A
D
H
oc
F
OUNDERS
C
OUNsel
™
by Bagchi Law P.C.
Issuing Equity
Issuing equity is one of the most important decisions a company makes, yet founders are often introduced to SAFEs, convertible notes, stock grants, advisor equity, and other instruments without a clear understanding of how they work together.
Each tool serves a different purpose and carries different legal, ownership, and governance implications. Selecting the right structure early can help avoid confusion, dilution disputes, and corrective work later.
Whether you are preparing to issue equity for the first time or revisiting prior issuances, the goal is the same: ensuring ownership is documented correctly, expectations are aligned, and the company can confidently stand behind what it has granted.
From Instrument → System
Step 1
Understand
Context
Identify who is receiving equity and why, whether an investor, advisor, employee, or early contributor.
Step 2
Select
Instrument
Determine whether SAFEs, notes, stock issuances, or advisor equity are appropriate.
Step 3
Define the
Terms
Set valuation caps, discounts, vesting, or grant structures as needed.
Step 4
Document and
Implement
Ensure the instrument is properly documented, authorized, and integrated into your structure.
Common Questions
Not sure where things stand?
Let’s walk through it together.
Book a Consultation
A
D
H
oc
F
OUNDERS
C
OUNsel
™
by Bagchi Law P.C.
"By believing passionately in something that is yet to exist, we create it."
– Franz Kafka
© 2026 Bagchi Law P.C. All rights reserved.
A
D
H
oc
F
OUNDERS
C
OUNsel
™
by Bagchi Law P.C.
Issuing Equity
Issuing equity is one of the most important decisions a company makes, yet founders are often introduced to SAFEs, convertible notes, stock grants, advisor equity, and other instruments without a clear understanding of how they work together.
Each tool serves a different purpose and carries different legal, ownership, and governance implications. Selecting the right structure early can help avoid confusion, dilution disputes, and corrective work later.
Whether you are preparing to issue equity for the first time or revisiting prior issuances, the goal is the same: ensuring ownership is documented correctly, expectations are aligned, and the company can confidently stand behind what it has granted.
From Instrument → System
Step 1
Understand
Context
Identify who is receiving equity and why, whether an investor, advisor, employee, or early contributor.
Step 2
Select
Instrument
Determine whether SAFEs, notes, stock issuances, or advisor equity are appropriate.
Step 3
Define the
Terms
Set valuation caps, discounts, vesting, or grant structures as needed.
Step 4
Document and
Implement
Ensure the instrument is properly documented, authorized, and integrated into your structure.
Common Questions
Not sure where things stand?
Let’s walk through it together.
Book a Consultation
A
D
H
oc
F
OUNDERS
C
OUNsel
™
by Bagchi Law P.C.
"By believing passionately in something that is yet to exist, we create it."
– Franz Kafka
© 2026 Bagchi Law P.C. All rights reserved.