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hello everyone my name is bhitri and welcome once again to best stage millionaires in this video startup 101 series im going to be talking about options im going to be talking about what a term sheet is what are the things which are involved in a term sheet and what are the things that one needs to keep in mind before signing his or her first term sheet so going by the textbook definition of a down sheet its basically an agreement between a founder and an investor an investor in a company or investors in a company because there could be multiple investors in one room so that agreement has all the details about that investment it has all the details about the kind of money that these investors when investing in that company it also has details about the kind of equity that this company is giving back to these investors and it also has details about the kind of shares that this company is issuing back to the investors so these shares could be primary shares secondary shares convertibl