Glossary · Deal process
Term sheet
A short outline of the main deal terms before lawyers write the long contracts. It covers money, ownership, and key rights — not every detail.
Related: Due diligence · Liquidation preference · Board of directors · Information rights · Exclusivity period (no-shop) · Protective provisions
A bit more nuance▾
- Term sheets can be binding or non-binding in parts; read the label.
- Negotiation culture varies: some markets move fast on one-pagers, others want documents earlier.
Go deeper▾
Discussion questions▾
- Which term sheet line item would you ask a lawyer about first?
- What would you trade for a higher valuation?
Educational reference only — not legal, tax, or investment advice. Terms vary by country and deal; ask a qualified professional when it matters.