This article posted to our partner site Mondaq.com details the essential elements of a shareholders’ agreement, which will ultimately be the final product of the term sheet.
\nThe author discusses the link between the preemptive right (right of first offer) and its effect as an anti-dilution mechanism. It also discusses the value of drag-along provisions which can accommodate investors’ liquidation preferences.
\nCertain articles within this post were linked and referenced with the permission of Mondaq.com, through our exciting content collaboration with them. To access Mondaq’s large database of articles written by top law firm lawyers from around the world, you must leave our site and create a free account on theirs.
","frontmatter":{"title":"Blog Bite: What Terms Should Be Negotiated in a Term Sheet?","date":"June 18, 2018","description":"This article posted to our partner site Mondaq details the essential elements of a shareholders' agreement, which will ultimately be the final product of the term sheet.","author":{"id":"cmcivor@cobaltcounsel.com","first":"Chris","last":"McIvor","bio":null,"image":null},"tags":["Term Sheet","Investor Term Sheet"]}}},"pageContext":{"slug":"/blog-bitewhat-terms-should-be-negotiated-in-a-term-sheet/","previous":{"fields":{"slug":"/blog-bite-what-is-the-aim-of-a-vesting-provision/"},"frontmatter":{"title":"Blog Bite: What Is the Aim of a Vesting Provision?","tags":["Term Sheet","Shareholders Agreement","Investor Term Sheet"],"author":{"id":"cmcivor@cobaltcounsel.com","first":"Chris","last":"McIvor"}}},"next":{"fields":{"slug":"/blog-bite-what-measures-can-a-shareholder-take-to-retain-voting-power-in-a-corporation/"},"frontmatter":{"title":"Using Stock Options as Currency – The “Cashless Exercise”","tags":["Term Sheet","Shareholders Agreement","Investor Term Sheet"],"author":{"id":"rajah@cobaltcounsel.com","first":"Rajah","last":"Lehal"}}}}}}