People seem to forget that you can "price the round" without selling priced shares and incurring all the associated headache/expense if you just treat your convertible note like the warrant that it is and have it convert at a predetermined price. I've done it several times myself.

Priced equity means you're actually transferring ownership of shares. It's going to involve a lot of diligence and negotiation around rights, etc.

The short answer: lawyer time.

Short answer: attorneys.

When you do a priced round, you have to go in and change many aspects of a company's legal structure. For example, the documents drafted in a priced round may include amendments to the charter, a voting agreement, a stock purchase agreement, a right of first refusal agreement, a shareholder agreement. Drafting the legal docs for a convertible note or SAFE is less intensive and time consuming.

At Atrium LTS we are working on ways to reduce the cost of priced rounds! Please get in touch if you'd like to learn more.