SAFE
Abbreviation with 2 meanings
| Stands for | Simple agreement for future equity |
|---|---|
| Meanings | 2 |
| Categories | Law & Legal, Technology & Computing |
| Also written | SAFe |
SAFE has two meanings. It stands for Simple agreement for future equity (contract) or Scaled Agile Framework (programming).
Meanings of SAFE at a glance
| # | SAFE stands for | Context |
|---|---|---|
| 1 | Simple agreement for future equity | Law & Legal › Contract |
| 2 | Scaled Agile Framework | Technology & Computing › Programming |
1. Simple agreement for future equity
Law & Legal · Contract Abbreviations · also used in business
Startup financing instrument in which an investor pays money now for the right to receive shares in a future priced equity round, usually at a discount or subject to a valuation cap. Unlike a convertible note, a SAFE is not debt, bears no interest and has no maturity date.
Example: We raised $500,000 on a post-money SAFE with an $8 million valuation cap.
Y Combinator introduced the SAFE in late 2013 and released a post-money version in 2018 that makes dilution easier to calculate. It became the most common instrument for early-stage startup rounds. Investors bear the risk that no priced round ever occurs; on an acquisition, holders typically receive their money back or a conversion amount. Pronounced like the word "safe".
2. Scaled Agile Framework (SAFe)
Technology & Computing · Programming Abbreviations · also used in business
A framework for applying agile practices across large organizations by coordinating many teams into "agile release trains" that plan together in regular program increment (PI) planning events. It is popular in big enterprises and government agencies.
Example: Our department moved to SAFe, so PI planning takes two full days every quarter.
Created by Dean Leffingwell and first released in 2011; it is a commercial framework with paid certifications. The lowercase "e" distinguishes it from the ordinary word. Critics, including some authors of the Agile Manifesto, argue that it reintroduces heavy process and top-down planning.
Related abbreviations
More contract abbreviations
- RFP – Request for proposal
- ROFO – Right of first offer
- ROFR – Right of first refusal
- RWI – Representations and warranties insurance
- SCCs – Standard contractual clauses
- SHA – Shareholders' agreement
- SLA – Service-level agreement
- SNDA – Subordination, non-disturbance and attornment agreement
See all 57 contract abbreviations →
More programming abbreviations
- REST – Representational state transfer
- RNG – Random number generator
- RoR – Ruby on Rails
- RPC – Remote procedure call
- SCM – Source control management
- SDE – Software development engineer
- SDK – Software development kit
- SDLC – Software development life cycle
See all 154 programming abbreviations →
This entry is for general education and is not legal advice. Abbreviation use varies between institutions; always confirm in context.