The National Venture Capital Association (NVCA) model term sheet is a solid starting point. But deals don’t happen in a vacuum — and real-world nuance matters.
Here are 10 things I always recommend including in a term sheet to save you from confusion, drift, or unnecessary friction later:
1. Valuation + Ownership Table
Yes, include pre-money valuation and price per share. But also attach a cap table showing actual post-close ownership, fully diluted. Too many deals get tripped up arguing about percentages that were “understood” differently.
Pro tip: Make sure it includes the option pool and any convertible instruments still outstanding.
2. Board Composition
Specify exactly how many seats there are, who appoints whom, and whether seats are tied to specific share classes or % thresholds.
Real world trick: Add what happens in the next round. Do current investors lose seats? Keep them as observers?
3. Protective Provisions
Define what actions require preferred consent — mergers, new equity, debt, hiring/firing execs, etc.
Bonus tip: Don’t just say “standard NVCA list.” Call out any non-standard protections so they don’t get buried later.
4. Liquidation Preferences
1x, participating, non-participating, capped? Get specific.
Real world risk: If you’re stacking multiple rounds, clarify whether preferences are pari passu or senior by class. This becomes a huge deal in down exits.
5. Option Pool Mechanics
Will the option pool come from the pre-money or post-money? And how big is it?
Pro tip: Get both sides to agree to an actual option budget, not just a % placeholder — especially if you’re hiring aggressively post-close.
6. Founder Vesting / Re-Vesting
Are founders fully vested? Will any shares re-vest? What happens if someone leaves?
Real world trick: If there’s a cliff or accelerated vesting, define the triggers. Don’t assume everyone reads “single trigger” the same way.
7. Pro Rata Rights
Spell out who gets to participate in future rounds — and for how long.
Pro tip: If early investors are getting squeezed in future pro rata, this is the place to protect them.
8. Information Rights
Define what investors get and how often — financials, board decks, budgets.
Real world trick: If someone’s putting in real money but won’t have a board seat, use this section to keep them informed without making the board table too crowded.
9. Use of Proceeds
You don’t need a spreadsheet, but a basic breakdown helps avoid future friction.
Pro tip: Call it out if any founder liquidity or debt paydown is part of the round — no one likes surprises here.
10. Special Terms (aka: the “things that always cause confusion later”)
This is your catch-all for whatever’s unique to your deal:
Are you cleaning up SAFEs? Be specific about how they convert.
Are there any side letters or advisory shares? Call them out.
Is there a milestone-based tranche? Spell out the terms.
Real world trick: If it affects control, economics, or perception — it belongs in the term sheet.
Bottom line:
The best way to protect a deal is to document alignment early. The worst mistake? Treating the term sheet as a handshake, then being surprised when final docs don’t match.
That’s why we use Aracor to match term sheets against final documents.
It catches the drift, flags missing terms, and makes sure what you sign at the end is what everyone agreed to at the start.
Because clean deals don’t start with clean term sheets.They start with clear ones.
I’ve reviewed thousands of pages of contracts over the years. I’ve run diligence across jurisdictions, industries, and deal types. But my #1 recommendation when evaluating a deal has nothing to do with legal structure.
Spend time with the founders.
Talk to them. Ask questions. Not just about the product or the numbers — but how they think, how they handle pressure, how they treat hard questions.
And then pay attention to one thing above all: Do they want you to understand their business — or do they just want you to write the check?
If a founder is cagey during diligence — even after you’ve signed an NDA and clearly signaled interest — that’s a problem. Transparency in diligence isn’t a favor. It’s a signal. If they’re not forthcoming now, when they need something from you, it only gets worse post-close.
I’ve seen more deals turn sideways because of lack of trust and communication than because of any technical issue. People reveal themselves early — if you’re paying attention.
Yes, we use Aracor to run high-speed, high-quality diligence across hundreds of documents.
But tools only matter if the humans involved are operating in good faith. Founders who want to build something real want you to see it clearly. If they don’t? That’s your answer.
I recently had lunch with an Aracor user, an investor who shared a story about how, with Aracor's help, she caught a critical mistake in an agreement before it was too late. Here’s what happened.
She was deep into final docs on a growth deal — term sheet signed, diligence mostly wrapped, everyone ready to move forward.
She mentioned that she isn't the type to personally sift through 80-page agreements late at night. But she's exactly the kind of investor who knows how to ask the right questions — and who can sense when something isn't quite right.
During a review call, she paused and asked the lawyers: “Just confirm — the board is still 2–1 in favor of the founder, right?”
A long pause. Some scrolling. Then: “Actually… not exactly.”
Somewhere between the term sheet and the final voting agreement, the math had subtly shifted. A revised definition here, a phrasing tweak there — and suddenly, the founder’s control had quietly been diluted.
Nobody else caught it — not because they weren't sharp, but because subtle changes easily slip through when juggling multiple documents, numerous edits, and the pressures of a fast-moving deal.
Her single, timely question preserved critical alignment. But it highlighted something important: Even great legal teams miss things. And most investors don’t know which questions to ask — until it’s too late.
That’s exactly why we built Aracor.
Aracor automatically matches your term sheet against the final deal documents, clearly tracking what's changed and what's drifted from signing to signature. So founders, investors, and legal teams can stay focused on the big picture without losing sight of the details.
Because asking the right question is powerful. But having the right tools means you don’t have to rely on intuition alone to catch critical issues.
As an in-house lawyer, I don’t think my job is to gatekeep knowledge. My job is to empower the people I work with — to provide clarity, confidence, and the ability to make smart decisions without always needing to pick up the phone. For years, I did everything manually.
Then came the advent of generative AI.
Initially, I thought these tools would finally solve my problems. And don't get me wrong — I LOVE ChatGPT. But for contract and deal work, it just wasn't enough. First, I couldn’t see and directly reference my documents side-by-side, which is critical for my workflow. Second, LLMs couldn't understand what I specifically value or read documents the way I do. They go broad but lack the deep vertical expertise I need.
That's why I built Aracor and why we now use it across the Constructor Group ecosystem.
My legal team has transformed significantly:
We use Aracor for initial due diligence on early-stage startups.
We always rely on it to compare term sheets against final deal documents.
We quickly leverage Aracor to look up details within our portfolio and answer urgent governance or liquidation preference questions.
We view Aracor as a critical intermediary step — a trusted second opinion to guide our decision-making. Because of this, we've stopped depending on external counsel for routine document review, saving substantial money, and more importantly, significant amounts of time. Internally, we’ve grown smarter, faster, and more confident.
Now, we're expanding Aracor to top business executives within the Constructor Group ecosystem, enabling them to quickly access critical information related to their projects. This alignment is essential for Constructor Capital as a venture fund, where legal and business decisions are closely intertwined.
We don’t just upload contracts and forget about them — we actively structure our deal knowledge. I preload Aracor with critical documents, highlight essential rights, mark potential risks, and annotate the exact things I anticipate our team needing months later.
When finance asks about a distribution waterfall, they don't have to wait for me. When our CEO needs to confirm board control post-close, it's one click away. When our investor queries a veto right, it's already flagged clearly.
I'm still deeply involved in guiding strategy, but I've stopped being the bottleneck.
Here's the magic: the more I put into Aracor, the more valuable my work becomes — not just for the deal, but for the entire business.
Imagine you're a law firm partner advising family offices, funds, founders, or corporate clients. What if you could deliver the same empowerment and visibility to your clients?
You don't need to build software to scale your value; you just need to own its delivery. This is how legal teams become indispensable — not by hoarding knowledge, but by making it actionable and accessible.
If your clients live in their deals long after signing, this is your path to staying essential.
Just because a deal closes doesn’t mean a happy ending is in store. Some deals unravel months — or even years — later.
I’ve seen it happen with partnerships that looked perfect on paper, only to reveal fundamental misalignment once the real work began. I’ve seen investments that seemed strategic at the time but became expensive distractions. Sometimes it wasn’t anyone’s fault — priorities changed, markets moved, people evolved.
And sometimes (most times!), the red flags were there from the beginning — we just didn’t want to see them.
These experiences are painful, but they’ve taught me some of the most valuable lessons in my career. The deals that hold up over time aren’t just the ones with clean terms or airtight contracts. They’re the ones built on clarity, alignment, and a shared understanding of how things will work when circumstances inevitably change.
The hard part isn’t closing a deal. It’s maintaining one. That means staying ahead of shifting control rights, understanding what’s buried in old side letters, or knowing when your waterfall math quietly stopped reflecting reality.
That’s why we built Aracor the way we did
Not just to help you close — but to help you manage the deals you already have. Aracor maps control, rights, obligations, risks — across time, across entities, across relationships. Because the real test of a deal isn’t day one. It’s day 1,000.
If you’ve had a deal unravel after the fact — what did you learn from it? What would you build differently next time?
