Preferred Stock Term Sheet
Here is a form for Preferred Stock Term Sheet.
This document is a summary of the basic terms and conditions of a venture capital investment, through the sale of preferred stock. It contains sections regarding the dividends received by holders of preferred shares, liquidation preference, redemption of outstanding preferred shares and their conversion to common shares. It includes also descriptions of the holder’s rights such as voting rights, preemptive rights and right of first refusal triggered when a founder of the company proposes to sell all or a portion of his shares to a third-party.
