Fundraising calculator
SAFE Conversion Calculator
Estimate whether a valuation cap or discount drives conversion and how many shares a simple SAFE could receive at a priced round.
How this SAFE conversion calculator works
Round price = priced-round pre-money ÷ pre-round fully diluted shares. Discount price = round price × (1 − discount). Cap price = valuation cap ÷ the same share base in this simplified model. The calculator treats the lower of those conversion prices as the binding educational driver, then estimates SAFE shares as SAFE investment ÷ conversion price.
That framing matches the founder question people ask first: does the cap or the discount give the SAFE holder more ownership at the next priced round under these assumptions?
Worked example: $500k SAFE, $6M cap, 20% discount
Assume a later priced round at $10,000,000 pre-money with 5,000,000 pre-round fully diluted shares. Round price is $10,000,000 ÷ 5,000,000 = $2.00 per share.
Discount price is $2.00 × (1 − 0.20) = $1.60. Cap price is $6,000,000 ÷ 5,000,000 = $1.20. Because $1.20 is lower than $1.60, the valuation cap is the binding term in this simplified example. Estimated SAFE shares are $500,000 ÷ $1.20 ≈ 416,667 shares, or about 7.69% of the 5,416,667 shares outstanding before new priced-round cash (SAFE shares added to the prior 5,000,000).
What this MVP deliberately skips
- Document-specific capitalization definitions and post-money SAFE mechanics.
- Option-pool refresh timing that can change the share base before conversion.
- Multiple SAFEs converting in a prescribed order with MFN or pro rata side letters.
Educational-use disclaimer: FounderMath is for educational planning only. It is not legal, tax, accounting, investment, securities, financial, or fundraising advice.
Related tools
Fundraising hub · Valuation Cap vs Discount · Convertible Note Calculator · Pre/Post-Money Calculator · Founder Dilution Calculator
FAQ
How does this SAFE calculator choose between cap and discount?
It calculates a discount price from the priced-round share price and a cap price from the valuation cap divided by pre-round fully diluted shares, then uses the lower price as the simplified conversion driver.
Does this model a post-money SAFE or a pre-money SAFE?
It uses a simplified educational conversion model focused on comparing cap and discount prices. It does not reproduce every pre-money or post-money SAFE form, capitalization definition, or conversion-order rule.
What inputs change SAFE shares the most?
SAFE investment size, the binding conversion price, and the pre-round fully diluted share count. A lower conversion price or larger investment increases estimated SAFE shares.
Can I leave discount or valuation cap blank?
Enter the terms present in the SAFE you are modeling. If only one of discount or cap exists, the calculator compares the available conversion prices against the priced-round price in the simplified model.
Is SAFE calculator output legal advice?
No. Actual SAFE conversion depends on the signed SAFE, capitalization definition, option-pool treatment, and conversion order. Review documents with qualified counsel.
Last reviewed September 7, 2026. See Methodology and Sources.