Pro rata rights represent the right for investors to participate in subsequent rounds of startup funding beyond their original investment. Generally utilized to preserve ownership stake when a startup pursues additional rounds of funding, pro rata rights are typically used … Continue reading
Ownership Stake
No matter what funding round an investor decides to invest in, subsequent funding rounds can impact an investment. Each funding round a startup goes through after an investment is made has the potential to reduce the ownership stake, slowly chipping … Continue reading
