> For the complete documentation index, see [llms.txt](https://handbook.opencoreventures.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://handbook.opencoreventures.com/ocv-employees/vc-ops/company-formation-process/funding.md).

# Funding

## OCV SAFE

Standard OCV funding is $2M per company via a [SAFE](https://www.ycombinator.com/blog/announcing-the-safe-a-replacement-for-convertible-notes/). For Catalyst companies, standard funding is $1M. OCV SAFE's do not include discounts or valuation caps. Ensure the SAFE letter is signed before any wires are made.

Note: OCV can only initiate a wire for SAFE funding after the founder share purchase process has been completed.

Once SAFE funding is complete, the OCV team will confirm completion with the Legal Team. The Legal Team will prepare and file the CA 25102(f) Notice, which accepts digital signatures.

### SAFE Side Letter

OCV SAFEs will include a side letter with the following notes:

> "In the event that the Company negotiates a term sheet or letter of intent in connection with the Equity Financing or a debt financing, the Company shall not, without the Investor’s prior written consent, include any provision in such term sheet or letter of intent promising the issuance of equity awards to the Company’s officers, directors, employees or consultants.”

> “In the event that the Company, directly or indirectly, by amendment to the Company’s organizational documents, merger, consolidation or otherwise, creates or authorizes the creation of or authorizes the issuance of any simple agreements for future equity and/or convertible notes (together, “Convertible Securities”) that (i) exceed $400,000 in the aggregate (excluding the Convertible Securities held by Investor) (the “Additional Convertible Securities”) and (ii) contain terms more favorable than those of the Convertible Securities held by Investor, then the Company agrees to amend and restate such Convertible Securities held by Investor (including the Investor’s Safe), at Investor’s sole discretion, to be identical to the instrument evidencing the Additional Convertible Securities.”


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