How a Business Hired a Lawyer to Review a SAFE Note in California (March 2024)

In 2024, a business in California sought assistance with the review of a SAFE note related to their investment in a pre-revenue fintech startup. The client was concerned that the conversion process for the SAFE did not accurately reflect the equity percentage outlined in their advisor agreement, particularly as the startup was preparing to close its first priced round of funding. They required a thorough examination of the SAFE document to clarify their equity stake after the seed round was raised. As a result, the client received eight proposals from licensed lawyers, with flat fee bids ranging from $300 to $2,000, all submitted to meet the client's deadline of less than one week.