Understanding Pro Rata Rights Is Essential for Investors Pro rata rights represent the right for investors to participate in subsequent rounds of startup funding beyond their original investment. Pro rata rights are typically used to preserve equity or ownership stakes … 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
