Common Contracts
1 similar Safe Agreement contracts
Safe simple agreement for future equity accountingSafe Agreement • August 3rd, 2023
Home Startup Finance Venture Capital SAFE Notes Accounting for SAFE notes SAFE notes are one of the preferred investing instruments in the startup world. SAFE (simple agreement for future equity) notes are an alternative to convertible notes, and SAFE notes are less complex. They are basically an agreement that allows investors to purchase equity in a startup at a negotiated price now, and the investor will receive the equity at some point in the future (called conversion). There’s no set time for conversion – it will happen when and if the company next raises capital. With that in mind, how do startups account for a SAFE note investment?
