Series Seed Preferred Stock Purchase Agreement
Originally published: 08/11/2017 15:09
Publication number: ELQ-26757-1
View all versions & Certificate

Series Seed Preferred Stock Purchase Agreement

Gust Series Seed Preferred Stock Purchase Agreement Template (18 pages)

Series Seed financing can be defined as when investment in the company is exchanged for preferred stock. If you have preferred stock, your dividends must be paid to you before that of common shareholders. However, if you have preferred shares you have sacrificed your voting rights.

Preferred stock pays fixed dividends and has also the potential to appreciate in price. That is to say, it combines features of debt and equity.

Preferred stock usually yields more than common stock, and it can be paid every month or every quarter. The dividends are fixed or set according to a benchmark interest rate. The dividend yield is influenced by adjustable-rate shares, and participating shares are able to pay more dividends that calculated by common stock dividends or business profits.

This is a template for agreeing on preferred stock purchases for your company to use when working with investors.

*Originally posted on Gust's website.*

This Best Practice includes
1 Downloadable Series Seed Preferred Stock Purchase Agreement Template

Gust offers you this Best Practice for free!

download for free

Add to bookmarks



People using this Best Practice also downloaded


Related categories

See all

Any questions on Series Seed Preferred Stock Purchase Agreement?

The user community and author are here to help. Go ahead!

4.7 / 5 (10 votes)

please wait...