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Podcast: Investor Connect Podcast
Episode: Startup Funding Espresso – Make Sure the Convertible Note Has a Conversion Point
Description: Make Sure the Convertible Note Has a Conversion Point Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Convertible notes are useful tools for fundraising. They are easy to set up and often don’t require much legal work. The best part is they don’t require a valuation to be set. Instead, a valuation cap is used to give assurance to the investor that the valuation will not be set at an unreasonable level. Most convertible notes convert on a subsequent round funded by equity. In the event ther...