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It would be particularly odd to reject it over solely that, because it's just a fixed-dollar difference. One easy way to overcome a finite difference in one par
by mjn 14y ago
It would be particularly odd to reject it over solely that, because it's just a fixed-dollar difference. One easy way to overcome a finite difference in one part of a term sheet is to offer more dollars in another part.
All Spark is doing here is offering to cover the first $25k of legal expenses. The startup is still liable for anything above that. That's an offer worth at most $25k in additional implied investment, relative to the case where they asked the startup to cover all legal fees. Actuarially, probably somewhat lower than $25k. So maybe you should value the offer at $15k. Not nothing, but not worth overriding everything else.