Hard Circle

A hard circle refers to a firm commitment from investors to participate in a funding round, typically in venture capital or private equity. These commitments are legally binding, giving the company confidence that a portion of the necessary capital is secured. A hard circle is often contrasted with a soft circle, which indicates tentative or non-binding interest from potential investors.

• Firm, legally binding commitment from investors.
• Common in venture capital and private equity fundraising rounds.
• Secures a portion of the capital needed for a deal.
• Differs from non-binding soft circles.