SAFE (Simple Agreement for Future Equity) agreements have become one of the most common fundraising tools for startups in Israel and worldwide. But what exactly are these agreements, and what should founders watch for before signing? The Israel Tax Authority recently issued new guidance on the tax treatment of SAFE agreements, directly affecting how they should be structured. Miriam Zaltzman, partner in the Hi-Tech department at S. Horowitz, and Ophir Kaplan, partner in the firm’s Taxation department, joined a special episode of the “ACC on the Move” podcast, hosted by Adv. Merav Leshem, to discuss the key issues involved in SAFE agreements.
