SAFE vs Convertible Note: What They Are and Which to Use
Convertible notes vs. SAFEs: how each works, key differences in terms and mechanics, and which instrument makes more sense for your early-stage startup funding.
Convertible notes vs. SAFEs: how each works, key differences in terms and mechanics, and which instrument makes more sense for your early-stage startup funding.
How startup convertible notes work: conversion triggers, caps, discounts, interest, maturity, creditor rights, and tax considerations.
SAFEs are the dominant instrument in pre-seed and seed financing, but "simple" doesn't mean uncomplicated. Learn how SAFEs actually work, what can go wrong, and what you need to know before you sign one.