Free tool
What does your SAFE actually convert to?
Enter the SAFE terms and your expected round. See the ownership each conversion path produces and which one applies, with the math shown, not hidden.
The cash the investor wired on the SAFE.
Leave 0 for an uncapped SAFE.
Leave 0 if the SAFE has no discount.
Investor ownership at conversion
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Conversion paths compared
| Path | Ownership | Basis |
|---|
A SAFE converts at whichever path gives the investor more ownership.
Context
| Effective valuation the SAFE converts at | — |
| Same cash as a round investor would buy | — |
| Effective price advantage vs the round | — |
How SAFE conversion math works
A post-money SAFE (the standard YC form since 2018) defines the investor's ownership directly: investment ÷ post-money valuation cap. A $250k SAFE on a $5M post-money cap is 5%, locked in when you sign, regardless of how much you raise later on other SAFEs.
If the SAFE also carries a discount, it converts at whichever term produces more ownership for the investor:
- Cap path: investment ÷ cap. Fixed the day you sign.
- Discount path: the investor buys at the priced round's valuation minus the discount. It's worth more than the cap only when your round values you below cap ÷ (1 − discount).
Worked example
$250k SAFE, $5M post-money cap, 20% discount. Your Seed prices at $12M pre + $3M new = $15M post-money. Cap path: 250k ÷ 5M = 5.0%. Discount path: 250k ÷ (0.8 × 15M) = 2.08%. The cap wins: the investor converts at an effective $5M valuation while new money pays $15M, a 3× price advantage.
The intuition: the cap rewards the earliest risk. The bigger the gap between your cap and your eventual round, the more the SAFE holder's early conviction pays off, and the more dilution you as a founder absorb at conversion. That's why modeling SAFEs before you stack them matters; see our guide to SAFEs and convertibles and the SAFE-stacking dilution walkthrough.
Doing this on your real cap table
This calculator handles one SAFE in isolation. Vquity's close-round wizard converts your entire SAFE stack simultaneously with a tested post-money solver, tops up the option pool, and snapshots the pre-close state, all in one atomic operation.
Frequently asked questions
What's the difference between a pre-money and post-money SAFE?
A post-money SAFE (the YC standard since 2018) fixes the investor's ownership at signing: investment ÷ post-money cap. A pre-money SAFE's ownership depends on everything else that converts alongside it, so it dilutes unpredictably. This calculator models the post-money form.
Which wins, the cap or the discount?
Whichever gives the investor more ownership. The discount only beats the cap when your priced round values the company below cap ÷ (1 − discount). With a $5M cap and 20% discount, that crossover is a $6.25M round valuation.
Why is my real conversion more complicated?
Multiple SAFEs converting at once, an option-pool top-up in the round, and pro-rata rights all interact. The round's share price and the SAFE conversions are a simultaneous system. Vquity's close-round wizard solves it atomically on your actual cap table.
Move your cap table off the spreadsheet.
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