A Non-Disclosure Agreement (NDA) is a legally binding contract that establishes a confidential relationship between parties, typically used to protect sensitive information from being disclosed to unauthorized individuals or entities. For startups, NDAs are important as they safeguard proprietary information, business strategies, intellectual property, and other critical data during discussions with potential investors, partners, employees, or clients. By using NDAs, startups can confidently share information necessary for growth and collaboration while minimizing the risk of intellectual property theft or misuse.