TinyCheque

Cap Table Calculator

Calculate and manage your startup's capitalization table. Track ownership stakes, analyze dilution impact, and plan future funding rounds with our comprehensive calculator.

Ownership Analysis
Dilution Impact
Share Structure
Real-time Updates
Round Planning

Company Details

Add New Shareholder

Cap Table Summary

Share Price

$0.500

Ownership Distribution

Founder 1(common)

40.0%

$2,000,000

Founder 2(common)

40.0%

$2,000,000

Angel Investor 1(preferred)

10.0%

$500,000

Option Pool10%

Total Shares

10,000,000

Valuation

$5,000,000

Share Class Distribution

Common Shares

8,000,000

Preferred Shares

1,000,000

Option Pool

1,000,000

Understanding Cap Tables

Key Components

  • • Share Classes
  • • Ownership Percentages
  • • Option Pool
  • • Investment Terms

Important Factors

  • • Dilution Impact
  • • Conversion Rights
  • • Vesting Schedules
  • • Pro-rata Rights

Angel Investment Calculators

Tools for evaluating startup investments and calculating potential returns.

How to Manage Your Cap Table

Share Structure

Organize your shares into appropriate classes and track ownership clearly:

  • 1. Define share classes (Common, Preferred)
  • 2. Track ownership percentages
  • 3. Maintain option pool
  • 4. Document investment terms

Best Practices

  • • Keep accurate, up-to-date records
  • • Model future rounds
  • • Track vesting schedules
  • • Document all changes

Cap Table FAQs

What is a cap table?

A capitalization table (cap table) is a document that shows the ownership structure of a company, including all shareholders, their ownership percentages, and types of shares held.

How does dilution work?

Dilution occurs when new shares are issued, reducing existing shareholders' ownership percentages. This typically happens during funding rounds or when expanding the option pool.

What's a typical option pool size?

Early-stage startups typically set aside 10-20% of equity for an employee option pool. The size often depends on hiring plans and stage of the company.

How do share classes differ?

Common shares typically go to founders and employees, while preferred shares go to investors. Preferred shares often come with special rights like liquidation preferences and anti-dilution protection.

What's a good founder ownership percentage?

Founders typically retain 60-80% ownership after seed funding, diluting to 30-50% by Series B. The exact percentage depends on funding needs, valuation, and negotiation.

How do convertible notes affect the cap table?

Convertible notes don't immediately impact the cap table but convert to equity during a priced round. The conversion terms, including valuation cap and discount, determine the final ownership.

What are pro-rata rights?

Pro-rata rights allow investors to maintain their ownership percentage in future funding rounds by participating in those rounds proportionally to their existing stake.

How do vesting schedules work?

Vesting schedules determine when shares or options are earned. A typical schedule is 4 years with a 1-year cliff, meaning 25% vests after year one, then monthly thereafter.

Managing Your Cap Table: A Strategic Guide

Understanding Cap Table Management

Think of your cap table as your company's DNA sequence. It tells the story of your company's ownership evolution and sets the foundation for future growth. Like DNA, it needs to be precisely maintained and carefully modified as your company evolves.

Cap Table Structure

Key Elements:

  • Common Stock: Founders and employees
  • Preferred Stock: Investors
  • Options Pool: Future employees
  • Convertible Securities: Notes, SAFEs

Strategic Framework

1. Ownership Planning

Key Considerations:

  • Founder allocations
  • Employee pool size
  • Investor allocations
  • Future round planning

2. Share Structure

  • Define share classes
  • Set share prices
  • Plan vesting schedules
  • Document rights and preferences

Case Study: Cap Table Evolution

Company Journey:

  • Starting: 100% founder-owned
  • Seed Round: 20% to investors
  • Option Pool: 15% reserved
  • Series A: 25% to new investors
  • Final founder ownership: 40%

Cap Table Management Strategy

Initial Setup:

  • Define share classes
  • Allocate founder shares
  • