A Convertible Note is an ‘in-between’ round of funding to help companies hold over until they want to raise their next round of funding. This note will then ‘convert’ with a discount at the new round price. And sometimes a valuation cap. You will typically see convertible notes after a company raises, for example, a Series A round but does not yet want to raise a Series B round.
A Convertible Note is an ‘in-between’ round of funding to help companies hold over until they want to raise their next round of funding. This note will then ‘convert’ with a discount at the new round price. And sometimes a valuation cap. You will typically see convertible notes after a company raises, for example, a Series A round but does not yet want to raise a Series B round.
