Pro rata is a Latin term that translates to "in proportion." Put simply, it is used to describe a proportionate allocation. It's a process in which an allocated asset is distributed in equal portions.

Lee Edwards, partner at Root VC, has a saying at his firm that “pro rata rights are earned, not given.” That may be a bit of a stretch since pro rata refers to a term that VCs put in their term sheets ...

Q. Hi Dan. In your last column you wrote about “… a rather infamous provision dubbed the ‘pro-rata rule.’” One of my IRAs is non-deductible, so I need to know what that is and why it’s infamous. Can ...

In startup financing, certain investor rights show up so often that they feel like part of the background. One of the most common (and most misunderstood) is pro rata rights. Whether you are a founder ...

Subscription credit facilities usually require the ability to make, receive, and enforce capital calls on a pro rata basis, whether directly or indirectly through a cascading pledge structure, on 100% ...