Get all your news in one place.
100's of premium titles.
One app.
Start reading
Kiplinger
Kiplinger
Business
Murat Abdrakhmanov

Early-Stage Startup Deals: How Does a SAFE Work?

Three businesspeople gather around a temporary table in a new workspace.

Editor’s note: This is part one of a two-part series about two financial instruments that angel investors use to more easily invest in early-stage startups. While this article is about SAFEs, part two will cover convertible notes.

In 2024, the size of the global angel investment market was estimated at about $28 billion. It is projected to grow to $72.35 billion by 2033. While such investments in startups can be highly profitable, they also carry significant risks. If an investor is willing to take on that risk, the next question is how to properly structure the deal.

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.