Explainers
Plain-English guides to the language of private markets. Short, jargon-free, and written for readers who want the idea before the ticker.
IPO
The first time a private company sells shares to the general public.
Read the explainer02Direct Listing
A way to go public by listing existing shares, without raising new money.
Read the explainer03SPAC
A shell company that raises money first, then merges with a private business to take it public.
Read the explainer04Lock-up Period
A window after an IPO when insiders are not allowed to sell their shares.
Read the explainer05Valuation
The price tag placed on an entire company, usually set in a funding round.
Read the explainer06Unicorn
A startup that has reached a valuation of at least a billion dollars.
Read the explainer07Funding Rounds
The stages in which a private company raises money from investors as it grows.
Read the explainer08Cap Table
A record of who owns what share of a company.
Read the explainer09Secondary Market
Where existing shareholders sell private-company shares to other buyers.
Read the explainer10Tender Offer
An organized event where a company or investor offers to buy shares from holders.
Read the explainer11SPV
A separate legal entity set up to hold a single investment on behalf of many investors.
Read the explainer12Venture Capital
Money from investors who back young, high-growth companies in exchange for ownership.
Read the explainer13Down Round
A round where a company raises money at a lower valuation than its previous one.
Read the explainer14Dilution
What happens to your ownership share when a company issues new shares.
Read the explainer15Accredited Investor
An investor who meets income or wealth tests set by regulators to buy private securities.
Read the explainerIllustrative explainers. Figures in examples are hypothetical.
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