Introducing DealFlow & AI, Aracor's M&A Middle Market Community Newsletter
Welcome to the inaugural issue of DealFlow & AI, your go-to resource for AI-powered M&A insights and deal flow efficiency. Our mission? To empower and help family offices, in-house counsel, venture capitalists, and private equity professionals streamline and accelerate complex workflows, reduce errors, control legal spending, and safeguard your data with confidence. Stay ahead of the curve to receive this monthly newsletter. Sign up for the newsletter.
Embracing the Future with Fearlessness
M&A is evolving fast. The pace of deals is accelerating, risks are growing, and expectations for efficiency have never been higher. At Aracor, we believe that fearlessness — the ability to navigate uncertainty with confidence — is the key to thriving in this landscape.
This philosophy is at the heart of everything we do, from pushing AI innovation to helping you execute deals faster and more securely. And it’s why I’m so excited to share some big updates with you:
$4.5M Pre-Seed Funding Secured! Thanks to Fuel Venture Capital, we’re accelerating AI development, strengthening security, and expanding our market presence.
Speaking at Top Industry Events, I recently shared Aracor’s AI-driven impact at the Women + AI Conference in Nashville and will be attending several key events (see below — let’s connect!).
New CTO, Lesly Arun Franco! With deep NLP expertise, Lesly is elevating Aracor’s AI leadership. Read more about Lesly
On a personal note, I recently chose The 50th Law: Overcoming Adversity Through Fearlessnessby 50 Cent and Robert Greene for our Aracor Book Club. In the past, the team has selected and read Mindset by Carol Dweck, Principles by Ray Dalio, The Culture Map, and other classic reads on leadership and strategy.
Making my team read about a rapper’s philosophy seems funny – but it goes back to fearlessness. The ability to embrace uncertainty, take action before you feel ready, and master your environment.
AI is changing everything. The people who thrive won’t be the late adopters; they’ll be the ones experimenting, adapting, and shaping the tools at their disposal. The lesson? Hesitation is costly. Fear is a disadvantage. Mastery comes from engagement.
What’s one area in your work where uncertainty is holding you back? What if you leaned into it instead? Hit Reply — I’d love to hear your thoughts!
Controlling Legal Costs with Accountability Intelligence
Hiring multiple law firms doesn’t always lead to better results—it often leads to higher costs. A private equity partner recently told us, “We thought more firms meant better oversight. Turns out, it meant more inefficiencies.” Aracor provides the tools to track progress, prevent over billing, and streamline legal management.
Detailed AI-driven reports to monitor legal spend.
Smart tracking ensures efficiency and cost control.
No surprises — just data-backed decision-making.
Take control of legal spending.
Trusted by Design
ISO 27001 & SOC 2 Compliant. Your Data, Your Control.
At Aracor, we know that privacy and security are non-negotiable in high-stakes transactions.
We are ISO 27001 and SOC 2 compliant, with security baked into every layer of our platform
Your data is never used to train our models — period
Encryption, access controls, and continuous monitoring keep your documents safe
Enterprise clients can deploy Aracor in a private cloud or VPC for complete data control
Whether you're reviewing sensitive contracts or preparing a data room, Aracor gives you speed and insight — without compromising on security.
AI is Changing Legal Advice for Entrepreneurs
By Kevin J. Sullivan, Senior Advisor at Aracor
As someone who’s worked with entrepreneurs for years, I’ve seen firsthand how their drive fuels constant innovation. But that same energy can also create challenges, especially when it comes to navigating complex legal agreements. That’s where Aracor, an AI tool, is making a significant impact.
Take a recent case: an experienced entrepreneur was recapitalizing his business with new investment. The investor wanted a range of agreements — restrictive covenants, a revised shareholders’ pact, settlement terms, and more —adding to existing legal obligations. When the entrepreneur asked, “What’s stopping me from launching a new software business?” the answer wasn’t simple. The relevant documents included multiple restrictive covenants, shareholders’ agreements, articles of organization, and various investment terms — over 600 pages across three jurisdictions.
From Days of Legal Review to Seconds of Insight
Traditionally, this would mean having a junior associate sift through the documents, flagging key clauses, and drafting a summary — a process that could take days and cost thousands in legal fees. With Aracor, I simply uploaded the files, entered a prompt — “outline restrictions on [entrepreneur] starting a software business” — and got a detailed breakdown in less than a minute, with links to every relevant clause. What used to take hours now takes moments.
Aracor is a co-intelligent legal platform designed for high-growth sectors like venture capital and private equity. It automates tasks like contract review, due diligence, and compliance with tools such as 1-Click Summary, automated redlining, and OCR with signature verification. Its due diligence features let business leaders assess new ventures without upfront legal fees, helping them make sharper, more informed decisions.
Why This Changes the Game for Dealmaking
CEO Katya Fisher, who has both legal and business expertise, built Aracor with the aim of offering tailored, proactive insights while ensuring top-notch security. The platform uses enterprise-grade encryption and Secure Language Models™ to protect sensitive data.
When I first heard about AI’s potential to change the legal field, I was skeptical. But after using Aracor for several months, I’m convinced. Its ability to analyze complex documents quickly and accurately isn’t just a time-saver; it’s a competitive advantage. For advisors like me, it’s a powerful tool that helps us better serve clients in fast-moving industries. The real question now is, “How far can this technology go?”
Why Aracor Is LLM-Agnostic: Privacy, Resilience, and Real-World Readiness
AI is evolving at an extraordinary pace — but that doesn’t mean every business should blindly follow the latest model release. At Aracor, we believe in building AI infrastructure that is flexible, secure, and future-ready. That’s why we’ve taken an LLM-agnostic approach — and here’s why it matters.
What Is an LLM, and Why Should You Care?
A Large Language Model (LLM) is the core AI engine that interprets, summarizes, and analyzes text — essentially the “brain” behind modern AI tools. It’s what powers document review, insight extraction, and smart workflows in platforms like Aracor.
But not all LLMs are built the same.
Some prioritize speed or experimentation over enterprise-level safety. Others aren’t optimized for sensitive legal or financial data. And some, like DeepSeek, are powerful open-source models — but they come with important caveats.
The DeepSeek Dilemma: Performance vs. Trust
DeepSeek is one of the most talked-about open-source models in the AI community. It's powerful, fast, and appears to perform well in legal and analytical tasks.
But there's a catch.
Despite its capabilities, many organizations — especially those handling sensitive deal data — are wary of using DeepSeek in production due to concerns about data jurisdiction and governance. The model was developed by a team based in China, and there's limited transparency around how inference data is handled, logged, or retained when run through public endpoints or unmanaged hosting.
The fear isn’t just theoretical:
IP leakage, especially involving confidential documents or investment terms
Compliance red flags, particularly for companies governed by GDPR, U.S. regulatory frameworks, or cross-border data restrictions
Reputational risk, if deal data is seen as being routed through unvetted or poorly understood systems
Aracor’s Approach: Use the Best, Control the Risk
At Aracor, we are hosting a version of DeepSeek in a secure, private environments — giving customers access to its capabilities without the exposure. For enterprise clients, we offer full VPC or on-premise deployment, so inference never leaves your controlled infrastructure.
And we don’t stop there. Aracor is:
ISO 27001 and SOC 2 compliant
Firmly committed to not training on user data
Built to work across multiple LLMs for performance and resilience
Designed to route tasks to the best-fit model—not just the latest one
Agnostic by Design, Resilient by Default
When Anthropic experienced a major outage earlier this year, many companies relying on a single LLM were forced to pause mission-critical workflows.
Aracor’s LLM-agnostic design means your work continues — even if one provider goes down. You’re never dependent on a single model, vendor, or cloud endpoint.
The Bottom Line
Your deal data is too valuable to risk.
Whether it’s concerns about data sovereignty, LLM outages, or evolving model performance, Aracor gives you:
Flexibility to adapt
Security you can trust
Control over where your data lives and how it’s processed
Great AI is important. But great AI, run the right way, is what makes Aracor different.
Meet Katya Fisher at These Events
Day Pitney Annual Palm Beach Family Office Forum, April 28-29
Wall Street Conference, May 25, Palm Beach
Single Family Office Summit, May 29th-30th, 2025, New York City
Thank you to ILTA for featuring Future-Proofing Legal AIby Katya Fisher in the 2025 Spring Issue of Peer to Peer. This special edition, Practical AI for Legal Technologists: Real-World Applications and Insights, offers a treasure trove of GenAI how-to guides, emerging legal tech trends, and stories of professional growth. We're honored to be part of this forward-thinking collection. Read the Article
It’s easy to assume that when deals fall apart, it’s because of market shifts, tough legal terms, or bad timing. But most deals start dying long before any of those factors come into play. The root causes are almost always human: misaligned expectations, personality clashes, ego, and poor communication.
Misaligned Expectations
Two parties come to the table thinking they’re aligned.
On the surface, everything looks fine—they like the deal, the numbers make sense, and the timeline feels reasonable. But dig a little deeper, and you’ll find they’re often operating on completely different assumptions. One side might be focused on speed and momentum, while the other is wired for caution and precision. One party expects to continue running their business independently post-close; the other is planning for full integration on day one. These differences aren’t inherently problematic—but when they go unspoken, they become landmines.
