Finding the right Pre-Money SAFE (Simple Agreement for Future Equity) template is crucial for early-stage fundraising. Let's explore the most trusted sources and understand their unique offerings.
Quick Recap of Pre-Money SAFE Templates
| Source | Template Type | Last Updated | Key Feature | Best For |
|---|---|---|---|---|
| Y Combinator | Official | 2023 | Industry Standard | All Startups |
| NVCA | Community | 2023 | Annotated | First-time Founders |
| Kindrik | Law Firm | 2025 | NZ/AU Friendly | Asia-Pacific Region |
What is a SAFE Agreement?
A SAFE (Simple Agreement for Future Equity) is a financing instrument commonly used by early-stage startups to raise capital. Created by Y Combinator in 2013, it offers a simpler alternative to convertible notes, allowing companies to defer valuation discussions until a later funding round.
Typical Users
| User Type | Common Scenario |
|---|---|
| Pre-seed Startups | Initial fundraising before product-market fit |
| Angel Investors | Early-stage investments with simplified terms |
| Accelerators | Standard investment vehicle for program participants |
| First-time Founders | Quick fundraising without complex negotiations |
1. Y Combinator's Official SAFE Templates
The gold standard in the industry, created by the organization that invented the SAFE.
Why It's Great:
- Industry Standard: Most widely accepted by investors
- Well Documented: Includes detailed explanations
- Regular Updates: Maintained and updated regularly
- Free Access: No cost to use
2. NVCA Model Documents
National Venture Capital Association's comprehensive template collection.
Why It's Great:
- Community Reviewed: Vetted by industry professionals
- Detailed Annotations: Explanations for each clause
- Alternative Provisions: Multiple scenarios covered
- Educational Resources: Supplementary learning materials
3. Kindrik SAFE Templates
Kindrik is a law firm specializing in startup and tech transactions, offering SAFE templates tailored to startups in New Zealand, Australia, and the broader Asia-Pacific region.
Why It's Great:
- NZ/AU Friendly: Geared toward startups operating in these jurisdictions
- Detailed Explanations: Includes notes clarifying legal nuances
- Regular Updates: Remains current with evolving regulatory requirements
- Free Access: Download and customize at no cost
Key Considerations When Choosing a Template
1. Legal Compliance
| Aspect | What to Check |
|---|---|
| Jurisdiction | Template compatibility with your location |
| Updates | Last revision date and changes |
| Legal Review | Attorney verification status |
2. Investor Acceptance
| Factor | Importance |
|---|---|
| Recognition | How widely accepted is the template |
| Customization | Ability to modify terms |
| Track Record | Usage history in deals |
3. Implementation Support
| Feature | Benefit |
|---|---|
| Documentation | Clear usage guidelines |
| Support | Available help resources |
| Tools | Integration capabilities |
Common Elements in Pre-Money SAFEs
-
Standard Terms:
- Valuation Cap
- Discount Rate
- Conversion Provisions
- Most Favored Nation Rights
-
Key Sections:
- Investment Amount
- Company Representations
- Investor Rights
- Conversion Mechanics
-
Optional Features:
- Pro-rata Rights
- Information Rights
- Amendment Provisions
Create Your SAFE Agreement
Once you’ve chosen your preferred template and customized its terms, always consider having it reviewed by a qualified startup attorney. This ensures that the agreement’s language is crystal clear and that your startup’s interests are properly protected.
Additional Resources About SAFEs (But Not Templates)
- SeedLegals English Law Version of YC SAFE for Raising from US Investors – An in-depth discussion about adapting YC’s SAFE for English law.
- Rubicon Law: Key Differences Between YC SAFE and 500 Startups KISS – A detailed comparison of two popular early-stage financing instruments.
Share your SAFE documents using Papermark
How? Share your SAFE agreements and supporting documents as secure links not as attachments and track investor engagement.
- Get notified when investors view your SAFE documents
- Track how long they spend on each page of your agreements
- Capture emails of investors who accessed your documents
- Protect your legal documents using watermark, screenshot protection, and other link permissions
- Securely send a data room with your complete fundraising package:
- SAFE agreements
- Cap table
- Financial projections
- Corporate documents
Papermark – Pitch Deck Sharing Software for Startups
Alongside sharing your SAFE documents, you can also upload and share your pitch deck through Papermark. Here’s why Papermark is ideal for startups looking to streamline their fundraising and investor communications:
- Real-time Analytics: Know exactly when (and how often) investors view your pitch deck.
- Page-by-Page Tracking: Gain insights into which slides interest investors the most.
- Email Capture: Collect email addresses of all visitors, turning views into actionable leads.
- Advanced Security: Watermarking, screenshot protection, and custom permissions keep sensitive information confidential.
- Single, Secure Link: Send a single, tracked link instead of bulky email attachments.
Conclusion
While these sources provide excellent templates, it's crucial to have legal counsel review any agreements before use. Choose a template that best fits your startup's needs and jurisdiction, and ensure proper legal review before implementation. With platforms like Papermark, you can share your SAFE agreements and pitch decks securely, track investor interest, and streamline your fundraising process.