Equity Interest definition: Copy, customize, and use instantly
Introduction
The term "Equity Interest" refers to ownership rights or stakes in a business or entity, often represented by shares, stocks, or other equity instruments. It is essential for defining ownership, financial rights, and voting power in agreements related to business transactions or corporate governance.
Below are various examples of how "Equity Interest" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Equity Interest" as ownership rights in shares
This definition ties "Equity Interest" to ownership of shares or stocks in a company.
"Equity Interest" means any ownership rights or interests in the shares, stocks, or equity instruments of a company, including rights to dividends and voting as applicable under this agreement.
Definition of "Equity Interest" as membership interests
This definition connects "Equity Interest" to ownership in non-corporate entities, such as LLCs.
"Equity Interest" refers to any ownership stake in a non-corporate entity, including membership interests, profit-sharing rights, and voting powers as outlined in this agreement.
Definition of "Equity Interest" as convertible securities
This definition links "Equity Interest" to securities that can be converted into ownership stakes.
"Equity Interest" means any rights or interests arising from convertible securities, such as convertible bonds or preferred shares, that may be converted into equity under the terms of this agreement.
Definition of "Equity Interest" as partnership stakes
This definition applies "Equity Interest" to ownership stakes in partnerships.
"Equity Interest" refers to any ownership, profit-sharing, or voting rights associated with a partnership, including general and limited partnership stakes as specified in this agreement.
Definition of "Equity Interest" as beneficial ownership
This definition ties "Equity Interest" to ownership rights held indirectly through trusts or similar arrangements.
"Equity Interest" means any beneficial ownership rights or interests held indirectly through trusts, nominees, or other arrangements as applicable under this agreement.
Definition of "Equity Interest" as voting equity
This definition connects "Equity Interest" to ownership rights that include voting privileges.
"Equity Interest" refers to any ownership stake that grants the holder voting rights in decisions affecting the entity, as outlined in this agreement.
Definition of "Equity Interest" as preferred equity
This definition ties "Equity Interest" to ownership that grants preferential rights.
"Equity Interest" means any ownership stake classified as preferred equity, which provides holders with preferential rights to dividends or assets upon liquidation as specified in this agreement.
Definition of "Equity Interest" as minority ownership
This definition connects "Equity Interest" to a stake that constitutes less than a controlling interest.
"Equity Interest" refers to any ownership stake representing less than 50% of the total equity of the entity, often without control over major decisions, as defined in this agreement.
Definition of "Equity Interest" as controlling ownership
This definition links "Equity Interest" to a stake that provides control over an entity’s decisions.
"Equity Interest" means any ownership stake that grants the holder majority control, including the ability to influence or make key decisions within the entity, as applicable under this agreement.
Definition of "Equity Interest" as residual equity
This definition ties "Equity Interest" to ownership rights that claim remaining assets after liabilities are settled.
"Equity Interest" means any ownership rights or stakes that entitle the holder to a share of the residual assets of the entity after all liabilities have been satisfied, as outlined in this agreement.
Definition of "Equity Interest" as restricted equity
This definition connects "Equity Interest" to ownership that is subject to transfer or usage restrictions.
"Equity Interest" refers to any ownership stake that is restricted in terms of transferability, voting rights, or other conditions as defined in this agreement.
Definition of "Equity Interest" as equity in kind
This definition links "Equity Interest" to ownership contributed through non-monetary assets.
"Equity Interest" means ownership stakes provided in exchange for non-monetary contributions, such as intellectual property, services, or tangible assets, as specified in this agreement.
Definition of "Equity Interest" as pro-rata ownership
This definition applies "Equity Interest" to stakes based on proportional investment.
"Equity Interest" refers to any ownership stake calculated on a pro-rata basis, reflecting the proportional investment or contribution made by the holder under this agreement.
Definition of "Equity Interest" as diluted equity
This definition ties "Equity Interest" to ownership stakes that have been reduced due to the issuance of additional shares or equity instruments.
"Equity Interest" means any ownership stake that has been adjusted or reduced as a result of the issuance of new shares, options, or other equity instruments, as outlined in this agreement.
Definition of "Equity Interest" as non-voting equity
This definition connects "Equity Interest" to ownership rights that exclude voting privileges.
"Equity Interest" refers to any ownership stake that does not grant the holder voting rights in the entity’s decision-making processes, as specified in this agreement.
Definition of "Equity Interest" as joint equity
This definition links "Equity Interest" to ownership shared between multiple parties.
"Equity Interest" means any ownership stake held jointly by two or more parties, including shared rights to profits, dividends, and responsibilities under this agreement.
Definition of "Equity Interest" as vested equity
This definition applies "Equity Interest" to ownership rights that become exercisable after meeting specific conditions.
"Equity Interest" refers to ownership stakes that are subject to vesting schedules or conditions, becoming fully owned by the holder upon fulfilling the terms specified in this agreement.
Definition of "Equity Interest" as public equity
This definition ties "Equity Interest" to ownership stakes available through public markets.
"Equity Interest" means any ownership stake in a publicly traded company, acquired or held through public equity markets as relevant to this agreement.
Definition of "Equity Interest" as subordinated equity
This definition ties "Equity Interest" to ownership rights that are secondary to other claims.
