The full form of RUV is Roll-Up Vehicle.
Understanding Roll-Up Vehicles (RUVs)
A Roll-Up Vehicle (RUV) is a specific type of Special Purpose Vehicle (SPV). It is primarily used by founders and angel investors.
What is a Special Purpose Vehicle (SPV)?
An SPV is a legal entity created for a specific, limited purpose. It's often used for isolating financial risk or facilitating particular transactions.
Key Uses of RUVs
- Consolidating Investments: RUVs are often used to pool investments from various angel investors into a single entity. This can streamline the cap table and make future fundraising or acquisitions simpler.
- Simplified Cap Table Management: Instead of dealing with many individual investors, founders work with one entity, which simplifies the process.
| Feature | Description |
|---|---|
| Full Form | Roll-Up Vehicle |
| Type | Special Purpose Vehicle (SPV) |
| Primary Users | Founders and Angel Investors |
| Purpose | Consolidate Investments, Simplify Cap Table Management |