Everyone assumes things will “work themselves out.” They don’t.
Personality Clashes
Deals are negotiated and executed by people, not spreadsheets.
And people come with pride, fear, and the need to feel in control. When those dynamics aren’t managed, even a strategically sound deal can get derailed. This is especially true when egos start driving the conversation. If no one is willing to step back and say, “This isn’t about me—it’s about the outcome,” the deal starts to wobble.
Add in power plays, unspoken insecurities, or territorial behavior, and the whole thing can fall apart fast.
Ego Over Outcome
There’s a quiet but critical shift that happens in some negotiations: the goal moves from getting the deal done to winning the deal. That shift is fatal.
Suddenly, small asks turn into hills to die on. Concessions that should have been routine become personal. Every point becomes a referendum on respect or control. Progress slows. Trust erodes.
The deal—often a good one—bleeds out slowly while everyone digs in.
Communication Breakdowns
Finally, the most common deal-killer is the simplest: bad communication.
And not just what’s said, but what’s left unsaid. Unvoiced assumptions. Vague expectations. Unacknowledged timelines. These gaps often don’t feel urgent in the moment, but they create fault lines.
And when stress hits, those small cracks become unbridgeable divides.
So, What Do You Do About It?
This is the kind of risk we built Aracor to handle.
Not just the technical analysis of documents or flagging of missing terms—but the deeper, structural issues that derail deals before they’re even properly underway. Aracor helps dealmakers see the real dynamics early: where expectations are out of sync, where silence is hiding risk, and where momentum is starting to falter. It gives teams the tools to push for clarity before assumptions calcify into conflict.
Because great deals don’t just depend on terms or price.
They depend on clarity, trust, and early alignment—the things that rarely show up in the redlines, but always determine the outcome. Connect with Katya.
Ready to take dealmaking to the next level?
Built by dealmakers, for dealmakers. Whether you're closing your next transaction or reviewing hundreds of docs under pressure, Aracor gives you speed, accuracy, and confidence—at scale.
Aracor is the AI-powered deal intelligence platform built for the pace and pressure of modern transactions. From diligence, ti negotiation, closing to exit, Aracor equips legal and deal teams with the tools to move faster, surface critical insights, and reduce risk—without sacrificing control.
Founded by a chief legal officer, a Dealmaker of the Year, and a global tech investor and entrepreuner, Aracor combines deep legal expertise with cutting-edge AI to streamline the entire deal lifecycle and deliver the competitive edge today’s high-stakes transactions demand. Whether conducting preliminary evaluations, reviewing contracts, flagging obligations, managing due diligence, or tracking post-signing commitments, Aracor transforms deal friction into deal flow.
Designed for family offices, in-house legal teams, venture capital and private equity firms, Aracor helps professionals identify risks earlier, accelerate review processes, and stay in control of even the most complex deals. Aracor empowers teams to close smarter, faster, and with greater confidence.
With speed, security, and insight at its core, Aracor is redefining how deals get done.
Aracor AI: Revolutionizing the M&A Landscape for Entrepreneurs and Business Leaders
Aracor AI is transforming the way entrepreneurs and business leaders navigate the complexities of mergers and acquisitions (M&A) with its cutting-edge, co-AI-powered modeling tools. Designed to streamline the M&A business life cycle, Aracor’s platform offers a powerful framework that guides artificial intelligence to deliver accurate, relevant, and risk-minimized responses tailored to specific business needs — whether an entrepreneur is evaluating a new opportunity or preparing a company for an IPO.
One of the most significant challenges in M&A is the cost and complexity of due diligence. Traditional legal processes can be both time-consuming and expensive, especially when evaluating whether a target company is worth the time and resources required for a deeper analysis. Aracor addresses this issue by providing intelligent templates that allow entrepreneurs and business leaders to upload all relevant target company information — including financial documents, prior contracts, and ownership titles — and instantly generate detailed reports with its one-click Brief and Summary function. This powerful tool dramatically reduces the need for manual drafting and navigating through complex legal precedents, saving both time and resources.
For those business leaders who choose to move forward with a target company, Aracor's AI- driven platform can seamlessly generate contracts via its template and playback function, further reducing legal costs and eliminating the need for extensive human effort. In addition to its document creation capabilities, Aracor excels in integrating document workflows across various platforms. Whether importing external data, syncing with existing case management systems, or exporting finalized documents in multiple formats, Aracor ensures a cohesive and efficient workflow — eliminating the silos and inefficiencies often seen in traditional document management systems.
Founded by CEO Katya Fisher, Aracor leverages her extensive background in both law and business to offer a solution that is as effective as it is intuitive. Fisher’s macro approach to AI modeling has shaped Aracor's ethos of relevance, empowering users to achieve their business objectives more efficiently and with fewer resources.
Aracor also prioritizes security, implementing a robust three-layer security protocol to protect sensitive business data, ensuring that clients can confidently navigate the complexities of M&A without compromising their privacy or intellectual property.
In an industry where speed, precision, and security are paramount, Aracor stands at the forefront, offering business leaders a transformative tool to drive success in the competitive world of mergers and acquisitions. Ready to take dealmaking to the next level? Built by dealmakers, for dealmakers. Whether you're closing your next transaction or reviewing hundreds of docs under pressure, Aracor gives you speed, accuracy, and confidence — at scale.
Aracor is the AI-powered deal intelligence platform built for the pace and pressure of modern transactions. From diligence, ti negotiation, closing to exit, Aracor equips legal and deal teams with the tools to move faster, surface critical insights, and reduce risk — without sacrificing control.
Founded by a chief legal officer, a Dealmaker of the Year, and a global tech investor and entrepreuner, Aracor combines deep legal expertise with cutting-edge AI to streamline the entire deal lifecycle and deliver the competitive edge today’s high-stakes transactions demand. Whether conducting preliminary evaluations, reviewing contracts, flagging obligations, managing due diligence, or tracking post-signing commitments, Aracor transforms deal friction into deal flow.
Designed for family offices, in-house legal teams, venture capital and private equity firms, Aracor helps professionals identify risks earlier, accelerate review processes, and stay in control of even the most complex deals. Aracor empowers teams to close smarter, faster, and with greater confidence.
With speed, security, and insight at its core, Aracor is redefining how deals get done.
A New Secret Weapon for M&A Teams: Aracor’s DeepSeek R-1 Combines Power and Precision
Get the insights you need—without compromising security.
The modern M&A battlefield is a high-stakes, high-velocity game. CEOs, general counsels, and deal teams are no longer just outmaneuvering competitors - they’re racing time itself. When deals move at the speed of information, clarity becomes a weapon.
At Aracor, we’ve been exploring how to sharpen that weapon. Recently, we quietly integrated DeepSeek R1 - an open-source LLM from China - as an option within our platform. The integration reflects our broader strategy: empowering CEOs, family offices, in-house counsel, and deal teams with real-time clarity across every phase of the M&A lifecycle. And we believe DeepSeek R1 can be a force multiplier for Aracor - returning signal to the user, not noise.
Let’s unpack that.
What DeepSeek R1 Is - and Why It Matters
DeepSeek R1 is not just another large language model. It is a system trained to speak the language of legal and financial nuance. When combined with Aracor’s proprietary AI know-how and techniques it doesn't simply summarize - it segments, identifies, prioritizes.
When users upload an M&A agreement riddled with indemnification clauses, escrow terms, and closing conditions to the Aracor platform, DeepSeek helps surface exactly what you need to know - back to the signal-versus-noise thing.
For example, while using Deepseek, Aracor flagged a missing auto-renewal clause in a user's key agreement - saving hours of manual review and avoiding a deal-breaking oversight. Its built-in risk detection catches hidden clauses, outdated templates, and compliance gaps before they become costly mistakes. For dealmakers navigating million-dollar decisions, that’s a fundamental shift. You go from reading to reasoning. From reactive interpretation to proactive insight. From “What is this saying?” to “What should we do next?
But there is a problem.
DeepSeek R1’s country of origin – China - introduces a layer of complexity that’s impossible to ignore.
Today, geopolitics has become a technical constraint. With the U.S. and China edging toward what many now call a technology-focused trade war, AI infrastructure is no longer neutral. It’s a strategic variable. Choices around hosting, data privacy, and model transparency are not secondary concerns - they’re primary requirements. So we approached DeepSeek with eyes wide open. And we built guardrails into every layer of how it’s delivered.
A Secure, Sovereign Deployment Model
As DeepSeek R1 is open source, Aracor’s deployment of DeepSeek R1 is fully secure and complies with data protection standards. All data is processed on U.S. servers. In our view, trust in AI systems is earned not through marketing, but through correct architecture—because no matter how good DeepSeek R1 is, it doesn’t mean a thing to us if our clients are not protected. Aracor enforces a zero-trust security policy with strict data residency and access controls, ensuring that even when integrating models like DeepSeek R1, all data remains encrypted, auditable, and confined to U.S.-based, compliant environments.
And at Aracor, your security and ability to navigate efficiently and quickly through deal making is our business and in our DNA.
