Tien Law Firm represented North Carolina-based beauty brand Painted Plus, LLC in the sale of its membership interest in Painted Plus and launched a new business venture Crescent Method, LLC. The Tien Law Firm deal team was led by managing attorney Sonya Tien and included Amiee Nwabuike.
Venture capital transactions1 begin with the “term sheet” or “letter of intent” (the “Term Sheet”).2 Although a term sheet is typically expressed as a non-binding document, it is the foundation upon which all other (binding) transaction documents are prepared. Typically, a Term Sheet can be divided into three basic categories: (i) terms that impact valuation and economic division of profits and proceeds upon a “liquidity” event, (ii) terms that impact control over decision making and (iii) investor protection terms. At
Letters of Intent (the LOI) in mergers and acquisitions (M&A) transactions are often the starting point on the road towards a successful deal and usually one of the first documents negotiated by the parties. The LOI is essentially a written expression of the parties’ intent to enter a transaction and a summary of the material terms. Since negotiating an M&A transaction (or any transaction for that matter) is time-consuming and costly for both parties and can disrupt the seller’s daily