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We are excited to introduce Series SAFE Preferred — a new financing instrument that blends the simplicity of a SAFE with the legal clarity and tax benefits of preferred stock, giving founders and investors confidence from day one.
How is Series SAFE Preferred different? Unlike SAFEs, Series SAFE Preferred is actual stock under a filed charter. Investors gain stockholder rights from day one. All of the economic structure of a traditional SAFE is hard-coded into the charter.
Designed to qualify as "stock" for purposes of the Section 1202 Qualified Small Business Stock capital gains exemption, Series SAFE Preferred enables potential tax-efficient exits and secondaries, and provides clear terms on liquidation priority, erasing the ambiguity of SAFEs on those topics.
You can start using Series SAFE Preferred immediately: The forms can be found at www.seriessafe.com or get in touch with our team to learn more.
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