I've heard of more capped valuations for convertible debt with negotiable interest and discount rates (and no warrant coverage), but also seen some angels openly demanding priced rounds. Are such capped convertible notes a good middle ground for debt that works like equity? Have you seen any that provide an alternative conversion if no priced round follows?

I guess so. I really dislike uncapped notes, obviously. Many notes convert after a fixed period of time.

Ok, so (like many/most angels) you like priced deals :)

Any other terms, or trends, you care to share?

(Roy, "truly junior" beginning angel in Boston)

Are you saying that you're not a fan of convertible debt?

Definitely not. I'm investing now, let me price it now.

I've noticed that both very hot and very cold deals are debt. Hot because they can demand it, and cold because they can't scrape a real round together.