Failure to account for any additional rounds of financing and its accompanying dilution in order to meet projected earnings will result in the investor's not receiving an adequate number of shares to ensure the required percent ownership at the time of exit.

Question

Quizplus · Accepted Answer

Failure to account for additional rounds of financing can lead to dilution, reducing the investor's ownership percentage and potentially affecting their returns at exit.

Failure to Account for Any Additional Rounds of Financing and Its