When you raise money, many times the investment may come in tranches instead of single shot. The tranches could be linked to time, milestones or both. The tranches are committed now and released when the underlying factor is complete (time/ milestone).
The current episode of eLagaan Whiteboard Friday talks about what impact the tranches could bring to your overall fund availability, the risks that you should be aware of and how you can go about it while negotiating your investment round.
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