Guidelines for Employing Term Sheet Templates

• 1. Maintain Clarity and Brevity Craft your term sheet in a clear and concise manner. Avoid unnecessary legal jargon to ensure it is easily comprehensible for all stakeholders.
• 2. Include Key Components Ensure the term sheet covers essential details such as valuation, investment sum, and equity share. Clearly define governance structures and investor rights.
• 3. Regularly Update as Needed As negotiations progress, term sheets may require adjustments. Keep the template up-to-date with the latest agreed-upon terms and maintain a record of previous versions for reference.