Ready to take dealmaking to the next level?
Built by dealmakers, for dealmakers. Whether you're closing your next transaction or reviewing hundreds of docs under pressure, Aracor gives you speed, accuracy, and confidence—at scale.
Aracor is the AI-powered deal intelligence platform built for the pace and pressure of modern transactions. From diligence, ti negotiation, closing to exit, Aracor equips legal and deal teams with the tools to move faster, surface critical insights, and reduce risk—without sacrificing control.
Founded by a chief legal officer, a Dealmaker of the Year, and a global tech investor and entrepreuner, Aracor combines deep legal expertise with cutting-edge AI to streamline the entire deal lifecycle and deliver the competitive edge today’s high-stakes transactions demand. Whether conducting preliminary evaluations, reviewing contracts, flagging obligations, managing due diligence, or tracking post-signing commitments, Aracor transforms deal friction into deal flow.
Designed for family offices, in-house legal teams, venture capital and private equity firms, Aracor helps professionals identify risks earlier, accelerate review processes, and stay in control of even the most complex deals. Aracor empowers teams to close smarter, faster, and with greater confidence.
With speed, security, and insight at its core, Aracor is redefining how deals get done.
As someone who’s worked with entrepreneurs for years, I’ve seen firsthand how their drive fuels constant innovation. But that same energy can also create challenges, especially when it comes to navigating complex legal agreements. That’s where Aracor, an AI tool, is making a significant impact.
Take a recent case: an experienced entrepreneur was recapitalizing his business with new investment. The investor wanted a range of agreements—restrictive covenants, a revised shareholders’ pact, settlement terms, and more—adding to existing legal obligations. When the entrepreneur asked, “What’s stopping me from launching a new software business?” the answer wasn’t simple. The relevant documents included multiple restrictive covenants, shareholders’ agreements, articles of organization, and various investment terms—over 600 pages across three jurisdictions.
From Days of Legal Review to Seconds of Insight
Traditionally, this would mean having a junior associate sift through the documents, flagging key clauses, and drafting a summary—a process that could take days and cost thousands in legal fees. With Aracor, I simply uploaded the files, entered a prompt—“outline restrictions on [entrepreneur] starting a software business”—and got a detailed breakdown in less than a minute, with links to every relevant clause. What used to take hours now takes moments.
Aracor is a co-intelligent legal platform designed for high-growth sectors like venture capital and private equity. It automates tasks like contract review, due diligence, and compliance with tools such as 1-Click Document Summarization, automated redlining, and OCR with signature verification. Its due diligence features let business leaders assess new ventures without upfront legal fees, helping them make sharper, more informed decisions.
Why this Changes the Game for Dealmaking
CEO Katya Fisher, who has both legal and business expertise, built Aracor with the aim of offering tailored, proactive insights while ensuring top-notch security. The platform uses enterprise-grade encryption and Secure Language Models™ to protect sensitive data.
When I first heard about AI’s potential to change the legal field, I was skeptical. But after using Aracor for several months, I’m convinced. Its ability to analyze complex documents quickly and accurately isn’t just a time-saver; it’s a competitive advantage. For advisors like me, it’s a powerful tool that helps us better serve clients in fast-moving industries. The real question now: how far can this technology go? Kevin J. Sullivan is a senior advisor at Aracor. Connect with Kevin.
Ready to take dealmaking to the next level?
Built by dealmakers, for dealmakers. Whether you're closing your next transaction or reviewing hundreds of docs under pressure, Aracor gives you speed, accuracy, and confidence—at scale.
Aracor is the AI-powered deal intelligence platform built for the pace and pressure of modern transactions. From diligence, ti negotiation, closing to exit, Aracor equips legal and deal teams with the tools to move faster, surface critical insights, and reduce risk—without sacrificing control.
Founded by a chief legal officer, a Dealmaker of the Year, and a global tech investor and entrepreuner, Aracor combines deep legal expertise with cutting-edge AI to streamline the entire deal lifecycle and deliver the competitive edge today’s high-stakes transactions demand. Whether conducting preliminary evaluations, reviewing contracts, flagging obligations, managing due diligence, or tracking post-signing commitments, Aracor transforms deal friction into deal flow.
Designed for family offices, in-house legal teams, venture capital and private equity firms, Aracor helps professionals identify risks earlier, accelerate review processes, and stay in control of even the most complex deals. Aracor empowers teams to close smarter, faster, and with greater confidence.
With speed, security, and insight at its core, Aracor is redefining how deals get done.
Legal teams are highly skilled, but they face challenges when reviewing thousands of pages manually. Human review is naturally limited by time and cognitive capacity, making it difficult to catch every risk factor or inconsistency. When handling high-stakes transactions, compliance reviews, and contract negotiations, missing a single red flag can lead to financial loss, regulatory issues, or failed deals.
Traditional due diligence requires painstaking review, but even the most skilled professionals can overlook subtle risks hidden in complex contracts and legal documents. With the increasing volume of data that legal teams must process, a smarter solution is needed.
Legal teams don’t fail because they lack expertise. They fail because humans were not built to read thousands of pages at machine speed. When handling high-stakes transactions, compliance reviews, and contract negotiations, missing a single red flag can lead to financial loss, regulatory issues, or failed deals.
Aracor’s artificial intelligence transforms the due diligence process. By automating risk analysis, compliance checks, and document comparisons, our AI-driven platform acts as an extra layer of protection, ensuring that nothing slips through the cracks.
How Aracor AI Detects What Humans Might Miss
Due diligence requires an eagle eye for detail, but even the most skilled professionals can overlook subtle risks buried in dense contracts or complex legal documents. Aracor AI enhances legal workflows by identifying inconsistencies, uncovering hidden liabilities, and flagging high-risk clauses instantly.
With One-click risk analysis, Aracor scans documents for critical red flags, helping legal teams prioritize reviews and focus on key issues. Automated compliance reviews ensure that every contract aligns with regulatory standards, reducing the risk of penalties or legal disputes. Instant document comparisons allow professionals to track revisions, spot discrepancies, and confirm alignment between multiple versions of an agreement. All in seconds.
AI-Powered Due Diligence for High-Stakes Transactions
In M&A, venture capital, and corporate transactions, every clause matters. A missed obligation, a buried liability, or an overlooked non-compete clause can derail an entire deal. Aracor AI provides the deep analysis required for high-stakes transactions, offering instant insights that streamline due diligence and contract negotiation.
Legal teams leveraging Aracor AI don’t just work faster; they work with more confidence. Artificial intelligence does not get tired, distracted, or overwhelmed by data. It processes information with precision, helping legal professionals make informed decisions backed by comprehensive analysis.
Why AI is the Future of Legal Risk Management
Aracor’s artificial intelligence solutions are designed to equip legal teams with the tools they need to enhance their efficiency and accuracy. With AI handling the heavy lifting of risk detection, professionals can focus on strategic decisions rather than manual review.
By integrating Artificial intelligence-powered contract review, automated legal processes, and automated document review, Aracor enables professionals to manage contracts, compliance, and risk with greater accuracy and efficiency.
When the stakes are high, you need a second set of eyes. Make them AI-powered.
Aracor AI provides legal teams with the tools they need to enhance efficiency and accuracy. By integrating AI-powered contract review, automated legal workflows, and document review automation, Aracor enables professionals to manage contracts, compliance, and risk with greater accuracy and efficiency.
When the stakes are high, you need a second set of eyes. Make them AI-powered. Schedule a demo.
Legal and corporate professionals handle an overwhelming volume of documents daily, from contracts to compliance reports, making manual review inefficient and time-consuming. From contracts to compliance reports, reviewing and extracting key insights manually can be tedious and time-consuming. Traditional AI tools often require users to input specific prompts or commands, adding unnecessary complexity to the workflow.
Aracor’s 1-Click Summary is an AI legal assistant feature that generates concise summaries of documents in seconds. It removes the need for manual review by instantly extracting key insights, making legal contract reviews faster and more efficient. No prompts, no configurations—just instant insights. This powerful feature allows legal teams, compliance officers, and business professionals to get a clear, concise overview of any document set in seconds, enabling them to focus on strategy rather than manual analysis.
No Prompt Needed
Unlike traditional AI tools that require specific instructions or configurations, Aracor’s 1-Click Summary eliminates the need for prompts. Professionals no longer need to craft detailed queries to generate insights. The system automatically understands the context and delivers precise summaries instantly, saving valuable time and effort.
What is 1-Click Summary and How Does it Work?
Aracor’s 1-Click Summary leverages AI legal software to analyze entire document sets and extract the most relevant information instantly. As soon as a document is uploaded, the system processes key details, identifies crucial clauses, and generates a structured summary without the need for user input. This means professionals can immediately understand the essence of a contract, regulatory filing, or business report without spending hours reviewing lengthy documents.
Whether dealing with due diligence, contract negotiations, AI contract review, or compliance assessments, Aracor’s AI Powered summarization ensures that users can make informed decisions faster and with greater confidence.
