11 Term sheets: An institutional investor wants to invest in you

After you have been operating self-funded, or friends-and-family funded, or maybe individual-angel-funded, your next step is an institutional round. You should have the following in place and feel good about them:

11.1 Your first institutional investor term sheet

11.1.1 A clean, standard seed financing term sheet

11.2 Problematic terms

11.3 Terms in follow-on rounds

11.4 The moral of this anecdote