“Do you agree with our plan for the next two/three/four quarters?” Discussing this before you sign a term sheet has a few benefits: (1) You learn what it’s like to work with the investor; (2) You discover if your investor agrees with your plan; and (3) Getting agreement on the plan before the financing is normative leverage.
(Full Post: http://venturehacks.com/articles/signing-term-sheet)
Babak Nivi is a co-founder of AngelList and Venture Hacks. Previously, he was an entrepreneur-in-residence at Bessemer Venture Partners and Atlas Venture. He has worked on startups including Songbird, Grockit, and Kovio. He went to school at MIT where received 2 patents and published in Science.