Glossary entry

Early-stage refers to the initial stage in the life cycle of a start-up, in which the main focus is on product development, market research and the initial validation of the business model.

Early adopters are the first user groups to accept and utilise new products, technologies or services, often before they achieve broader acceptance in the market.

Due diligence refers to the comprehensive examination and evaluation process that investors carry out to analyse all financial, legal and operational aspects of a potential investment object.

The General Data Protection Regulation (GDPR) is a comprehensive set of rules of the European Union that standardises the protection of personal data and the privacy of citizens in all EU member states.

SaaS (Software as a Service) is a sales model in which software is not purchased but used as a service via the internet - usually on a subscription basis. The application runs on the provider's servers and can be accessed by users at any time via a browser or an app. Maintenance, updates and security are the responsibility of the provider. SaaS enables high scalability, low entry costs and simple collaboration.

Drag-along rights enable majority shareholders to oblige minority shareholders to sell their shares on the same terms in the event of a company sale.

A down round occurs when a startup closes a new round of financing at a lower valuation than the previous round, indicating a change in the perception of the company's value.

The Decision Making Unit (DMU) is a term used in B2B marketing to describe the group of people within an organisation who are collectively involved in the decision-making process for the purchase of products or services.

Disruption describes the process by which innovative technologies or business models challenge and fundamentally change established companies and industries.