 In any case, the company that issues the note usually does not intend to use it as a long-term financing strategy.The combination of a relatively short term with comparatively high interest, in contrast to other options available to investors, like certificates of deposit (CDs), makes clap notes very attractive to investors who can afford them.Using the example above, assuming that the $100,000 10/10 clap note has a term of two years, the investor sees a return on his $90,000 principal of $10,000 per year (i.e.