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Glossary

Knowledge is power.

What is a Liquidity Event?

3 mins
A liquidity event is the moment paper wealth becomes real cash. This article defines the term, outlines the common types of exits, and explains why investors push for them.

What is a Change of Control Clause?

3 mins
Change of control clauses dictate specific outcomes when a company is sold. Founders must understand how these provisions affect debt repayment, stock vesting, and overall exit strategy.

What is the Bowling Alley Framework?

6 mins
This article explains how startups use the Bowling Alley Framework to transition from early adopters to mainstream customers by targeting sequential, adjacent market niches to build sustainable momentum.

What is Phishing?

7 mins
This article explains phishing as a psychological attack on business trust and outlines specific scenarios where startups are most vulnerable to these deceptive digital tactics.

What is Image Recognition?

6 mins
An in-depth look at image recognition for entrepreneurs, defining the technology, distinguishing it from broader computer vision, and outlining specific use cases and challenges in a startup context.

What is Franchise Tax?

3 mins
Franchise tax is a fee paid for the privilege of doing business in a state. It applies even if your startup has no revenue or profit.

What is Capital Gains Tax?

3 mins
Capital gains tax applies to profits from selling assets. For founders, understanding holding periods is critical for maximizing returns during an exit or equity sale.

What is an Exercise Price (Strike Price)?

3 mins
This article defines exercise price in startup equity, explaining how it functions within stock option grants and its relationship to fair market value and potential profit.

What is a Scrollmap?

7 mins
A scrollmap is a visual data tool that shows how far users scroll down a webpage, highlighting which content is seen and which is ignored.

What is a Pro Forma?

3 mins
Pro forma financials are projected statements based on assumptions. This guide explains their role in fundraising and planning, highlighting the difference between historical data and future modeling.