Acquisition / Trade Sale
When another company buys a startup, providing an exit for its shareholders.
Acquisitions are the most common exit route for startups. A buyer may acquire for the product, technology, team (acqui-hire) or market position. Deal value can be cash, shares or earn-outs tied to future performance.
Examples
A corporate acquires a startup to add its technology. — A larger competitor buys a startup in an acqui-hire.
How it relates to The Startup Foundry
Building an investable, well-run company makes you an attractive acquisition target down the line — the Foundry helps lay those foundations.