Why 1-Click Summary is Essential for Legal and Business Teams
The ability to quickly summarize complex documents is a significant advancement for industries where time and accuracy are critical. 1-Click Summary is designed to enhance efficiency, streamline workflows, and eliminate bottlenecks in document-heavy environments.
Legal teams can instantly capture key terms and obligations in contracts using contract redlining with AI, saving hours of manual review. Compliance professionals can quickly assess whether a document aligns with regulations, ensuring adherence to policies without delays. Business executives can extract key takeaways from reports, streamlining contract management with AI, allowing them to make data-driven decisions with clarity and speed.
Enhancing Productivity with AI Powered Summarization
Aracor’s 1-Click Summary is a valuable a convenience—it is a transformative tool that enhances productivity and decision-making across multiple industries. By eliminating the need for manual summaries and reducing the time spent on document analysis, professionals can redirect their focus toward high-value tasks that require strategic thinking and expertise. With Aracor, document review is no longer a bottleneck.
What is Aracor?
Aracor is an AI-native legal technology platform built to simplify complex legal workflows. Trusted by legal teams, compliance officers, and corporate professionals, Aracor delivers AI legal solutions that automate AI contract review, contract drafting, and compliance reviews. By integrating intelligent tools like 1 Click Summary, Aracor helps businesses work smarter, reduce risks, and make informed decisions with speed and confidence. Try 1-Click Summary today and experience faster, smarter, and more efficient document analysis. Schedule a demo.
Legal professionals face mounting pressure to review contracts, compliance documents, and regulatory filings with speed and precision. Traditional legal research methods require manually cross-referencing sources, a process that is both time-consuming and prone to human error. In high-stakes environments where every detail matters, inefficiencies in document review can lead to costly mistakes and overlooked insights.
Aracor’s Instant Citation is an AI-powered tool designed to help legal teams quickly verify contract terms, legal interpretations, and compliance requirements with precision. It retrieves citations from original sources in seconds, ensuring accuracy and efficiency in legal reviews. By eliminating manual searches, it enables legal teams to complete reviews faster and with greater confidence. It delivers source-cited answers instantly, eliminating manual fact-checking and improving accuracy in legal document reviews. With this technology, legal professionals can efficiently confirm contract terms, validate legal interpretations, and ensure compliance in real time.
How Does Instant Citation Work?
Aracor’s Instant Citation leverages advanced AI legal intelligence to analyze legal documents and reference materials with unprecedented speed and accuracy. It eliminates the need for manual searching, providing instant access to verified information. Legal professionals can quickly verify claims, obligations, and key clauses with citations directly linked to their original sources. This automation significantly reduces review time and enhances accuracy, making legal research more efficient and reliable.
For corporate legal departments, this feature speeds up contract negotiations by allowing teams to validate terms and obligations instantly. Law firms handling a high volume of agreements can save valuable hours previously spent cross-referencing clauses, while compliance officers can quickly ensure regulatory adherence without the risk of oversight. Instant Citation fits seamlessly into existing workflows, boosting productivity without disruption.
Why Instant Citation is Essential for M&A, Due Diligence, Contract Negotiation and Review, and Compliance
Aracor’s Instant Citation is an essential tool for M&A, due diligence, contract negotiation and review, and compliance, helping legal professionals verify every clause and obligation instantly with confidence. It is designed to meet the speed and accuracy demands of high-stakes legal transactions. Without a streamlined system, legal teams spend countless hours manually cross-referencing information, increasing the risk of errors and oversight. Instant Citation ensures that every piece of information is quickly validated, significantly improving efficiency and reducing the time spent on M&A transactions, due diligence reviews, contract negotiations, and compliance assessments. By automating citation retrieval, legal professionals can focus on strategic decision-making rather than manual verification. This tool empowers teams to work with confidence, knowing that every document review is backed by verified sources.
Transforming Due Diligence and Contract Review with Aracor
Aracor’s Instant Citation enhances how legal professionals manage contract reviews, compliance assessments, and due diligence with accuracy and efficiency. Experience smarter legal reviews with Aracor’s Instant Citation. Schedule a demo today.
Due diligence is one of the most critical and time-sensitive processes in business transactions. Whether assessing M&A opportunities, investment risks, or compliance obligations, teams must navigate an overwhelming volume of documents with speed and precision. Traditional due diligence methods often lead to inefficiencies, missed insights, and costly delays.
Aracor transforms due diligence with an AI-powered platform designed for high-stakes legal and financial workflows. With intelligent automation, Aracor empowers professionals to analyze vast amounts of information quickly, ensuring accuracy and confidence in decision-making.
Aracor: The Ultimate Due Diligence Toolkit
Deal and Data Room Analysis
Effortlessly analyze deal and data rooms to uncover critical insights and ensure smooth due diligence processes. Automate document parsing and extract key information from vast repositories with precision.
Signature Verification
Verify signatures across contracts and legal documents to ensure compliance and eliminate manual validation overheads, enhancing trust in deal authenticity.
Document Comparison
Perform automated comparisons of multiple documents, such as employment contracts, or track revisions in amended agreements. Quickly identify discrepancies, inconsistencies, or changes across numerous files, enabling faster and more accurate analysis during due diligence.
Chat-Based Interaction for Due Diligence
Seamlessly interact with the entire due diligence process or specific files and folders through an intuitive chat interface. Quickly query documents, uncover insights, and get answers in real-time, making the entire workflow more interactive and efficient.
End-to-End Due Diligence
Manage the entire due diligence lifecycle with tools designed to evaluate legal, financial, and operational risks comprehensively. Save time while ensuring thoroughness.
Redline and Redact
Automate contract markup processes with redlining tools and instantly redact sensitive information directly on-device, ensuring data privacy and accuracy.
Secure Data Sharing
Protect deal data with advanced encryption protocols and secure workflows, providing peace of mind when collaborating with internal teams and external stakeholders.
Instant Citation
Manually verifying information in contracts, financial statements, and compliance reports is time-consuming and prone to human error. Aracor’s Instant Citation feature provides real-time verification, linking key data points to their original sources within seconds. This ensures due diligence teams can work with confidence, reducing the risk of oversight.
1-Click Summaries
Instead of spending hours combing through extensive documents, Aracor’s 1-Click Summaries distill essential information in moments. Legal and financial professionals can immediately grasp critical clauses, obligations, and risks without sifting through lengthy reports. This allows decision-makers to move faster while ensuring no crucial details are missed.
Holistic Folder Analysis
Handling due diligence across multiple files and formats can be overwhelming. Aracor’s Holistic Folder Analysis reviews entire document repositories, recognizing patterns and cross-referencing data points for a comprehensive view of risk factors, obligations, and compliance gaps. This feature enables teams to assess transactions with a level of depth and clarity that was previously unattainable.
Advanced OCR Technology
Due diligence often involves scanning and analyzing complex legal and financial documents, many of which are locked in PDFs, scanned contracts, or handwritten notes. Aracor’s Advanced Optical Character Recognition (OCR) technology extracts, structures, and makes sense of even the most unstructured data. This ensures no critical insight is lost, streamlining workflows with unparalleled accuracy.
Making Due Diligence Smarter and Faster
Aracor’s AI-driven platform is designed for legal professionals who require AI legal solutions, AI contract review, and contract redlining with AI to navigate complex due diligence tasks with speed and confidence. By integrating Instant Citation, Holistic Folder Analysis, Advanced OCR Technology, Document Comparison, Secure Data Sharing, and AI-powered document review automation, Aracor provides an all-in-one due diligence toolkit that helps teams make faster, more informed decisions.
Aracor is the #1 co-intelligent, AI-native platform for complex contract review and due diligence, trusted by in-house legal teams in high-growth sectors like investment funds and technology companies. In a landscape where precision is everything, Aracor is the leading AI for legal platform, setting a new standard for streamlining contract management with AI and ensuring due diligence workflows are secure and efficient. Schedule a demo today to see how Aracor can transform your due diligence workflows.
Legal professionals working with AI legal solutions manage highly sensitive data daily, from contract negotiations to due diligence in M&A transactions. With AI transforming legal workflows, maintaining security is more critical than ever. Many AI solutions rely on cloud-based processing, leaving confidential legal data exposed to third-party providers. This raises concerns about compliance, privacy risks, and unauthorized access.
Aracor has developed its own Small Language Model (SLM), the Aracor Secure Language Model™. This proprietary model to ensure that legal teams can leverage AI without compromising security. Unlike other AI solutions that process data in external environments, Aracor’s Secure Language Model™ operates within an organization’s private infrastructure, offering full control over sensitive information.
What Sets Aracor’s Secure Language Model Apart?
The Aracor Secure Language Model™ is specifically designed for legal professionals who need both AI-driven efficiency and airtight security. Unlike general-purpose AI models that rely on massive open datasets, this model is built to function within high-security environments, ensuring that legal data remains protected at all times.
Instead of relying on third-party platforms like OpenAI or Google, the Aracor Secure Language Model™ processes and stores data entirely within the client’s infrastructure. This ensures complete data privacy and guarantees that every document remains within a secure, closed-loop system. The model integrates advanced Optical Character Recognition (OCR) technology, improving the accuracy of document processing while maintaining strict data integrity.
