Learn more about common financial (and startup) terms here. To learn more about Pilot, fill out the form below.
A down round is a financing round where a company raises capital by selling its shares at a lower price than in the previous funding round, hence, reducing the company's valuation.
Down rounds can happen for a variety of reasons, including poor company performance, a downturn in the market, or a high initial valuation. While they can dilute the ownership and control of existing shareholders, down rounds can provide necessary funding to keep a company afloat. The key is to understand why the down round is happening and make strategic decisions accordingly.
Pilot provides bookkeeping, CFO, and tax services for literally thousands of startups and growing businesses. We've successfully processed over 10 million transactions for our customers and have unparalleled expertise when it comes to helping businesses succeed.
We're the largest startup-focused accounting firm in the United States, and we'd love to help you. To talk to an expert on our team and find out what Pilot can do for you, please click "Talk to an Expert" below, or email us at info@pilot.com.
Get the peace of mind that comes from partnering with our experienced finance team.