Startup Fundraising Glossary

Navigate the world of startup financing with confidence

Explore a glossary of essential terms in startups, startup fundraising, bootstrapping and entrepreneurship. Decode the terminology and jargon with ease.

  • One-on-One Investor Meetings

    One-on-One Investor Meetings involve personalized meetings between a startup`s representatives and potential investors to discuss investment opportunities.

  • Ongoing Investor Relations

    Ongoing Investor Relations involves the continuous effort to maintain and strengthen the communication and relationship between a startup and its investors.

  • Ongoing Support Agreement

    An Ongoing Support Agreement ensures continuous support, maintenance, or service from a vendor or partner post-purchase.

  • Online Branding Strategy

    An Online Branding Strategy is the approach a startup takes to build and manage its brand identity and reputation over the internet.

  • Online Community Building

    Online Community Building involves the creation and cultivation of an online platform where customers or users can interact, share ideas, and foster relationships.

  • Online Engagement Metrics

    Online Engagement Metrics involve analyzing online interactions, such as website visits or social media engagement, to gauge interest in a startup`s fundraising efforts.

  • Online Market Penetration

    Online Market Penetration involves the strategy and process of increasing a startup`s share within online markets or digital platforms.

  • Online Marketplace

    An Online Marketplace is a platform that connects buyers and sellers over the internet, facilitating transactions of goods and services.

  • Online Presence

    An Online Presence is the collective existence of a company or individual on the Internet, through a website, social media, or other online platforms.

  • Online Visibility Strategy

    An Online Visibility Strategy involves developing and implementing tactics to increase a startup`s presence and discoverability on the internet.

  • Open API Economy

    The Open API Economy involves utilizing open Application Programming Interfaces (APIs) to create business models that encourage innovation through third-party developers.

  • Open Book Management

    Open Book Management is a management approach where employees are provided with company financial information to make informed business decisions.

  • Open Innovation

    Open Innovation is the practice of sourcing ideas, insights, and technologies from outside entities to drive internal innovation.

  • Open Source Software Utilization

    Open Source Software Utilization involves the practice of using freely available software code to build or enhance digital products and services.

  • Open-End Fund

    An Open-End Fund is an investment fund that continuously issues new shares and buys back shares from investors, without a fixed number of shares.

  • Operating Agreement

    An Operating Agreement is a document outlining the governance and operational guidelines of an LLC, including ownership percentages and profit sharing.

  • Operating Budget

    An Operating Budget is a detailed projection of all estimated income and expenses based on forecasted sales revenue during a given period.

  • Operating Capital

    Operating Capital refers to funds used to support the day-to-day operations of a startup, covering expenses such as rent, payroll, and utilities.

  • Operating Cash Flow

    Operating Cash Flow is the amount of cash generated by a company`s normal business operations.

  • Operating Costs

    Operating Costs are expenses associated with the operation of a business, excluding the cost of goods sold.

  • Operating Expenditures

    Operating Expenditures are expenses incurred during regular business operations, such as rent, utilities, and payroll.

  • Operating Income

    Operating Income is revenue from business operations after deducting operating expenses and before taxes and interest.

  • Operating Leverage

    Operating Leverage is the degree to which a firm can increase operating income by increasing revenue, reflecting fixed versus variable costs.

  • Operating Margin

    Operating Margin is a profitability ratio calculated as operating income divided by net sales, showing the efficiency of a company`s core business.

  • Operational Agility Framework

    An Operational Agility Framework is a system enabling a startup to quickly adapt its operations in response to market changes, challenges, or opportunities.

  • Operational Autonomy

    Operational Autonomy refers to the degree to which a startup operates independently, making decisions without external interference.

  • Operational Break-even Point

    The Operational Break-even Point is the stage at which a startup`s revenues equal its operating expenses, indicating the initial point of profitability.

  • Operational Cash Burn Rate

    The Operational Cash Burn Rate is the rate at which a startup spends its cash reserves on day-to-day operations before reaching profitability.

  • Operational Cost Control

    Operational Cost Control involves the practice of monitoring and managing expenses to operate within a budget and improve profitability.

  • Operational Due Diligence

    Operational Due Diligence is the process of evaluating a company`s operational processes and efficiency before making an investment decision.

  • Operational Efficiency

    Operational Efficiency is the ability of a startup to deliver products or services in a cost-effective manner without sacrificing quality.

  • Operational Excellence Initiative

    An Operational Excellence Initiative is a strategic effort to improve the efficiency, productivity, and quality of a startup`s operations and processes.

  • Operational Milestones

    Operational Milestones are specific, measurable goals that a startup aims to achieve as part of its operational plan.

  • Operational Process Innovation

    Operational Process Innovation involves the introduction of new or improved operational procedures, techniques, or systems to enhance productivity and efficiency.

  • Operational Risk

    Operational Risk is the risk of loss resulting from inadequate or failed internal processes, people, systems, or external events.

  • Operational Risk Management

    Operational Risk Management involves the identification, assessment, and prioritization of risks to operations, with strategies to mitigate or manage these risks.

  • Operational Scaling

    Operational Scaling is the process of expanding a startup`s operational capacity to support increased product or service demand.

  • Operative Performance Metrics

    Operative Performance Metrics are key indicators used to measure and monitor the efficiency and effectiveness of a startup`s operational activities.

  • Opportunistic Growth Hacking

    Opportunistic Growth Hacking involves leveraging timely opportunities and innovative tactics to rapidly increase a startup`s market presence or customer base.

  • Opportunistic Venture

    An Opportunistic Venture is a business initiative that aims to capitalize on immediate market opportunities with high growth potential.

  • Opportunity Analysis

    Opportunity Analysis is the process of identifying and assessing the potential of a new business or product idea.

  • Opportunity Cost

    Opportunity Cost is the cost of forgoing the next best alternative when making a decision.

  • Opportunity Fund

    An Opportunity Fund is a specialized investment fund designed to invest in startups with significant growth potential in underserved markets or sectors.

  • Opportunity Identification

    Opportunity Identification is the process of recognizing new business opportunities, markets, or niches that a startup could potentially enter.

  • Opt-In Email Marketing

    Opt-In Email Marketing is a marketing strategy where recipients have explicitly consented to receive promotional emails from a company.

  • Optimal Capital Structure

    The Optimal Capital Structure is the mix of debt, equity, and other financing sources that minimizes the cost of capital while maximizing value.

  • Optimization of Resources

    The Optimization of Resources involves the strategic utilization of a company`s assets, finances, and personnel to maximize efficiency and productivity.

  • Optimized Resource Allocation

    Optimized Resource Allocation involves strategically distributing a startup`s resources, including capital, talent, and technology, to areas with the highest return potential.

  • Option Agreement

    An Option Agreement is a contract that gives the buyer the right, but not the obligation, to buy or sell an asset at a set price within a specific time frame.

  • Option Exercise Price

    The Option Exercise Price is the price at which an option holder can purchase (call option) or sell (put option) the underlying security.