# #267: Term Sheets 101 with Giannuzzi Lewendon

- Show: [The Startup CPG Podcast](https://hardwarepodcasts.com/podcast/the-startup-cpg-podcast)
- Published: 2026-09-22
- Length: 44m
- Episode: 372
- Page: https://hardwarepodcasts.com/podcast/the-startup-cpg-podcast/2026-09-22-267-term-sheets-101-with-giannuzzi-lewendon
- Listen: https://share.transistor.fm/s/f8099271

## Summary

Adam Marsh and Gabrielle McGonagle, partners at the CPG law firm Giannuzzi Lewendon, explain the critical components of term sheets for founders raising capital. They detail how to negotiate protective provisions, board control, and liquidation preferences to avoid long-term operational handcuffs and economic dilution. The guests emphasize that founders should often propose their own term sheets to set favorable terms regarding option pools and budget approvals, rather than reacting to investor drafts.

## Outline

1. Introduction and Definition of a Term Sheet
2. Who Drafts the Term Sheet and Why Founders Should Lead
3. Investor Blocking Rights and Protective Provisions
4. Board Control, Seats, and Observer Roles
5. Liquidation Preferences: Participating vs. Non-Participating
6. Option Pools and Redemption Rights
7. Pro Rata Rights, Reporting, and Negotiation Priorities

## Topics

- [Fundraising & investors](https://hardwarepodcasts.com/topic/fundraising)
- [Leadership, teams & culture](https://hardwarepodcasts.com/topic/leadership-and-culture)

## Most relevant to

early-stage companies

## Mentioned

- Giannuzzi Lewendon (company)
- BodyArmor (company)
- NVCA (other)

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- [068: Partnership & Funding Legal Considerations for Product Startups](https://hardwarepodcasts.com/podcast/product-startup/2021-03-23-068-partnership-funding-legal-considerations-for-product-startups) (Product Startup)
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## Citing this page

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