SAFES ARE BLOWING UP CAP TABLES

Summary from the TLDR Founders newsletter

The Simple Agreement for Future Equity was supposed to simplify fundraising by delaying valuation discussions, but founders are stacking multiple SAFEs at different caps and losing track of dilution - Carta data shows they typically own less than 40% of their company before Series B after giving away 10% on pre-seed SAFEs, 20% at seed, 20% at Series A, plus 12-13% for employee options.