SWOT Analysis

SWOT (strengths, weaknesses, opportunities, and threats) analysis lets you see your business’s advantages and disadvantages. It can be used in several ways at different stages in the business life cycle.

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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.

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Angel Investor

An angel investor is a type of individual investor who provides funding to up-and-coming startups in return for equity in the company.

Weighted Average

A weighted average assigns importance to values before calculating their average. This importance is represented mathematically by multiplying each value by its own predetermined "weight" number.

Secondary Sale

A secondary sale refers to the sale of existing securities or assets, such as shares of stock, from one investor to another within the secondary market. Unlike primary sales, where funds raised from issuing new securities go directly to the issuing company (such as in an IPO or initial public offering), in a secondary sale, the funds go to the selling shareholder, not to the company whose shares are being traded.