India 
Canada
Raising early-stage capital is one of the most crucial — and challenging — steps in a startup’s journey. Traditional equity financing can be complicated, time-consuming, and expensive to structure. That’s where iSAFE (India Simple Agreement for Future Equity) steps in as a game-changing alternative.
📌 What is iSAFE?
iSAFE is a founder-friendly investment instrument introduced in India in 2019. It’s modeled on the original SAFE (Simple Agreement for Future Equity) created by Y Combinator in the U.S., but adapted for the Indian legal and regulatory environment.
An iSAFE is not a loan and does not accrue interest. It’s an agreement that allows investors to fund a startup today in exchange for future equity, typically during the next priced funding round.
🧩 How Does iSAFE Work?
When an investor signs an iSAFE, they invest money in a startup now and receive equity later, once the company raises a formal priced round or hits a triggering event (like acquisition or IPO).
This allows founders to raise funds quickly and efficiently, without negotiating valuation or giving up equity upfront.
Typical Trigger Events:
Next priced equity round
Acquisition or IPO
Sometimes a long-stop date (if none of the above happens).
📄 Key Features of iSAFE
💰 No Valuation Needed – Now Startups don’t need to set a valuation during the iSAFE round.
📈 Converts to Equity Later- The investment converts into equity during a future event.
⏱ Faster Execution-Fewer legal formalities compared to equity or convertible notes.
📉 No Interest or Maturity Unlike convertible debt, iSAFE is not a loan and has no interest.
