Single-Trigger Acceleration

Definition

Single-trigger acceleration is a vesting clause that immediately vests some or all of an executive's or founder's unvested equity as soon as one defined event happens, most often a sale of the company.

How it comes up in fundraising

Investors resist single-trigger acceleration because it can leave an acquirer without a motivated, retained team right after closing; founders sometimes still negotiate a partial single trigger tied to a board-driven exit or termination.

Frequently asked questions

Why do investors and acquirers dislike single-trigger acceleration?

It fully vests equity at the moment of sale regardless of whether the person stays on, removing the retention incentive an acquirer is counting on to keep the team through integration.

Is single-trigger acceleration common for founders?

It is more common for founders than for other employees, especially in a full or majority acquisition, though many investors still push for double-trigger terms even at the founder level.

Round Funded resources

Put this term to work

Definitions win negotiations only when you are in one. Find the investors who fund your stage and start the conversation.

Browse the investor database