Movo

Banking built to scale startups in Africa

[Movo @movobanking]

Welcome to Movo!

Banking built to scale startups in Africa.

We provide you with multi-currency banking to help you scale across different markets.

To make life easier for you as a founder, we will also introduce you to investors that align with your interests.

[Movo @movobanking]

Tomorrow, we’ll look at variations on the original SAFE and when you can use them for your startup.

To learn more about SAFEs, read the full article here: https://t.co/RcLAN347VD.

[Movo @movobanking]

Terms in a SAFE

Yesterday, we talked about how SAFEs work in practice.
https://t.co/E4ITo4RfuU

Today, we’ll be talking about some terms found in a SAFE.

A thread:

[Movo @movobanking]

For investors using a SAFE, the SAFE gives them preference in an official investing round.

Their SAFE investment will be included in your next funding round (usually Series A or Seed round), subject to the specifics of your agreement.

This is how SAFE works in practice:

[Movo @movobanking]

Pro Rata Rights

Pro rata, or participation rights, allow investors to invest more money in order to maintain their ownership percentage in the event of future equity financing.

[Movo @movobanking]

If the first SAFE holder deems the terms of the second SAFE more profitable or better, they can request the same.

[Movo @movobanking]

Most - Favoured Nation (MFN) Provisions

In the case of numerous SAFEs, this phrase requires the startup to notify the first SAFE holder of the change.

They also need to be made aware of the terms and conditions of the succeeding note.