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This document is a Simple Agreement for Future Equity (SAFE) specifically designed for Estonian companies, outlining the terms under which an investor can convert their investment into equity in the
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How to fill out safe agreement

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How to fill out safe agreement

01
Begin with the title 'Simple Agreement for Future Equity' or 'SAFE'.
02
Include the date of the agreement.
03
Identify the parties involved: the investor and the company.
04
Specify the amount of investment.
05
Detail the terms related to valuation cap and discount rate, if applicable.
06
Include clauses related to conversion into equity during a future financing round.
07
Append any additional terms or conditions agreed upon by both parties.
08
Provide spaces for signatures of both the investor and the company representative.

Who needs safe agreement?

01
Startups seeking funding to facilitate investment.
02
Investors looking for a simple and quick way to invest in early-stage companies.
03
Companies wanting to postpone valuation discussions until future financing rounds.
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A SAFE (Simple Agreement for Future Equity) agreement is a financial contract that allows investors to convert their investment into equity at a later date, typically during a future fundraising round or liquidity event.
Typically, startups or companies seeking to raise funds through the SAFE are required to file the agreement, particularly when they intend to record the agreement as part of their financing documentation.
To fill out a SAFE agreement, you need to include information such as the names of the parties involved, the amount of investment, the valuation cap or discount rate, and any applicable terms related to future equity conversion.
The purpose of a SAFE agreement is to provide a straightforward way for startups to raise funds without setting a specific valuation at the time of investment, allowing for quicker fundraising and reduced negotiation complexity.
The SAFE agreement must report details such as the amount invested, the terms of conversion to equity, valuation cap or discount provisions, and the identities of the investor and the company.
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