Things to Note When a SAFE Converts

As an early stage investor, you are likely to encounter SAFEs frequently, and it is important to know what to look for when a SAFE converts.

There comes a time when your investment in a SAFE might convert to equity. The equity round is often referred to as the priced round, and this simply means that during this funding event, there is a valuation attached to the company, usually inferred by the price per share, the number of shares, and the premium attached to those shares.

(Photo by Sorbett…