Convertible notes are debt allowing for conversion into stock at a price set by a future financing round.Note: The following TF questions relate to Learning Supplements 14A and 14B:

Question

Quizplus · Accepted Answer

Convertible notes are a form of debt that can be converted into equity at a later date, typically during a future financing round, at a price determined by that round.

Convertible Notes Are Debt Allowing for Conversion into Stock at a Price