Ask HN: What's pro-rata? (And How to learn that related stuff?)
With the recent top post about YC "adding a pro rata provision" I feel like a complete n00b in these topics. I'm a startup founder and we're profitable, but I'm not familiar with all these terms. Maybe because we've bootstrapped and never need to raise money, but I still want to learn in case we ever receive private funding.
Related question: I remember reading a post a woman wrote about how a founder can get screwed and lose the all the rights to his/her company when the company was sold. Anyone remembers?
Sorry for the extra-n00b. Thanks!
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3 comments
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For example: "In corporate practice, a pro-rata dividend means that every shareholder gets an equal proportion for each share he or she owns."
As for not getting screwed, the best thing you can do is to get a lawyer to review all your contracts.
those 2 should give u a good overview