The term sheet is signed. This is what has to happen in the books and the filings.
A term sheet is signed, and now the round has to close in the books and with the government, too. Money coming into the company sets off a fixed order of steps. A valuation report first, then board and shareholder approval, the allotment of shares, and a set of filings with fixed dates. We run all of it, so the round closes cleanly and nothing comes back at the next round.
- Every filing the round triggers, on its date
- Books and cap table that agree at the next round
- A reply the same working day
An example of how it goes.
What we do for you.
- We tie your deck and your model to the books.
- The revenue, the margins and the growth an investor was shown have to match what your accounts say. We check the two against each other before the round closes.
- We arrange your valuation report before allotment.
- Company law needs a report from a registered valuer before shares are issued to a new investor. Where the investor is outside India, the price is also checked under the foreign investment rules. We arrange both before allotment.
- We run the approvals, the allotment and the filing.
- A board resolution, then a shareholder resolution, then the allotment of shares. The return of allotment goes to the Registrar within 15 days of allotment for a private placement, which is how most rounds are done. Until it is filed, the money you raised cannot be spent. Then the share certificates are issued to the investor.
- For a foreign investor, we handle the extra filings.
- The money that comes in gets reported to the Reserve Bank through your bank within 30 days of allotment. We check the price against the pricing rules that apply to foreign investment. We also file the yearly return on foreign liabilities and assets by 15 July.
- We record the instrument correctly in your accounts.
- Compulsorily convertible preference shares, convertible notes and SAFEs each sit in the books differently, and we set each one up right from day one. Your cap table, the list of who owns what, sits next to the books and moves with every round.
- We track what the shareholders' agreement adds from day one.
- Information rights, an audit clause, and the ESOP pool, the block of shares set aside for staff, all start the day the agreement is signed. We add each one to the same calendar as your tax dates, so none is missed later.
Your side of it.
Small things, sent any way you like. We do the rest.
- The term sheet and the draft shareholders' agreement
- Your cap table as it stands today
- The investor's details and bank account, once confirmed
Quoted and agreed in writing before the round starts, and the monthly work continues as before.
What founders ask about raising a round.
Do I still pay angel tax?
For shares issued now, no. The tax on shares issued above fair value was removed from assessment year 2025-26. Older issues can still be asked about, and a valuation report is still needed for the filings and your cap table.
The investor is abroad. What extra is there?
A few more filings. The money that comes in gets reported to the Reserve Bank through your bank within 30 days of allotment. We also check the price against the rules for foreign investment, and file the yearly return on foreign liabilities and assets by 15 July.
How long does closing take?
It follows your own steps, such as when the investor's money and signed papers arrive. Once the money reaches your account, two clocks start. The return of allotment goes to the Registrar within 15 days, and a foreign inflow is reported within 30 days too.
What is a valuation report and who signs it?
A valuation report sets the price of your shares before they are issued above face value. A registered valuer or a merchant banker signs it. We arrange it and hand it to you before allotment.
What goes wrong most often?
Three things come up most often. The return of allotment gets filed late. A foreign inflow gets reported late. Or the cap table and the books stop agreeing once the next round starts. We track all three from the day the term sheet is signed.