Startup Terms Glossary
What is an Exit Event?
An exit event refers to the sale or change in control of a startup, signaling the ‘exiting’ of ownership. This shift is also known as a liquidity event. When an investor takes part in an exit event, they end up with either a profit or a loss.
Exit Event Examples
Examples of exit event types include:
- Example 1. One to one sale
- Example 2. Company merger
- Example 3. Management buy-out
- Example 4. Company buy-back
- Example 5. An asset sale
Here’s another web page about an exit event can mean for a start up.