angelschool

SAFE Note vs Convertible Note compares two popular funding instruments used by startups to raise early-stage investment. A SAFE (Simple Agreement for Future Equity) allows investors to receive equity in the future without interest or maturity dates, making it simpler and faster for startups. In contrast, a Convertible Note is a short-term debt that converts into equity during a future funding round and usually includes interest and a maturity date. Angel School helps entrepreneurs understand the key differences, benefits, and use cases of SAFE notes and convertible notes in startup fundraising.