Securing Complex Contract Review and Due Diligence with AI-Driven Insights
The Aracor Secure Language Model™ is built for large enterprises and offers tailored solutions for small and medium-sized businesses (SMBs) across industries where data privacy is critical. In sectors such as Private Equity, Real Estate, and Aviation, organizations can leverage Aracor’s Secure Language Model™ to automate legal document processing, improve contract analysis, and ensure compliance without compromising sensitive information.
In Private Equity, the model streamlines due diligence by securely processing financial agreements, NDAs, and investment contracts. For Real Estate, it enhances lease agreement analysis, property transaction redaction, and regulatory compliance. In Aviation, it helps manage complex aircraft leasing contracts and regulatory filings while maintaining confidentiality. These tailored use cases demonstrate how Aracor’s Secure Language Model™ delivers both security and efficiency across diverse industries.
Organizations require both speed and precision, making automation essential for modern contract management. Aracor’s Secure Language Model™ enables teams to enhance contract redlining with AI, extract key clauses, and streamline contract management with AI for greater efficiency while ensuring that no data ever leaves their secure environment.
By leveraging AI contract review and automated contract drafting, professionals can accelerate their review processes without sacrificing accuracy. AI-powered insights help identify crucial terms, detect inconsistencies, and flag potential risks, allowing teams to make informed decisions faster. Redaction capabilities are also enhanced, integrating document review automation and AI assistant tools to ensure regulatory compliance and security.
Security is a fundamental requirement. It is the foundation of Aracor’s approach to AI. Teams can confidently collaborate, knowing their data is protected by enterprise-grade encryption and on-premises deployment. This level of control allows firms to focus on their work without worrying about data breaches or compliance violations.
Raising the Bar for Legal AI Security
As AI adoption grows within the legal industry, security must remain a top priority. The Aracor Secure Language Model™ is designed for legal teams that require both innovation and privacy. By eliminating reliance on third-party AI providers, integrating state-of-the-art encryption, and offering on-premises deployment, Aracor is setting a new standard for legal AI security.
With Aracor, legal teams don’t have to choose between security and efficiency. They can have both. Schedule a demo today to see how Aracor’s Secure Language Model™ can transform and protect your legal operations.
A Small Language Model (SLM) is a compact and specialized AI model designed for targeted applications. Unlike a Large Language Model (LLM), which processes vast datasets for generalized tasks, an SLM focuses on precision and efficiency. By narrowing its scope, an SLM excels in specific domains, making it ideal for industries requiring specialized solutions, such as legal technology.
For example, an SLM tailored for legal use can analyze contracts, extract essential terms, and streamline document reviews. These capabilities make the SLM a practical and effective choice for handling complex tasks while maintaining an efficient and resource-conscious framework.
Key Differences Between an SLM and an LLM
An SLM and an LLM differ in size, efficiency, and purpose. An SLM is designed to be smaller and more efficient, requiring significantly less computational power and storage. This efficiency makes an SLM more accessible and cost-effective compared to an LLM, which often demands extensive resources to function.
Precision is another key difference. While an LLM provides broad and generalized outputs, its lack of specificity can limit its effectiveness in niche applications. An SLM, however, is fine-tuned for specialized domains, such as contract analysis, ensuring depth and accuracy within its focus areas.
An SLM also prioritizes speed, delivering real-time responses due to its streamlined architecture. This responsiveness is critical in industries like law, where time-sensitive decisions are routine. Furthermore, an SLM is often deployed in secure, on-premise environments, addressing stringent data privacy and compliance requirements—a feature not always guaranteed with cloud-reliant LLM.
Why SLM Matter for Legal Professionals
An SLM offers tangible benefits for legal professionals by addressing the industry’s core challenges: precision, efficiency, and security. It automates labor-intensive tasks such as contract redlining and due diligence, freeing up valuable time for legal teams to focus on strategic activities that demand human expertise.
Security is a standout feature of an SLM in the legal field. By operating in secure environments, it safeguards sensitive client data while delivering advanced AI capabilities. This balance of innovation and privacy enables legal professionals to integrate an SLM into their workflows confidently, without compromising data integrity.
Moreover, an SLM is cost-effective. Its compact design reduces the barriers to AI adoption, making advanced technology accessible to law firms and corporate legal departments of all sizes. This combination of efficiency, precision, and affordability positions the SLM as an essential tool in the modern legal landscape.
Aracor’s Proprietary Small Language Model
Aracor’s proprietary Small Language Model is specifically designed to address the unique demands of the legal industry. By combining advanced AI capabilities with an in-depth understanding of legal workflows, this model delivers precision and efficiency tailored to legal professionals' needs.
Aracor’s SLM is built with security in mind, seamlessly operating in environments that require strict data protection. Whether automating contract drafting or accelerating document analysis, this model provides reliable and accurate results, enabling legal professionals to navigate complex challenges with confidence. By integrating this proprietary solution, organizations can streamline their operations while maintaining full control over their sensitive information.
Aracor's Secure Language Model™
Aracor has developed its own Small Language Model, the Aracor Secure Language Model™. This proprietary Secure Language Model™ combines state-of-the-art optical character recognition (OCR) technology with advanced security protocols, ensuring precise and secure document processing.
Unlike closed-source solutions that expose data to third-party providers like OpenAI, Anthropic, or Google, the Aracor Secure Language Model™ ensures complete data privacy. Organizations have the option to deploy it privately on-premises, granting them full control over their sensitive information while enjoying consistent and high-performance results.
Aracor also provides a robust desktop application for automated document redaction, enabling users to efficiently redact sensitive data directly on their devices. This application offers flexibility by allowing users to choose between Aracor’s on-device optimized model and its Secure Language Model™. By keeping data within a secure environment, Aracor empowers organizations to perform critical redaction tasks seamlessly, preserving both privacy and operational control.
Designed for high-security environments, the Aracor Secure Language Model™ meets strict data protection standards. This is particularly crucial in the legal industry, where managing sensitive client information requires advanced privacy measures. By integrating seamlessly with existing workflows, this model improves productivity without compromising security, setting a reliable standard for intelligent and secure legal technology.
We are thrilled to announce the promotion of Lesly Arun Franco, Aracor’s very first hire, to the role of Chief Technology Officer (CTO). Lesly has been an integral part of Aracor’s journey, driving innovation and crafting cutting-edge AI solutions that empower professionals and redefine the legal tech landscape. His expertise in natural language processing (NLP) and a visionary approach to AI have positioned Aracor as a leader in delivering state-of-the-art AI legal solutions.
"I’m honored to step into the role of CTO at Aracor. With a strong background in AI and a passion for solving complex problems, I’m excited to drive innovations that empower industries like venture capital and SaaS." Lesly shared.
Lesly Arun Franco: The Journey to CTO
Lesly’s journey to becoming CTO is an inspiring one. As Aracor’s first hire, he has been a cornerstone of the company’s success. Before joining Aracor, Lesly developed his expertise at AstraZeneca, where he led AI-driven initiatives focusing on data privacy, compliance, and generative AI applications. His work during this time emphasized bridging cutting-edge research with real-world enterprise applications, a skillset that has been instrumental in shaping Aracor’s approach to innovation.
"Technology should simplify complexity," Lesly often says, reflecting his dedication to making sophisticated tools accessible and impactful. This philosophy has guided his work in creating intuitive solutions for legal professionals.
Vision for the Future at Aracor
Lesly’s vision for Aracor extends far beyond addressing today’s challenges. His focus is on shaping the future of how businesses operate. By continuing to integrate advanced AI capabilities, he aims to create solutions that redefine workflows and empower professionals in various industries.
"At Aracor, we’re building tools that not only solve today’s challenges but also shape the future of business operations," Lesly explained. "I’m excited to lead efforts that have a meaningful impact, and I look forward to what we will achieve together."
This forward-looking approach aligns perfectly with Aracor’s mission to blend advanced AI with practical applications, ensuring that clients can tackle their most pressing challenges with confidence and precision.
Impact on Legal AI Solutions
Under Lesly’s leadership, Aracor is poised to redefine the legal technology landscape. Tools like AI for law firms, legal research automation, and streamlining contract management with AI will continue to evolve, providing even greater value to clients. His work emphasizes scalability and usability, ensuring that these tools remain relevant and impactful across industries.
By focusing on areas like automated legal workflows, AI contract review, and faster legal research with AI, Lesly is ensuring that Aracor stays ahead of the curve, offering innovative solutions that transform how legal professionals work.
Lesly’s promotion to CTO marks an exciting new chapter for Aracor. His expertise in AI legal solutions and his visionary approach to innovation will propel the company to new heights. With a focus on creating intuitive, transformative tools, Lesly is set to make a lasting impact not only on Aracor but also on the broader legal tech industry.
"Thank you for your support, together, we’re building a future where technology empowers professionals to achieve more with confidence and precision." Lesly concluded.
