[ChuckMcM]

Interesting idea, not sure if I understand it though.

So you "loan" money in exchange for "equity" and you limit the potential return on that money if the seed round is larger than a particular valuation.

It feels like a priced equity round that is held to just before the price gets set by the lead investor.

Why would I do this rather than price it? Or perhaps more importantly at the seed round stage how does this affect the LP's ownership calculation?