Note Terms
Simple, non-compounding interest.
Time from issue date to conversion.
Current Priced Round
Cap Table Impact
Results
Enter your note terms and the current round, then press Calculate Conversion to see how the note converts.
About the Convertible Note Calculator
The convertible note calculator shows startup founders and investors how a convertible note turns into equity during a priced round. Unlike a SAFE, a convertible note is debt: it carries an interest rate and a maturity date, and the accrued interest converts into shares along with the principal.
How note conversion works
The calculator adds simple annual interest to the principal for the months the note has been outstanding, then converts the total at the better of the valuation cap or the discounted round price. A $250,000 note at 6% interest outstanding for 18 months converts $272,500, so interest alone increases investor ownership and founder dilution compared with an identical SAFE.
Notes vs SAFEs
Convertible notes and SAFEs both defer pricing to a future round, but notes accrue interest, sit as debt on the balance sheet, and can come due at maturity if no round happens. SAFEs are simpler and never mature. Founders comparing instruments can run the same terms through this calculator and the SAFE calculator to see the ownership difference.
Who this calculator is for
- -Founders raising bridge rounds on convertible notes
- -Modeling note dilution with interest before a priced round
- -Comparing convertible note and SAFE outcomes side by side
- -Angel investors estimating ownership at conversion including interest
- -Preparing for maturity date and qualified financing negotiations