Liquidation preference basics

15 mins to learn the basics of liquidation preferences

What happens when you exit a company? Who gets paid first and who gets paid how much? Find out in this module

Join 4151 learners in mastering this module!
Martin standing in front of two doors with the word "exit" above them. The one on the left is a big door, the one on the right is a tiny door
Fundraising
Pre-revenue

Liquidation preference basics

What’s inside

In this lesson, learn what the basics of liquidation preferences are. When exiting a startup, who gets paid first, who gets paid how much, how much do angels make and how much do VCs or founders make? Find out in this lesson

What you will learn

What you will create

Reviews

reviewer
Hannah Waters

Serial entrepreneur

I landed on Sketchnote expecting the hyped-up advice on how everyone should be an entrepreneur. Instead I found a stylish, warm and fun productivity tool that helped me along my journey as an entrepreneur, with all its ups and downs. I love the colorful mentors, especially Frances, my personal favorite. I would recommend Sketchnote to any first-time entrepreneur looking to fast-track the startup learning curve.

reviewer
Jorge Fields

Managing partner, Cupido Capital

Two years ago I got together with 22 entrepreneurs to launch Cupido Capital, an early-stage fund focused on pre-seed startups. At Cupido, we assign a mentor for every startup we invest in. Thanks to Sketchnote, our mentors can focus on providing sector-specific advice and help with networking. Sketchnote learning tools provide the nuts and bolts for building a startup, as well as practical templates such as NDAs, SHAs and ESOPs.

reviewer
Oscar Ramsey

CEO, Accelerata

Sketchnote has helped Accelerata scale our startup incubation model across different countries by providing an all-in-one learning and collaborative product suite.

reviewer
Ashish Vivekananda

Head of IEAD Rockett program

Our business school badly needed Sketchnote. It has helped us double our intake in our Rockett Labs programme for aspiring entrepreneurs among our MBA students.

reviewer
Federico Mancini

Italian student

I fell in love with Lucy Lee thanks to Sketchnote. Lucy, if you can read this, let's build a dating startup in my hometown, Capri. It's-a-beautiful!

reviewer
Hannah Waters

Serial entrepreneur

I landed on Sketchnote expecting the hyped-up advice on how everyone should be an entrepreneur. Instead I found a stylish, warm and fun productivity tool that helped me along my journey as an entrepreneur, with all its ups and downs. I love the colorful mentors, especially Frances, my personal favorite. I would recommend Sketchnote to any first-time entrepreneur looking to fast-track the startup learning curve.

reviewer
Jorge Fields

Managing partner, Cupido Capital

Two years ago I got together with 22 entrepreneurs to launch Cupido Capital, an early-stage fund focused on pre-seed startups. At Cupido, we assign a mentor for every startup we invest in. Thanks to Sketchnote, our mentors can focus on providing sector-specific advice and help with networking. Sketchnote learning tools provide the nuts and bolts for building a startup, as well as practical templates such as NDAs, SHAs and ESOPs.

reviewer
Oscar Ramsey

CEO, Accelerata

Sketchnote has helped Accelerata scale our startup incubation model across different countries by providing an all-in-one learning and collaborative product suite.

reviewer
Ashish Vivekananda

Head of IEAD Rockett program

Our business school badly needed Sketchnote. It has helped us double our intake in our Rockett Labs programme for aspiring entrepreneurs among our MBA students.

reviewer
Federico Mancini

Italian student

I fell in love with Lucy Lee thanks to Sketchnote. Lucy, if you can read this, let's build a dating startup in my hometown, Capri. It's-a-beautiful!

reviewer
Hannah Waters

Serial entrepreneur

I landed on Sketchnote expecting the hyped-up advice on how everyone should be an entrepreneur. Instead I found a stylish, warm and fun productivity tool that helped me along my journey as an entrepreneur, with all its ups and downs. I love the colorful mentors, especially Frances, my personal favorite. I would recommend Sketchnote to any first-time entrepreneur looking to fast-track the startup learning curve.

reviewer
Jorge Fields

Managing partner, Cupido Capital

Two years ago I got together with 22 entrepreneurs to launch Cupido Capital, an early-stage fund focused on pre-seed startups. At Cupido, we assign a mentor for every startup we invest in. Thanks to Sketchnote, our mentors can focus on providing sector-specific advice and help with networking. Sketchnote learning tools provide the nuts and bolts for building a startup, as well as practical templates such as NDAs, SHAs and ESOPs.

reviewer
Oscar Ramsey

CEO, Accelerata

Sketchnote has helped Accelerata scale our startup incubation model across different countries by providing an all-in-one learning and collaborative product suite.

reviewer
Ashish Vivekananda

Head of IEAD Rockett program

Our business school badly needed Sketchnote. It has helped us double our intake in our Rockett Labs programme for aspiring entrepreneurs among our MBA students.

reviewer
Federico Mancini

Italian student

I fell in love with Lucy Lee thanks to Sketchnote. Lucy, if you can read this, let's build a dating startup in my hometown, Capri. It's-a-beautiful!

footer
Ready to build your startup?
Explore our workspace and features, and embark on your entrepreneurial journey
Sign up for free
Frances Love, Nancy Newman and technical engineers smiling and fixing equipment.