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A primer on convertible notes, convertible securities, and equity

Hippoland

Because equity rounds are much more suited towards bigger financing rounds and is a slow way of raising money, convertible notes were a way to be better suited for raising these smaller seed rounds. Raising money on a convertible note is fast — you get your money as soon as an investor signs.

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More Tech Startups are LLCs

Austin Startup

Many angel investors, and also strategic investors, are comfortable investing in LLCs, particularly under a convertible security structure that doesn’t immediately result in equity holdings.

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Raising Startup Capital Through Convertible Debt Financing

Business Plan Blog

Raising Angel Capital. Individual investors who provide financial funding to startups are called ‘Angel Investors.’ Angel investors may invest individually or as part of an angel group, which are usually local organizations made up of Accredited Investors*. 2) Giving equity in the company.

Finance 93
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Knowledge Is Power: Convertible Note Financing Terms, Part II

Gust

This may seem like a no-brainer now that you understand the basic structure of a convertible debt financing. At least one well-known Silicon Valley venture accelerator is using a document referred to as a “ convertible security ” rather than “convertible promissory note.”

Finance 79
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Pre-seed is the new seed

Hippoland

So, I thought it might make sense to take a step back and talk about all the stages of early stage fundraising here in the Silicon Valley. In early stage investing, at least in Silicon Valley, there are basically 4 stages: pre-seed, seed, post-seed (or pre-A), and series A.

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Pre-seed is the new seed

Hippoland

So, I thought it might make sense to take a step back and talk about all the stages of early stage fundraising here in the Silicon Valley. In early stage investing, at least in Silicon Valley, there are basically 4 stages: pre-seed, seed, post-seed (or pre-A), and series A.