Similar to rights of first refusal. Preemptive rights refer to the right to purchase a company’s new shares before being offered to anyone else. In term sheets, the provision of the preemptive rights may be titled “Right to Participate Pro Rata in Future Rounds.” This is standard in term sheets.
Similar to rights of first refusal. Preemptive rights refer to the right to purchase a company’s new shares before being offered to anyone else. In term sheets, the provision of the preemptive rights may be titled “Right to Participate Pro Rata in Future Rounds.” This is standard in term sheets.
