Funding Appendix

Business Incubators: Business incubators are programs designed to accelerate the successful development of entrepreneurial companies through an array of business support resources and services.
 
Dilutive: Is the reduction of fractional ownership of each of a company's existing shareholders by the issuance of additional shares.
 
IPO: Initial Public Offering is the first sale of stock by a company to the public.
 
Ownership Equity: The amount of stake in the company an individual owns. Can be diluted through investments.
 
Seed Money/Funding: The investment of money into a new company to sustain itself, with the future intent to grow.
 
Series A: A company’s first round of significant venture capitals. The name refers to the class of preferred stock sold to investors in exchange for their investment.
 
Venture Capital: Is financial capital provided to early-stage, high-potential, high risk, growth startup companies.
 
Private Equity: This refers to the holding of stock in unlisted companies – companies that are not quoted on a stock exchange. It includes forms of venture capital and MBO financing.
 
MBO (Management Buyout): The act of the senior management of a publicly-traded company buying all of the company's shares outstanding. A management buyout gives the management complete control of the company and allows it to operate without recourse to shareholders. A management buyout is usually heavily leveraged and is a form of going private.
 
 
 
Got questions about other terms? Send us a note!

 

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