SAFE, CCPS & Convertible Note Advisory
Choosing convertible instruments that work under Indian law
- 1ChooseInstrument chosen for investor and timing.
- 2DocumentTerms and approvals prepared.
- 3ComplyROC and RBI filings completed.
Share your details. We’ll reply on WhatsApp with the next steps and a checklist.
Pick a plan — the fee is adjusted if you hire us within 30 days.
About SAFE, CCPS & Convertible Note Advisory
A clear overview, in simple terms — what it is, why it matters, and how we handle it.
The US-style SAFE has no legal status under Indian company law, so Indian startups use compulsorily convertible preference shares (CCPS) — including the CCPS-based 'iSAFE' — compulsorily convertible debentures, or convertible notes. A DPIIT-recognised startup can raise a convertible note of ₹25 lakh or more in a single tranche, convertible or repayable within ten years, without it counting as a deposit; foreign investors in such notes are reported in Form CN.
The right instrument depends on who the investor is and what is being deferred. CCPS is the standard for priced and many unpriced rounds; notes are faster but available only to DPIIT startups above the ₹25 lakh threshold. For foreign investors, FEMA requires the conversion price or formula to be fixed upfront, and conversion can't happen below the fair value at issue.
Conversion of preference shares into equity isn't treated as a transfer for capital gains, and the holding period carries over — a useful point for investors planning exits.
| SAFE | Not recognised — use CCPS-based structures |
|---|---|
| Convertible notes | DPIIT startups; ≥ ₹25 lakh per tranche; 10 years |
| CCPS tenure | Preference shares can't exceed 20 years |
| FEMA | Conversion formula fixed upfront; Form CN for notes |
| Tax on conversion | Preference to equity conversion is not a transfer |
Who this is for
Common scenarios where this service is a good fit.
- Founders offered a SAFE by foreign investors
- Startups raising bridge rounds
- Investors structuring early-stage deals
What you get
Clear deliverables so you know exactly what's included.
- Instrument selection
- Term drafting inputs (cap, discount, triggers)
- Companies Act and FEMA compliance
- Tax analysis for founders and investors
Expert review before every submission — not just data entry.
Working notes and reconciliations you can rely on in future notices.
Resident Indians, NRIs, expats and cross-border businesses — all served.
Documents required
A practical checklist. We'll tell you if anything else is needed based on your case.
* This is a base checklist. After a quick pre-check, we may ask for additional items specific to your case.
Process
A simple, trackable workflow — designed to avoid back-and-forth.
Instrument chosen for investor and timing.
Terms and approvals prepared.
ROC and RBI filings completed.
Get a quote
We share a clear quote on WhatsApp after a quick checklist pre-check.
- Fixed quote on WhatsApp after a short look at your facts and documents.
- Government fees, if any, are paid at actuals and shown separately.
| Factor | DIY | Indus Tax |
|---|---|---|
| Expert review | ❌ | ✅ |
| Notice risk reduction | ❌ | ✅ |
| Deduction optimisation | ❌ | ✅ |
| Audit-ready records | ❌ | ✅ |
| AIS/26AS reconciliation | ❌ | ✅ |
Share your facts and deadline. We'll reply with the right checklist and a clear quote.
Fee adjusted against our service fee if you go ahead within 30 days.
- Priority CA Call-backSkip the queue — a CA calls you within 30 minutes.₹255
- RecommendedCA Consultation (30 min)Talk one matter through properly with a CA.₹755
- In-depth CA Review (60 min)Documents reviewed before the call, written action plan after.₹1,155
Call-backs run Mon–Sat, 9 AM–6 PM IST. Booked outside these hours? We call you first thing the next working morning.
Compare the 3 plansFrequently asked questions
Answers to the most common questions we get.
This page also covers
- SAFE / convertible structures advisory
- SAFE, iSAFE, CCPS, CCD and note comparison.
Official sources
Indus Tax is a private professional services firm and is not affiliated with any government authority. Rules and fees change — we confirm current positions before filing.
