If you are considering raising venture funding, you’ve likely heard of SAFE (Simple Agreement for Future Equity) Agreements. SAFE’s are good for early stage startups raising seed capital from angel investors, friends, and family before receiving institutional venture capital financing. This post will give you a high level overview of the anatomy of a SAFE Term Sheet.
Starting and running a company is not easy or cheap. You have options for funding – the most common of which are Venture Capital (VC) Fundraising or Bootstrapping (bankrolling yourself). Both have their pro’s, con’s, payouts, and drawbacks – and this post is here to give you a high level overview of what to think about when making the decision.