Leveraged Buyout

Fully diluted shares are the total outstanding shares a company would have after all dilutive securities, such as convertible preferred stock and warrants, have been assumed as converted or exercised.

In simple terms, business valuation is how much someone would pay to buy the company. While many business owners place sentimental value on their business ventures, there are many reasons to determine a more grounded, realistic value.

Burn rate is the rate at which a business spends money. It’s typically used by new businesses to track how much they spend in venture capital funding before creating their own positive cash flows. It is a measurement of negative monthly cash flow.