Glossaria.net

Glossary Venture Capital / Term

‘No shop’ clause

The clause in a term sheet that states to the founder they are not to share the term sheet with other investors in order to receive a competing offer. This is a standard clause. The etiquette in venture is to give founders about a week or less for a decision on a term sheet to limit the time founders have to unofficially ‘shop around’ the deal.

Permanent link ‘No shop’ clause - Creation date 2020-03-10


< No-fault divorce Glossary / Venture Capital No Shop, No Solicitation Clauses >