The legal industry has long been seen as an immovable force, governed by tradition and resistant to change. For Katya Fisher, those established norms were not rules to follow but challenges to overcome. Her career reflects a determination to do more than navigate the system. She set out to reimagine it entirely, blending creative problem-solving with a drive to transform how lawyers work. Along the way, she realized that excelling in law was not enough. The profession needed better tools, and Katya was determined to build them.
Katya graduated from law school during the Great Recession, a time when jobs in law were scarce and competition was fierce. Many new lawyers found themselves stuck, waiting for the economy to recover. But Katya took a different approach. At just 27, she launched her own law practice, a bold move that set the stage for her career.
The decision paid off, with Katya’s practice growing into a high six-figure business and eventually leading her to a partner role at an AM200 law firm, where she also served as a data privacy officer. Yet, even as she reached new heights, she could not ignore the inefficiencies around her. Much of the work felt outdated. Manual processes, fragmented systems, and tools did not match the complexity of modern legal challenges.
Katya’s ability to think beyond tradition brought her to Constructor Group, where she oversees legal operations across more than ten countries and multiple industries. From managing intricate legal frameworks for a venture capital fund to guiding governance for a nonprofit, Katya became known for handling complexity with precision. But as her career expanded, so did her frustration with the tools available to her.
“There were too many moments where I thought, ‘Why doesn’t something better exist?’” Katya explains. That recurring frustration ultimately became the foundation for Aracor AI, a platform designed to address the inefficiencies she had encountered throughout her career. Blending artificial intelligence with human expertise, Aracor enhances security, automates repetitive tasks, and streamlines workflows. It tackles problems that felt all too familiar to Katya, whether simplifying contract reviews or protecting sensitive data through automated redaction.
“When I was building Aracor, I kept thinking about the tools I wished I had,” she says. “The goal is to empower legal teams to focus on what really matters, which is strategy, decision-making, and creating value.”
This vision resonated when Katya introduced Aracor AI at a CodeX group meeting at Stanford Law School, a hub for legal technology innovation. The gathering brought together professionals eager to tackle similar challenges, making it the perfect venue to showcase the platform’s potential. “The feedback was incredible,” she recalls. “It showed me that I wasn’t alone in these frustrations and that there’s a real hunger for change.”
Aracor’s success lies in its ability to address real-world pain points. By automating tasks like due diligence and regulatory compliance, it saves legal teams time and allows them to focus on higher-value work. The platform’s impact is rooted in Katya’s own experiences as a lawyer, navigating outdated processes and using that insight to create something better.
Katya Fisher’s journey is a masterclass in turning obstacles into opportunities for innovation. From launching her own practice during an economic downturn to building a platform poised to reshape the legal industry, she has shown that progress is not about waiting for the right moment. It is about creating what is needed to move forward.
In the high-stakes world of venture capital, private equity, and cross-border M&A, the devil is often in the (translated) details. Business today is inherently global — term sheets originate in Singapore, diligence comes from Frankfurt, and negotiations unfold over WhatsApp in Dubai. Yet language remains one of the most underestimated obstacles to deal velocity and risk mitigation.
Aracor AI is changing that.
At the core of Aracor’s platform is multilingual document review powered by advanced AI translation. But Aracor’s goal isn’t to translate War and Peace into Spanish — it’s to help dealmakers read, understand, and act on high-stakes documents — NDAs, MSAs, shareholder agreements, LPAs, convertible notes — across languages and jurisdictions. In short: Aracor enables cross-lingual dealmaking without delay.
It preserves intent, nuance, and legal structure across more than 30 languages. English to Mandarin? Seamless. Arabic to French? Structured. Korean diligence in a London data room? Instantly legible.
Where other platforms falter with legalese and business context, Aracor thrives. Its models are trained on financial, legal, and regulatory corpora — analyzing and translating at enterprise scale.
Crucially, Aracor lowers the need to rely on foreign counsel just to interpret documents — saving firms time, legal overhead, and outside costs while enabling internal teams to triage faster and smarter.
And there’s more coming: Dropbox, Google Drive, SharePoint, Box, and more — direct integration with your document vaults is planned for Version 2.
In a world where deals don’t wait for interpreters, Aracor helps global capital move at the speed of thought — no translator required.
As global focus sharpens on AI governance — including the Council of Europe’s new Framework Convention on Artificial Intelligence (https://www.coe.int/en/web/artificial-intelligence/the-framework-convention-on-artificial-intelligence) — it’s clear AI is no longer just a tech issue. It’s a capital markets issue.
The treaty, like its cousins in Brussels and DC, is draped in the usual virtues — human rights, democracy, and rule of law. But for those in venture, private equity, and M&A, it signals a future where speed collides with sovereignty, and legal ambiguity becomes a new kind of friction.
Aracor wasn’t built to debate AI ethics — it was built to accelerate capital. Our tools give CEOs and in-house counsel leverage by mapping legal DNA, flagging regulatory risk, and helping deals move through complexity without getting stuck in it.
Example: a U.S. firm targets a European AI startup. One algorithm is flagged “high-risk” under EU law. The deal freezes. With Aracor, it’s flagged early, structure is adjusted, and the deal moves. That’s not compliance. That’s velocity.
The West may regulate. China may ignore. But advantage belongs to those who understand not just the law — but its lineage, incentives, and escape hatches.
And most importantly: what’s required to close deals and create value — for companies and their customers.
One of the biggest blind spots in legal and deal work?
We’re great at closing. We’re terrible at maintaining
I’ve seen it everywhere — from early-stage companies to complex, PE-backed portfolios: Everyone obsesses over the signing. And then the deal docs get zipped into a folder, buried in a drive, and forgotten — until someone must dig them up in a crisis.
But here’s the thing: your law firm moves on. You don’t.
The general counsel, the CFO, the investor — you are the one who must live with the deal. You’re the one fielding questions. Tracking veto rights. Checking compliance. Untangling what got signed when no one can remember which version was final.
Legal portfolio management isn’t just about avoiding mistakes. It’s about staying in control of the structures you’ve already built.
Who has what board rights across your cap table? When do special veto powers expire — or kick in? How do distribution waterfalls work across a multi-entity structure? What quiet landmines are sitting in your old side letters, convertible notes, or carve-outs?
If you can’t answer these quickly, you’re not managing your portfolio.You’re just constantly reacting to it.
Recently, I talked to a deal team whose lawyer retired and left no successor to manage past deals. They were especially concerned about their new counsel's ramp-up period — particularly around buried investor side letters, MFN clauses, and nuanced investor rights hidden deep in their portfolio.
That’s why we built Aracor to solve problems like this
Not just to pull clauses. But to guide teams through the structural reality of the deal: Board control. Voting dynamics. Liquidity rights. True-up provisions. Waterfall math. Across dozens — or hundreds — of contracts, over time.
Aracor doesn’t just store your deals. It understands them. So you can respond with confidence — anytime someone asks, “What are we actually obligated to do here?”
If you're managing post-close complexity, there's a better way.
You Can’t Trust AI Without Security. That’s Why We Built Aracor Differently.
Everyone’s racing to bolt AI onto the enterprise stack. But few are asking the real question:
Can we trust what we’re building on?
At Aracor, we didn’t start with LLM hype or generic copilots. We started with threat models — because if you’re handling deal data, legal strategy, or sensitive financials, the cost of a breach isn’t just a PR event. It’s a deal collapse.
We Designed Aracor for the Work That Actually Matters
We built a security architecture we’d trust with our own transactions.
Picture a car designed for impact — engineered with reinforced steel framing, internal roll cages, and calculated crumple zones that channel force away from the core. That’s how we approached Aracor: not just sleek on the surface, but structurally secure at every layer.
1. Data stays locked down - Encrypted at rest and transit, no exceptions; - No shadow copies. No blind spots.
2. Access is earned, not assumed - Role-based permissions. SSO. 2FA; - Effectively practicing zero trust architecture in productive environments.
Model Flexibility That Doesn’t Compromise Control
Aracor is LLM-agnostic by design. We give clients the freedom to choose the right foundation models for the job — without sacrificing security or sovereignty.
One example: we support DeepSeek-R1, a powerful open-source model that performs on par with commercial offerings. But here’s the difference: we deploy it entirely within private, secure infrastructure — with zero reliance on Chinese servers or third-party data endpoints.
Why does agnosticism matter?Because it’s not just about preference — it’s about resilience.
If a model vendor goes offline, introduces regressions, or becomes compromised, Aracorswitches—automatically. No service interruption. No scrambling.
Your data flows. Your deal keeps moving. Your AI doesn’t break.
Security That Doesn’t Just Protect — It Enables
Security isn’t just a shield. At Aracor, it’s what makes our platform usable for real Deal Intelligence — the kind involving:
Redacted documents
Deal docs
Term sheets
Liquidation waterfalls
Diligence rooms
And other high-sensitivity workflows
Unlike most vendors, we don’t train on your data.
We don’t leave audit gaps.
We don’t hope nothing breaks — we assume it might, and plan for it.
