Glossary

Joint Venture

A joint venture is an arrangement between two or more individuals or companies to work towards a mutual business goal or project. The parties may choose to remain as separate entities or form a new business entity.
This glossary provides an overview of some key legal terms for startups. It's essential to consult with a legal professional to ensure a comprehensive understanding of these terms and their implications for your specific situation.

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Anti-dilution
A protective provision for investors that adjusts their equity ownership percentage in the event of a future funding round at a lower valuation, ensuring their stake is not reduced unfairly.
Novation Contract
Put simply, a novation contract is drawn up when an agreement between two parties is altered by a third party taking the place of one of the original parties.
Simple Agreement for Future Equity (SAFE)
A financing instrument that allows investors to provide capital to a company in exchange for the right to receive equity at a later date, typically during a future funding round.

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