What if the deal terms change after I’ve invested?

Deal terms often change during the raising of a round. This can be minor, such as changing the share price to include an extra decimal point, all the way to raising an equity round instead of raising debt.

Anything can be changed in Odin when it comes to deal terms, either by the Deal Lead or by Odin’s team.

If the changes are significant (change of investment type) or affect investors negatively (higher valuation cap), the Deal Lead must confirm with investors who’ve already transferred into the SPV that they’re still happy to invest on the updated terms, and agree to refund them if they aren’t.

The Deal Lead must also update the relevant deal details on Odin, and make the necessary edits to their investment memo so that potential investors are aware of the changes.

We advise Deal Leads to communicate the change(s) ahead of time to all parties proactively. If they were to submit a deal for closing and both Odin and their investors were led to believe it’s an ASA or SeedFAST, but Odin was then sent a Shareholder’s Agreement to sign with wildly different terms, Odin wouldn’t sign until all deal details had been edited and we’d seen proof of their investors’ willingness to move ahead with the updated terms.