Private Equity Glossary

A B C D E F G H I L M N O P Q R S T V W
Screening
The process of identifying and evaluating potential investment opportunities.

Secondary Fund
A fund investing in existing fund interests to provide liquidity to existing investors.

Seed Funding
The initial capital invested in a startup to develop a prototype and validate market fit.

Series A
The first institutional equity financing round following seed stage, aimed at scaling product and market presence.

Share Purchase Agreement (SPA)
A contract detailing terms and conditions for the sale and purchase of shares in a company.

Shareholding
The group of shareholders in a company and the distribution of shares held by each.

Side Letter
A supplementary agreement granting specific terms or privileges to certain investors beyond the main fund documents.

Skin in the Game
The practice of fund managers investing their own capital alongside investors to align interests.

Subscription Agreement
A contract committing a Limited Partner to invest a specified amount in a fund under agreed terms.