The Debt To Equity Conversion Agreement is typically employed when companies seek to improve their balance sheet structure or when creditors prefer to become shareholders rather than maintain their debt position. This document is particularly relevant in the United States where it must comply with SEC regulations, state corporate laws, and federal tax requirements. It includes essential provisions such as conversion ratios, timing, representations and warranties, and often contains anti-dilution protections. The agreement is commonly used in restructuring scenarios, startup financing, and corporate reorganizations.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Your data doesn't train Genie's AI
You keep IP ownership聽of your docs
1. Parties: Identification of the debtor and creditor(s)
2. Background: Details of existing debt and reasons for conversion
3. Definitions: Key terms used throughout the agreement
4. Debt Acknowledgment: Recognition of existing debt amount and terms
5. Conversion Terms: Specific terms of conversion including share price, number of shares, and timing
6. Representations and Warranties: Statements of fact by both parties regarding their capacity and authority
7. Closing Conditions: Requirements to be met before conversion can be completed
1. Anti-dilution Provisions: Protection mechanisms against future dilution of converted shares
2. Registration Rights: Rights and procedures for registering converted shares with securities authorities
3. Tag-Along Rights: Rights of converting creditor to participate in future share sales
1. Schedule of Existing Debt: Detailed breakdown of all debt being converted including principal, interest, and other charges
2. Share Calculation Schedule: Detailed methodology and calculations for determining number of shares to be issued
3. Corporate Resolutions: Copies of board and/or shareholder resolutions approving the conversion
4. Existing Security Agreements: Copies of security agreements relating to the debt being converted
Find the exact document you need
Promissory Note Conversion Agreement
A U.S. legal agreement that converts debt from a promissory note into equity shares of a company, subject to federal and state securities laws.
Download
Note Conversion Agreement
A U.S.-governed agreement that documents the conversion of debt into equity, typically used for converting promissory notes into company shares.
Download
Convertible Notes Agreement
A U.S.-governed agreement establishing terms for debt that can convert to equity, commonly used in early-stage financing.
Download
Debt To Equity Conversion Agreement
A U.S. legal agreement that converts outstanding debt into company equity shares, subject to federal and state regulations.
Download
Loan Conversion To Equity Agreement
A U.S.-governed agreement that documents the conversion of an existing loan into company equity shares, subject to federal and state securities regulations.
Download
骋别苍颈别鈥檚 Security Promise
Genie is the safest place to draft. Here鈥檚 how we prioritise your privacy and security.
Your documents are private:
We do not train on your data; 骋别苍颈别鈥檚 AI improves independently
All data stored on Genie is private to your organisation
Your documents are protected:
Your documents are protected by ultra-secure 256-bit encryption
We are ISO27001 certified, so your data is secure
Organizational security:
You retain IP ownership of your documents and their information
You have full control over your data and who gets to see it