Startup Glossary

Underwriting is the process by which an individual or institution takes on financial risk for a fee, often associated with the issuance of new shares.

Underwriting Discount refers to the fee charged by underwriters when they agree to buy and resell shares at a certain price, typically in an IPO process.

Undiluted Ownership is ownership of a company`s shares without considering the potential effect of stock option conversions or the issuance of new shares.

An Unfair Advantage is a unique attribute or asset that cannot be easily replicated or surpassed by competitors, giving a startup a competitive edge in its market.

An Unfunded Liability is a liability, such as a pension plan benefit, that does not have assets set aside to fund the future payment.

A Unicorn is a startup company valued at over $1 billion, typically in the tech sector, indicating high growth potential.

The Unicorn Pipeline is the flow or progression of startups that have the potential to become unicorns, or companies valued at over $1 billion.

Unified Branding is the practice of ensuring all marketing and communication efforts present a consistent brand image and message across all channels and platforms.

A Unified Communication Platform integrates multiple communication methods within a business, such as email, chat, video calls, and file sharing, to streamline and improve internal and external communication.

The Uniform Commercial Code (UCC) is a set of laws that provide legal rules and regulations governing commercial or business dealings and transactions in the United States.

A Unilateral Agreement is a contract in which one party agrees to make a promise or agreement without requiring the other party to reciprocate.

Uninvested refers to funds that have been raised but not yet allocated or spent by a startup, often kept in reserve for future use.

A Unique Identifier is a distinct and exclusive identifier assigned to individuals, items, or records, facilitating easy identification and tracking within digital systems.

The Unique Selling Proposition is a distinct advantage or benefit that sets a product or service apart from its competitors, aimed at attracting customers.

A Unique Value Proposition is a clear statement that describes the benefit of an offer, how it solves customers` problems, and what distinguishes it from the competition.

Upfront Revenue is revenue received before delivering a product or service, often used in subscription-based models or for pre-orders.

Unit Contribution Margin is the revenue per unit sold minus the variable costs per unit, indicating the contribution of each unit sold to covering fixed costs.

Unit Cost Analysis examines the cost associated with producing or acquiring a single unit of a product or service, critical for pricing strategies and profitability assessments.

Unit Economics is the analysis of the direct revenues and costs associated with a particular business model expressed on a per unit basis.

A Unit Holder is an investor or owner of units in a venture fund or trust, akin to a shareholder in a corporation.