Playbook #11 - How to prepare for due diligence 🕵‍♀
Atty. Josef Acuña is a very experienced lawyer who has helped both investors and startup founders and in this playbook, he will teach how to properly prepare and execute due diligence in a startup fundraising round. Josef will share the things startup founders shall prepare for and the process of due diligence that they have to accomplish in order to get the check from their potential investors in this playbook brought to you by Unionbank Globallinker.
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Links mentioned in this episode:
Due Diligence - Professionals define due diligence as an investigation or audit of a potential investment consummated by a prospective buyer. The objective is to confirm the accuracy of the seller’s information and appraise its value.
Term Sheet - A document outlining the material terms and conditions of a business agreement.
Gentleman's Agreement - An informal, often unwritten agreement or transaction backed only by the integrity of the counterparty to actually abide by its terms.
CI - A term that stands for “Customer Intelligence.”
KYC - A term that stands for “Know Your Customer.”
Cap Table - A term that is short for "Capitalization Table". This document is an intricate breakdown of a company’s shareholders’ equity.
Use of Proceeds (USOP) - This document summarizes how a company that aims to secure additional capital is going to spend the funds.
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