4 Questions
What makes preferred shares generally worth more than common stock before conversion?
Liquidation preference
How does the post-money valuation affect the liquidation preference in this context?
It increases the liquidation preference for preferred shareholders
What happens if the sale price is exactly $36 million in the scenario?
$6 million goes to Series A and $30 million goes to Series B
What role does participation rights play in the calculation of proceeds for investors in this scenario?
It affects how much each investor group receives in a sale
This quiz covers the regulations set by the FCA for crowdfunding, including the types of investors that firms can promote offers to and the limits on investments. It also touches on the historical perspective of crowdfunding in the U.S.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
