Convertible notes and SAFEs (Simple Agreements for Future Equity) are two common instruments used by startups to raise early-stage capital. While they share similarities, they also have distinct features that may make one more suitable than the other depending on the situation. Here’s a quick comparison to help understand the key differences and why a …
When diving into the world of startup funding, one quickly encounters the term “SAFE.” But what exactly is a SAFE, and why is it crucial for game developers, early-stage tech startups, and content creators to understand it? What is a SAFE? A SAFE, or Simple Agreement for Future Equity, is an investment contract between a …
Unlike a traditional priced equity round, a convertible note is a type of debt that converts into equity (typically during a future financing round). Essentially, it’s a loan made to a startup by an investor, with the expectation that the loan will convert into shares of the company’s stock at a later date. This instrument …
Convertible notes are a tool for early-stage fundraising Read More »
When it comes to employee compensation, companies can offer more than wages and salaries. One of the most popular choices is granting employees equity, giving them a sense of ownership and aligning their interests with the success of the business. For interested companies, one of the best ways to accomplish that goal is through a …
Understanding Stock Incentive Plans and Rule 701 Read More »
As founders look to raise capital, Simple Agreements for Future Equity (SAFEs) present a streamlined option. However, like any financial instrument, SAFEs come with their own set of risks. Understanding these risks is vital for making informed decisions and protecting the future of the business. 1. Valuation Cap Uncertainty SAFEs come in different forms. One …
When working on a game development or software project, understanding open source licenses is crucial. These licenses dictate how developers can use, modify, and distribute open source software. In this blog post, we’ll break down the essentials of open source licenses, focusing on the differences between permissive and copyleft licenses, and how they impact the …
Understanding Open Source Licenses: A Guide for Game Developers Read More »
We’re now in the year 2024 after a very tumultuous previous year. The games industry lost nearly 10,500 jobs in 2023 and roughly 8,500 in 2022, according to some estimates. We were a little too correct when we commented last year that the world continues to be a relatively unpredictable place. Here are our thoughts …
Trademark infringement is a serious issue that affects companies in the video game and software industry. It occurs when a person or entity uses a trademark that is identical or similar to another’s trademark without permission, creating confusion among consumers and potentially damaging the brand value of the trademark owner. A trademark is a symbol, …
Trademark infringement in the video game and software industry Read More »
It’s a new year! And wow, the landscape is a lot different as we collectively went from a global pandemic to a global recession. Here are our thoughts and predictions on 2023 as the world continues to be a relatively unpredictable place. Artificial intelligence Artificial intelligence (AI) is going to be a big focus as …
So the pandemic is still ongoing. It’s still affecting our everyday lives in so, so many ways. Our thoughts go to all of the people who have lost family members and friends over the past two years. Here are our thoughts and predictions on 2022 as the pandemic, yet again, continues to rage on in …