Startup Glossary

A Tactical Business Plan focuses on the short-term actions and strategies required to achieve immediate business goals, emphasizing specific steps and measurable outcomes.

Tag-Along Rights protect minority shareholders by allowing them to join in when a majority shareholder sells their stake, ensuring they can sell their shares under similar terms.

Talent Acquisition is the strategic process of finding and hiring skilled personnel to meet the organizational needs of a startup, encompassing sourcing, recruiting, and onboarding talent.

Tangible Assets are physical and measurable assets owned by a company, such as equipment, inventory, and real estate, which can be used as collateral for financing or valued in the company`s balance sheet.

Tangible Net Worth is the sum of a company`s physical assets minus its liabilities and intangible assets like goodwill. It provides a measure of the company`s value derived from its tangible resources.

The Target Market is the specific group of consumers identified as the intended audience for a product or service, based on characteristics like demographics, interests, and behaviors.

Tax Credits are financial incentives that reduce the amount of tax owed by a business or individual, encouraging investment in certain activities, such as research and development or renewable energy projects.

A Teardown is a detailed disassembly and analysis of a product to understand its components, manufacturing cost, and design features, often used for competitive analysis and product improvement.

A Teaser is a preliminary marketing document providing a brief overview of a company or investment opportunity to potential investors, designed to spark interest without disclosing detailed information.

A Teaser Rate is an attractively low initial interest rate offered on a loan or credit product, which typically adjusts to a higher rate after a certain period, used to attract borrowers.

The Technology Stack refers to the combination of technologies a startup uses to build and deploy its applications, including programming languages, frameworks, databases, and servers.

Technology Transfer is the process of sharing or disseminating technology between different organizations, such as universities and companies, to enable broader access to and application of scientific and technological developments.

A Tender Offer is a public proposal by an individual or entity to purchase a substantial percentage of a company`s shares directly from the shareholders, at a specified price and within a certain timeframe, often aiming for control or significant influence.

Tenor refers to the duration until the maturity of a financial instrument, such as a bond or loan, indicating the time frame within which the principal must be repaid.

Term Conversion involves changing the terms of a financial instrument, such as converting a convertible note into equity shares during a startup`s equity financing round, according to predefined conditions.

A Term Loan is a bank loan for a specific amount with a set repayment schedule and either a fixed or variable interest rate. It`s used by startups for significant purchases or investments.

A Term Sheet is a non-binding document outlining the preliminary terms and conditions of an investment, serving as the basis for further negotiation and due diligence before finalizing the investment agreement.

A Test Market is a specific geographic region or demographic group used to trial and evaluate the market response to a product or service before a broader rollout, helping startups refine their offering and marketing strategy.

Thematic Investment focuses on specific themes or trends anticipated to influence the market or industry, allowing investors to target investments in areas expected to experience growth or transformation.

Third-Party Risk arises from relying on external parties for services or supplies, potentially impacting a startup`s operations, security, or reputation if those third parties fail to meet contractual or performance standards.