Information Rights
The contractual right for an investor to receive regular financial statements and other company updates.
Information rights obligate the company to periodically share financial information — typically annual audited (or unaudited) financials, quarterly statements, and sometimes an annual budget — with investors who hold them, usually only 'major investors' above a defined check-size threshold. Without this provision, a company has no legal obligation to share financials with investors between board meetings.
These rights are standard in priced-round investor rights agreements and are increasingly included via side letter for SAFE investors who want visibility without a board seat. They typically terminate automatically if the company goes public, since public company disclosure rules take over at that point.
Set up a simple recurring investor update (monthly or quarterly) covering the metrics information rights require plus a short narrative — it satisfies the legal obligation and, done well, turns a compliance requirement into real fundraising and support leverage for the next round.
Do all investors get information rights?
No — typically only investors above a minimum investment threshold ('major investors') are granted formal information rights in the investor rights agreement.
Related terms
Run the numbers yourself: dilution, SAFE conversion, and fund-returner calculators.