option Pool

A reserved number of shares set aside for future issuance to employees, advisors, and other service providers as part of an equity incentive plan.

Share:

This glossary provides an overview of some key legal terms for startups. It's essential to consult with a legal professional to ensure a comprehensive understanding of these terms and their implications for your specific situation.

People also read

Series A Funding

Series A funding is a type of equity-based financing that is considered the first major round of external funding startups can raise. Also known as Series A financing, it’s usually funded by private equity firms and venture capital firms.

Subsidiary

A subsidiary is a company that belongs partially or completely to a parent company or holding company. It’s a separate company from its parent or holding company, yet the parent or holding company exerts at least some influence over the subsidiary through at least 51% stock ownership, seats on the board of directors, and company decision-making.

Articles of Association

A document that sets out the rules and regulations governing the management of a company, including its internal affairs and shareholder rights.