[fusionman]

Convertible Debt is a popular instrument currently. Make sure you understand it though. What is it convertible to? This typically means that you intend to allow your debt holders to convert their investment to stock offered at the time of accepting Series A (or next round) funding....and they convert it at a discount....and the interest accrued is converted to stock at the same discount. Typically the max time frame for the debt is 1 year (securities issues I believe...has to be registered if longer), so if you don't anticipate taking additional funding in the near future, convertible debt is probably not for you. We could discuss this forever, but thats enough for now.