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whats a convertible notes a convertible note is a form of debt or investment depending on how you look at it basically its a short-term loan thats typically used in a startup environment an investor loans an entrepreneur money which will later convert into equity in the company hence convertible note lets walk through this step-by-step person a lets call her jack has an idea and wants to launch a new company its like uber for succulence but she needs money person B Aliyah has money and she really believes in Jacks idea she can invest in Jacks idea now and once the companys launched and running her original investment will be converted into equity so jack accepts the money and takes on the debt short term to fun and launch her company once Jacks company is thriving as Im sure it will no problems there in investors in this series a round of funding are able to figure out the value of her company aleeahs original investment her convertible note will be converted into equity he
