A Simple Agreement for Future Equity (SAFE) is a financing instrument that allows startups to receive investment from investors in exchange for the right to obtain equity in the future. Unlike traditional equity financing, a SAFE does not require the company and investors to agree on a valuation at the time of investment. Instead, the conversion into shares occurs during a future funding round, typically at a discount or valuation cap. For founders, this simplifies fundraising and reduces legal complexity. AngelSchool teaches entrepreneurs and aspiring investors how SAFEs work, helping them understand the advantages and risks associated with this increasingly popular startup financing tool.