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Glossary

Down round

A down round is a financing round in which a startup sells new equity at a lower valuation or lower price per share than a previous priced financing.

Accurate as of Aug 23, 2026

Capital FinancingEquity Ownership

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Related terms

All 185 terms
Pre-money valuationPre-money valuation is the agreed value of a company immediately before a new investment round closes.SAFEA SAFE is an agreement where an investor gives a startup money now in exchange for the right to receive equity later, usually when the company raises a priced round.Secondary saleA secondary sale is the sale of existing shares or other equity interests by a current holder to a new buyer.

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Usage can vary across firms, programs, and jurisdictions; this definition describes the venture-scouting context.