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I haven't seen any mention of this: what does the investor get in return? the YComb people get six percent; what do the people behind Yuri's fund get?


The way uncapped convertible debt works, there is no valuation when the investment is made. That means that, when the agreement is inked, the investor can only guess at how much equity they are purchasing.

Typically when the next round of financing occurs, the investor gets equity at the valuation of that round.




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