Exploding term sheets

Exploding term sheets,

Definition of Exploding term sheets:

  1. A clause included in the terms of an offer or inquiry made by a potential investor in a start-up venture that attached an expiration date by which the offer must be accepted or it becomes null and void. Exploding terms sheets are thought to be used by venture capitalists to pressure start-ups into accepting their deal before shopping it around for competitive bids.

Meaning of Exploding term sheets & Exploding term sheets Definition