Investors are growing more conservative as valuations are cooling down, and the balance of power between entrepreneurs and VCs may be shifting back toward the money men.
As a result, some investors feel more empowered to add crazy terms to a deal before closing. We chose not to include strictly financial demands, such as liquidation preferences that let investors cash out before anyone else, because they’re really set on a case-by-case basis. But here’s a collection of other terrible demands that entrepreneurs should watch out for.