A profits interest is a form of equity in an LLC that gives the holder a share of future profits and appreciation only — not existing value — commonly used to reward team members tax-efficiently.

The post-termination exercise period is the window after an employee leaves during which they may still exercise vested stock options before those options expire.

A 409A valuation is an independent appraisal of a U.S. private company’s common stock fair market value, used to set the strike price of stock options and stay compliant with IRC Section 409A.

Milestone (tranched) financing releases committed capital in stages, with each tranche unlocked only when the company hits agreed operational or financial milestones.

Warrant coverage gives an investor or lender warrants to buy additional shares at a set price, expressed as a percentage of the amount invested, as extra upside on top of the deal.

Revenue-based financing provides capital that is repaid as a fixed percentage of the company’s ongoing revenue until a capped total is reached, without taking equity.

A rolling fund is a venture fund structured to raise capital continuously through quarterly subscriptions, letting new LPs join on an ongoing basis rather than in one closed raise.

An SPV is a single-purpose entity that ring-fences one investment or asset. How deal-by-deal venture SPVs work, why founders like clean cap tables — and how the structure maps onto Turkish law (holding A.Ş., foreign vehicle, GSYF).

A fund’s vintage year is the year it makes its first investments; it is the standard cohort used to benchmark fund performance against peers raised in the same period.

Protective provisions are veto rights that require preferred investors’ consent before the company takes specified major actions, regardless of board or shareholder majorities.