Business Pitch Dictionary by pitch.dog
Founder & employee equity · Core

Vesting schedule

Also called: vesting terms

ELI5

The plan showing when equity is earned.

Used in conversation

“The vesting schedule has monthly vesting after the cliff.”

Definition

The timetable and conditions under which equity becomes vested.

Here “Vesting schedule” means: The timetable and conditions under which equity becomes vested.

Pitch context

You will see “Vesting schedule” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches founder & employee equity.

Why it matters: In founder & employee equity, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 5

Direct term-level sources and supporting source families.