The Convertible Agreement for Equity (“CARE”) is a document that provides a simple and flexible way for a startup to raise funds from family and friends. It is a convertible instrument which allows an investor to make a cash investment in a company in exchange for receiving cash or shares in a Singapore incorporated private company upon the occurrence of certain events or “triggers”.
This module will be jointly presented by Ms. Satbir Walia (Partner) and Mr. Michael Ng (Associate) of Clifford Chance Pte Ltd.
- Understand when and why CARE may be used in early stage fundraising
- Understand rights of a CARE holder and obligations of a company issuing a CARE
- Understand how CARE differs from (i) shares in a company and (ii) a convertible note/promissory note in a company