M&A Transaction

An M&A transaction is a merger or acquisition transaction whereby one party purchases the assets or stock of another, and/or two parties merge together into one entity.


Moat

Moats are the advantages a company has over its competitors. Moat is often used to refer to the head start and infrastructure that larger, more established companies have over startups.


Memorandum of Understanding (MOU)

See Letter of Intent (LOI) and Indication of Interest (IOI).


Managing Director (VC Firm)

A Managing Director is a senior partner at a VC firm.


Multiples

Multiples is a valuation method of companies. A company’s value will be expressed by multiplying certain metrics like net income or revenue and comparing them against what public and private companies’ values were with similar multiples. If a similar public […]


Major Investors

Major Investors are investors who own a large portion of a company’s shares and as such receive preferential rights. The amount of shares necessary to become a major investor varies among financial documents and companies.


Monthly Recurring Revenue (MRR)

Monthly Recurring Revenue (MRR) is the amount of revenue a company generates from recurring payments in a single month.


Milestones

Milestones are company goals used as incentives for employees or company contracts. If a company reaches certain objectives, it may receive greater funding from an investor or an employee may receive a larger bonus.


Micro VC

A Micro VC is a venture fund with less than $25M in funds.


Mergers and Acquisition (M&A)

Mergers and Acquisition (M&A) is a term used to refer to the corporate strategy involved in the consolidation of companies.