Future-Proof AI Ethos
LLM prompt injection. Embedded exploits.
We’ve already threat-mapped them. We’re building protections now — not after something hits the headlines.
Aracor is SOC 2 compliant, supports FIPS-compliant encryption standards, and is GDPR compliant.
The Bottom Line
Secure AI infrastructure Trusted for M&A, legal ops, and venture finance LLM-agnostic, including an option for secure deployments of DeepSeek-R1 No data leakage, no foreign dependencies Built for modern enterprise workflows
Business only moves as fast as the system it’s built on.
Aracor’s Dual-Mode AI: Precision When You Need It, Exploration When It Counts
In high-stakes dealmaking, AI must be both precise and adaptable. Aracor delivers that with two distinct operating modes:
Pro Mode
A controlled environment with strict guardrails. It only thinks from the documents and data you provide — contracts, diligence reports, financials. No guessing, no outside sources. Just structured, repeatable analysis.
Discovery Mode
A flexible sandbox for open-ended inquiry. It draws on broader sources — regulations, market chatter, news — and lets you test assumptions, check external context, or dig into non-obvious risks.
You can shift between these modes instantly, without losing your place in the workflow.
Use Case: Cross-Border M&A Deal Evaluation
You’re assessing a target company in a cross-border M&A deal:
- In Pro Mode, Aracor analyzes your internal corpus: the share purchase agreement, ESG disclosures, board minutes, and jurisdiction-specific compliance docs. It operates strictly within that dataset, ensuring reliable, auditable output.
- Then your risk team flags vague ESG language tied to Brazilian operations. You’re unsure if similar language has triggered enforcement elsewhere.
You switch to Discovery Mode:
Aracor brings in Brazilian regulator filings, regional press, and NGO reports.
You ask: “Has language like this triggered enforcement in the past five years?” It finds precedent cases and risk commentary.
You tag insights and return to Pro Mode to package a structured risk memo for committee review.
Why Aracor Wins Where General LLMs Fall Short
General-purpose LLMs are often too open-ended for M&A work. They pull from public sources, risking hallucinations or unverifiable claims. You get text, not trusted insight.
Aracor is purpose-built:
Pro Mode confines analysis to your deal room. Nothing extra.
Discovery Mode lets you intentionally widen the lens, traceably.That switchable control gives deal teams both rigor and reach — no compromises.
Legal professionals and corporate teams frequently encounter scanned contracts, handwritten notes, and poorly formatted documents that complicate their workflows. These imperfect documents often require time-consuming manual transcription, leading to errors and inefficiencies. Extracting accurate information from these files is a significant challenge, often resulting in delays, compliance risks, and increased operational costs.
Aracor’sAI-powered OCR technologyeliminates these obstacles by transforming unstructured, low-quality documents into clear, structured, and actionable data. Whether dealing with blurry scans, faded print, or complex formatting, this advanced solution ensures that every word and detail is captured with high accuracy. For legal professionals and businesses leveragingAI legal software, legal AI assistants, and document review automation, Aracor’s OCR is a game-changer in enhancing efficiency and accuracy.
What is OCR Technology?
OCR, or Optical Character Recognition, is a technology that converts different types of documents including scanned paper files, PDFs, and images into editable and searchable data. This capability is crucial for organizations that rely on fast and accurate access to critical information.
Traditional OCR tools often struggle with inconsistencies, distortions, and handwritten content, making them unreliable for AI for legal workflows. However, modern AI legal solutions, such as Aracor’s OCR, go beyond simple text recognition. They use machine learning and pattern recognition to intelligently process and structure extracted information, making it easily accessible for contract redlining with AI, automated contract drafting, and streamlining contract management with AI.
How Aracor’s OCR Technology Works
Aracor’s OCR technology leveragesartificial intelligence and machine learning to scan, recognize, and extract text from various document formats, including PDFs, images, and scanned copies. Unlike conventional OCR tools that struggle with distorted fonts, handwritten content, or complex formatting, Aracor’s solution adapts to these challenges with exceptional precision.
By identifying text patterns and distinguishing between printed and handwritten content, Aracor’s OCR refines and enhances extracted text, ensuring accuracy in processing legal and business documents. Once digitized, the data becomes searchable, editable, and ready for integration into automated legal workflows, AI legal assistants, and contract review automation. This technology significantly reduces the need for manual data entry, helping legal professionals efficiently manage due diligence, compliance audits, and contract negotiations.
Why OCR Matters for Legal and Business Teams
For legal professionals, accuracy is non-negotiable. A single misinterpretation or missing clause in a contract can lead to serious financial or compliance risks. Aracor’s OCR technology ensures precise text extraction, enabling legal AI assistants to analyze documents with greater confidence.
Legal teams benefit from AI contract review and automated contract drafting, allowing them to efficiently handle large volumes of documents. Compliance officers can use structured data to meet regulatory requirements, while business executives gain faster access to contract insights, eliminating the need for manual review. By integrating AI for legal into document workflows, organizations can enhance productivity and minimize errors, making contract management and due diligence more efficient.
Enhancing Productivity with Intelligent Document Processing
Aracor’s OCR technology is a critical component of AI legal software that enables professionals to streamline their document processing workflows. Instead of manually searching for contract terms, legal teams can quickly locate relevant clauses, compare contract language across multiple documents, and extract obligations using legal AI assistants.
The integration of document review automation and AI contract review eliminates the inefficiencies associated with manual document handling. By automating these processes, legal teams experience fewer errors, faster processing times, and improved overall efficiency. With contract redlining with AI, professionals can highlight discrepancies and inconsistencies with precision, ensuring airtight contract management.
The Future of Document Accuracy with Aracor
As organizations continue digitizing their operations, the need for reliable document accuracy becomes more critical. Aracor’s AI-powered OCR technology is at the forefront of this transformation, ensuring that imperfect documents no longer slow down legal and business processes. From due diligence to compliance audits, contract negotiations, and automated legal workflows, AI-powered OCR allows organizations to extract meaningful insights from any document type.
By leveraging AI legal solutions, businesses can optimize their contract management processes, reducing risks and improving decision-making. The ability to process and analyze legal and corporate documents with high accuracy gives professionals a competitive advantage in a rapidly evolving digital landscape.
With Aracor’s OCR technology, document processing is no longer a challenge. It is an opportunity to achieve greater accuracy, efficiency, and scalability. To experience the benefits of AI-driven OCR, schedule a demo today.
The Challenge of Document Overload in Due Diligence
Legal and corporate professionals often deal with massive volumes of documents spread across multiple folders. Reviewing these files individually can be time-consuming, inefficient, and prone to oversight. Critical insights may be buried deep within contracts, compliance files, or financial records, making it difficult to see the bigger picture.
Aracor’sHolistic Contract Analysis is an AI legal solution that allows users to analyze entire folders cohesively, transforming automated legal workflows. Rather than manually reviewing each document, legal teams can instantly process and extract key insights across all files, ensuring no critical detail is missed. This feature provides a structured and efficient approach to due diligence, enabling professionals to make data-driven decisions with confidence.
How Holistic Contract Analysis Works
Aracor’s Holistic contract Analysis leverages AI legal software to scan, categorize, and analyze documents within an entire folder. It identifies crucial clauses, obligations, and risks across multiple files, presenting the results in an easy-to-understand format. This eliminates the need for manual searches and allows legal teams to focus on strategic decision-making instead of administrative tasks.
Users can seamlessly assess compliance reports, contract obligations, and financial agreements within a unified framework. By connecting related documents and surfacing key findings, Holistic Folder Analysis ensures legal professionals can quickly grasp patterns, discrepancies, and compliance risks.
Why It Matters for Due Diligence
Due diligence is all about efficiency, accuracy, and comprehensive oversight. Traditional document review methods often involve fragmented analysis, where legal teams must sift through documents one by one. This not only slows down decision-making but also increases the risk of missing vital information.
Holistic Folder Analysis eliminates these inefficiencies by providing a big-picture view while maintaining granular accuracy. Whether handling M&A transactions, AI contract review, regulatory compliance checks, or contract negotiations, this feature enables legal professionals to move faster while ensuring thorough review and compliance adherence.
Holistic Reporting and Analysis
Beyond document review, Holistic Contract Analysis powers Holistic Reporting and Analysis, allowing users to generate detailed reports that provide comprehensive insights. These reports encompass portfolio evaluations, compliance assessments, and key findings that empower legal teams to make well-informed decisions at scale.
With AI powered document review automation, professionals can easily compare contract terms, identify risks, and streamline contract management with AI, without spending countless hours on manual review. The ability to generate reports instantly enhances workflow efficiency and allows teams to focus on higher-value tasks
The Future of Document Review
As legal workflows become more complex, Holistic Contract Analysis is transforming how professionals manage due diligence, contract analysis, and compliance evaluations. By eliminating inefficiencies and providing actionable insights across entire document sets, this feature helps legal teams stay ahead in a fast-moving world.
With Aracor, document review is no longer a bottleneck. Experience the power of Holistic Contract Analysis today. Schedule a demo.
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