True/False for the following:
1) One thing that entrepreneurs seek to get from a term sheet is sufficient capital to bring the venture to the next business milestone, while giving up as little of the company as possible.
2) The capitalization table in a term sheet summarizes the ownership positions of all parties before and after a series of investments are made.
3) A typical exclusivity clause in a term sheet will prevent the founders from seeking capital from another firm for two years once the term sheet has been signed.
4) Venture capitalists will typically conduct an investigation of the founders and of the company to assure themselves that there has not been and there is not currently any illegal activity being conducted that could damage the company.
5) Preferred stock offers investors protections relative to the owners of common shares such as liquidation preferences and anti-dilution protection.