"Equity Interest" means any ownership stake that is subordinate to other claims, such as debt or senior equity, in terms of payout or priority as outlined in this agreement.
Definition of "Equity Interest" as derivative equity
This definition connects "Equity Interest" to ownership derived from financial instruments.
"Equity Interest" refers to any ownership stake arising from derivative financial instruments, such as options or warrants, as applicable under this agreement.
Definition of "Equity Interest" as treasury equity
This definition links "Equity Interest" to ownership retained by the entity itself.
"Equity Interest" means shares or ownership stakes held by the entity itself, commonly referred to as treasury stock, as specified in this agreement.
Definition of "Equity Interest" as equity pool
This definition applies "Equity Interest" to reserved ownership for employees or other stakeholders.
"Equity Interest" refers to ownership stakes set aside in an equity pool for allocation to employees, consultants, or other stakeholders, as outlined in this agreement.
Definition of "Equity Interest" as equity in liquidation
This definition ties "Equity Interest" to ownership rights during liquidation.
"Equity Interest" means any ownership rights entitling the holder to a share of the entity’s assets upon liquidation, subject to the priority of other claims as defined in this agreement.
Definition of "Equity Interest" as equity with clawback provisions
This definition connects "Equity Interest" to ownership that can be reclaimed under certain conditions.
"Equity Interest" refers to ownership stakes that are subject to clawback provisions, allowing the entity to reclaim equity under specific circumstances as outlined in this agreement.
Definition of "Equity Interest" as pledged equity
This definition ties "Equity Interest" to ownership used as collateral for obligations.
"Equity Interest" means any ownership stake that has been pledged or assigned as collateral to secure a loan, obligation, or other financial arrangement as outlined in this agreement.
Definition of "Equity Interest" as equity with profit participation
This definition connects "Equity Interest" to ownership granting rights to share in profits.
"Equity Interest" refers to ownership stakes that entitle the holder to participate in the entity’s profits, as specified under the terms of this agreement.
Definition of "Equity Interest" as unallocated equity
This definition links "Equity Interest" to ownership that has not yet been assigned or distributed.
"Equity Interest" means any ownership stake that remains unallocated or reserved for future distribution as outlined in this agreement.
Definition of "Equity Interest" as retained earnings equity
This definition applies "Equity Interest" to ownership associated with retained earnings.
"Equity Interest" refers to ownership rights tied to retained earnings or accumulated profits of the entity, as defined under this agreement.
Definition of "Equity Interest" as sweat equity
This definition ties "Equity Interest" to ownership earned through non-monetary contributions.
"Equity Interest" means ownership stakes granted in exchange for labor, services, or other non-monetary contributions, often referred to as sweat equity, under this agreement.
Definition of "Equity Interest" as equity with dividend preference
This definition connects "Equity Interest" to ownership granting preferential dividend rights.
"Equity Interest" refers to ownership stakes that entitle the holder to receive dividends before other equity holders, as specified in this agreement.
Definition of "Equity Interest" as capped equity
This definition links "Equity Interest" to ownership with a maximum return limit.
"Equity Interest" means any ownership stake subject to a cap or limit on potential returns, as outlined in this agreement.
Definition of "Equity Interest" as equity in a joint venture
This definition ties "Equity Interest" to ownership in a joint venture.
"Equity Interest" means any ownership stake held by a party in a joint venture entity, including rights to profits, assets, or decision-making authority, as outlined in this agreement.
Definition of "Equity Interest" as equity with anti-dilution rights
This definition connects "Equity Interest" to ownership protected against dilution.
"Equity Interest" refers to any ownership stake that includes anti-dilution rights, ensuring the holder’s proportional ownership is maintained upon the issuance of additional shares, as specified in this agreement.
Definition of "Equity Interest" as founder equity
This definition links "Equity Interest" to ownership initially granted to founders.
"Equity Interest" means ownership stakes allocated to the founders of an entity, often tied to their initial contributions or efforts, as defined under this agreement.
Definition of "Equity Interest" as equity with redemption rights
This definition applies "Equity Interest" to ownership that can be redeemed under certain conditions.
"Equity Interest" refers to ownership stakes that grant the holder or the entity the right to redeem or repurchase the equity under specific conditions outlined in this agreement.
Definition of "Equity Interest" as locked-in equity
This definition ties "Equity Interest" to ownership restricted from transfer for a specified period.
"Equity Interest" means any ownership stake subject to a lock-in period during which the holder cannot sell, transfer, or dispose of the equity, as outlined in this agreement.
Definition of "Equity Interest" as contingent equity
This definition connects "Equity Interest" to ownership dependent on meeting specific conditions.
"Equity Interest" refers to any ownership stake that becomes effective or is allocated only upon the fulfillment of certain conditions, as defined under this agreement.
Definition of "Equity Interest" as split equity
This definition links "Equity Interest" to ownership divided into multiple classes or types.
"Equity Interest" means any ownership stake divided into different classes or categories, each with distinct rights and privileges, as specified in this agreement.
Definition of "Equity Interest" as equity in restructuring
This definition applies "Equity Interest" to ownership resulting from corporate restructuring.
"Equity Interest" refers to ownership stakes allocated or restructured during mergers, acquisitions, or other corporate reorganizations, as outlined in this agreement.
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