Startup Glossary: Letter "E"

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is a financial metric used to evaluate a company's operational profitability.

An Employee Stock Ownership Plan (ESOP) is a corporate structure that allows employees to acquire ownership interest in the company through stock options.

An Exit is the liquidity event through which founders and investors liquidate their ownership stakes in a startup to realize returns.