Investment Instruments

Common equity represents ownership in a company and entitles the holder to a share of the profits. This blog post explores the benefits and considerations of common equity for both companies and investors, including the alignment of interests, potential dilution, and unlimited upside.

Convertible notes are investor-friendly loans to early-stage companies, offering enhanced upside and downside protection. Key terms include investment amount, maturity date, interest rate, discount, and valuation cap.