When a startup is acquired, the proceeds are distributed in accordance with the Cap Table [ https://www.quora.com/topic/Capitalization-Table ], the list showing who owns what percentage of the company and the order in which they will be paid.
Imagine a Baskin Robbins where you can get any flavor you want, as long as it is vanilla. Based on recent data provided by the National Venture Capital Association in partnership with Aumni, the market for venture capital deal terms seem to be that kind of store.
How many times do you hear that someone wants to try a pilot first? There is absolutely nothing wrong with pilots, prototypes, MVPs, or proofs of concept. In fact, it is highly recommendable to do testing before going into full production.