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Your reference for startup terminology. Look up the meaning of any word you keep running into — from funding stages to legal terms — with definitions, pronunciation, etymology, examples, and links to related terms.
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Full business context from the first conversation. Daily operations, fundraising, revenue and finance, run with you. You approve every move. It handles the rest.
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/ay-ar-ar/
Annual Recurring Revenue — the value of all subscription contracts normalized over a 12-month period. The headline metric most SaaS investors track.
Investor protections that adjust ownership percentages if shares are later issued at a lower price than they originally paid (a down round).
Capitalization table — a record of equity ownership showing founders, investors, option pools, and convertible instruments across the company.
/kak/
Customer Acquisition Cost — the total sales and marketing spend required to acquire one new paying customer over a period.
The reduction in existing shareholders' ownership percentage that occurs when a company issues new shares, typically during a financing round.
The number of months a startup can continue operating before running out of cash, calculated as current cash divided by monthly net burn.
/sayf/
Simple Agreement for Future Equity — a convertible instrument that grants investors the right to equity in a future priced round, without debt or interest.
/tam/
Total Addressable Market — the total revenue opportunity available if a product achieved 100% market share within its category.