A dozen years ago, the SAFE didn’t exist. In the 2020s, it’s become the dominant mechanism used by early-stage companies to raise capital at the pre-seed stage.

While the high-level numbers have nosed down, other key metrics—like valuations and round sizes—are trending up at the seed stage. And some of these statistics look very different across different common sectors.

After a historically lackluster 2023, the fintech fundraising market has picked back up—through the first nine months of 2024, fintech startups on Carta combined to raise about $3.8 billion in new VC funding.

The CEO of Heylist and former PR exec used fact-finding conversations with investors in her network to help raise a pre-seed round for the Montreal-based company, which connects brands and influencers.

The CEO of Reunion Neuroscience, a company developing a drug to treat postpartum depression and mental health distress related to cancer, took a unique approach to advance company goals.

In this article, we’ll break down the potential advantages and disadvantages of fundraising with SAFE agreements and cover everything you need to know before issuing SAFEs.