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The Legal Side of Entrepreneurship

YoungUpstarts

by John Vrionis, partner at Lightspeed Venture Partners. They also need to decide whether to structure terms as an equity deal or a convertible security deal. These costs make it preferable to use a convertible security for a raise of this size and to structure as equity financing if you are raising closer to $2 million.

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Convertible Debt: Worst Form Of Seed Financing — Except For All The Others

Gust

Every investment so far in this YC batch (and there have been a lot) has been done on a convertible note.” ” Ressi in particular seems to be passionate about removing the “debt” component from convertible debt seed financing transactions. A convertible note financing is not a loan in the conventional sense.

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