Richard D. Harroch is Managing Director and Global Head of M-A at VantagePoint Capital Partners, a large venture capital fund in the San Francisco area. He focuses on internet, digital media and software companies and has been the founder of several Internet companies. His articles have been published online in Forbes, Fortune, MSN, Yahoo, FoxBusiness and AllBusiness.com. Richard is the author of several books on startups and entrepreneurship and co-author of Poker for Dummies and a Wall Street Journal bestseller on small businesses. He has also been a corporate partner and M-A at the law firm orrick, Herrington-Sutcliffe, with experience in start-ups, mergers and acquisitions, as well as venture capital. He has been involved in more than 200 transactions of M-A and has written a dozen articles for Forbes on M-A. A non-discloser agreement (NDA) is a document exchanged between a potential buyer and a seller in the initial phase of a transaction, Reflections and ImplicationsFor the implementation of M-A, an entity must recognize and verify all factors and complexities related to mergers and acquisitions. This guide outlines the outlines. The document is exchanged after the potential buyer has shown interest in a business after watching the teaserTerm Sheet template. An appointment sheet describes the basic conditions in the context of an investment opportunity and non-binding consent of the objective. The NDA`s objective is to ensure that the party receiving confidential information does not use this information against the target company for its own benefit.
The NDA is also known as a “confidentiality agreement.” I write about startups, venture capital, mergers and acquisitions and Internet companies. I am the Managing Director and Head of M-A for VantagePoint Capital The unveiling party will have the right to sue for damages or to arrest the recipients if they violate either their confidentiality obligations or their non-use agreement. Parties to the NDA must also address issues related to the seller`s discussion of AMs. Even in a unilateral NOA, the parties should address this issue. From the buyer`s point of view, he will not want the seller to disclose his interest in the seller to third parties. On the other hand, if the seller is asking for indications of interest from several parties, it will be flexible to provide certain information to these third parties (only from the buyer`s name).