Ask HN: Recommendations for investment contract services, SAFE, IRA Option

https://news.ycombinator.com/item?id=30838494
by s1artibartfast • 4 years ago
2 0 4 years ago

Hello HN,

I would like to invest in a bootstraped startup as a friends & family investor. I am looking to make a one time total investment <=50K.

In the past, I have been involved in early stage startups and paid a high price for legal advice, and would like to avoid costs & complexity. I would like to have a easy and low cost investment for both parties. I don't want to negotiate equity, and would like to defer to terms to later rounds. Based on my understating, this means a SAFE is a good option. Optimally, I would like to invest with my Roth IRA funds.

I have ~750k assets in stock and cash

My questions are:

1) Are there simple contract services to facilitate investments?

2) Ideally, I would like to invest from a self directed roth IRA, are there any contract services that support this?

3) How difficult or necessary is it to jump through qualified investor loopholes for a friends and family investment?

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