Seed Financing Misconceptions: SAFE vs Convertible Note 

Attorney Maritza “Shay” Nelson discussing common seed financing misconceptions in choosing between SAFEs and Convertible Notes.

One of the biggest misconceptions about seed financing is that a SAFE (Simple Agreement for Future Equity) is “free money” because it lacks a traditional interest rate or maturity date. However, founders who believe this are setting themselves up for a severe dilution shock when they reach their Series A financing round. For serious entrepreneurs […]