A founder-friendly term sheet

The post outlines a founder-friendly term sheet that emphasizes fair and straightforward investment terms. It advocates for removing the option pool from pre-money valuation, not requiring companies to cover legal fees, and allowing founders ample time to consider offers. The author stresses the importance of simplicity in deal structures and prioritizes long-term relationships between founders and investors.

Published 2013-06-04 2 min read 404 words 2 topics

Before you set out 2/5 Navigation SeverityPoorly MarkedFindable with effort. The title or placement undersells what is actually inside.

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When I invest (outside of YC) I make offers with the following term sheet. I’ve tried to make the terms reflect what I wanted when I was a founder. A few people have asked me if I’d share it, so here it is. I think it’s

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Original source

Read the full essay on Sam Altman's blog

blog.samaltman.com/a-founder-friendly-term-sheet

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