Australian Seed Round Closing Workflow: Term Sheet to Share Issue

TL;DR

• A term sheet is not the same as a completed Australian financing.
• Complete confirmatory diligence and work with qualified local counsel on definitive documents and required approvals.
• Track signatures, investor funds and share issuance against one closing checklist.
• Update ASIC/company records, cap table and governance records as legally required.

From term sheet to completed Australian seed round

The closing workflow turns agreed commercial terms into legally issued ownership. Founders should coordinate counsel, company approvals, investor signatures and post-close records so the cap table and legal register stay aligned.

Practical workflow

1. Resolve diligence

Close open financial, ownership, IP and legal questions.

2. Finalize financing documents

Translate the agreed terms into binding documents with qualified counsel.

3. Complete company approvals

Handle board, shareholder or other corporate steps required.

4. Collect signatures and funds

Track investor execution and funding against the closing checklist.

5. Issue securities

Complete the legally required issuance steps.

6. Update post-close records

Reconcile cap table, registers, governance and required filings.

What to prepare

• Signed term sheet.
• Closing checklist.
• Company approvals.
• Definitive financing documents.
• Investor signatures and funds records.
• Post-close ownership and filing records.

Related SendNow resource: fundraising data room checklist.

Common mistakes

• Treating a term sheet as a completed share issue.
• Using different document versions across investors.
• Failing to reconcile funds, securities and cap-table entries.
• Leaving required post-close filings or registers incomplete.

External reference: ASIC shares and company information. This article is educational and not legal, tax or financial advice.

See the VDR and Microsite workflow

Frequently asked questions

When is the round actually closed?

When the required legal documents, approvals, funding and issuance steps have been completed under the applicable transaction structure.

Does ASIC need to be updated?

Certain company changes and share-related information may require updates or records; confirm the exact requirements with qualified advisers.

What should founders archive?

Final signed financing documents, approvals, investor records and the updated ownership record.

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