Tag Archives: Convertible Debt.

What is a Convertible Note Term Sheet? A Convertible Note Term Sheet is the summary outline of the key terms for a convertible debt seed financing. As you approach potential investors, the term sheet will be a critical part of your seed financing toolkit, together with the executive summary and investor pitch deck. Once you…

If you first raised a seed round with convertible debt and now are raising capital , then you need to model the financing and understand how the terms will affect your company’s equity capitalization table and resulting stock ownership. We have created an equity financing model for you to download.

Are you ready for the hard questions from potential investors who are looking to invest in your company? Investors usually are serious and focused people who won’t hold back when asking questions about you and your company and whether they should make an investment in your company.

Entrepreneur’s Question: “How should I expect liquidation preferences for holders of convertible notes to work?”

You are meeting with a potential investor in a few days and they are interested in structuring a possible investment as convertible debt. You need to get up to speed quickly on the key terms and negotiation points for this type of investment.