Simple Agreement for Future Equity (“SAFE”) and their Application in KuwaitSimple Agreement for Future Equity (Safe) • December 18th, 2024
Contract Type FiledDecember 18th, 2024SAFEs are an innovative investment instrument that allow startups to secure funding from investors without immediately issuing equity. They serve as a contractual promise to provide SAFE investors with equity at a future date (under specific conditions) without the complexity of a traditional equity round. SAFE was introduced by Y Combinator in late 2013 as a financing instrument tailored for early-stage startups and seed-stage investors. It’s significance in the venture capital and startup ecosystem is that it provides capital without immediate equity dilution or the financial burden of monthly payments.