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benchmarks
Performance milestones against which a company's success is measured. Benchmarks are often used by investors to help determine whether a company should receive additional funding or whether management should receive extra stock. Sometimes management will agree to issue more stock to its investors if the company does not meet its benchmarks, thus compensating the investor for the delay of his return.
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- Part of Speech: noun
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- Industry/Domain: Financial services
- Category: Venture capital
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