I Posted on The Funded in 2007 shortly after initial launch. The company that lets entrepreneurs rate VC’s based on their various experiences has yet again raised the ante. The new service from The Funded will allow entrepreneurs access to the elusive term sheet. If you are unfamiliar with a term sheet check out three of my favorite resources that every serial entrepreneur should have bookmarked StartupLawyerBlog, Nivi’s blog and Venturehacks. (Be sure to check out the term sheet hack section).
Most entrepreneurs get lost in the application of terms like liquidation, conversion, redemption rights and anti-dilution (all found on a term sheet). Now the new beta program will now arm entrepreneurs with the most powerful weapon of all –real world knowledge and first-hand experience on what terms are common place and which ones are abusive. This is a boon for entrepreneurs as standardization of the term sheet is inevitable. According to VentureBeat The Funded will require a $250.00 a year subscription to access this information (well worth it!).
Stay tuned, because the P2P funding feature in SA 2.0 will utilize a similar approach. (Now you know what is taking so long to get version 2.0 out the door).
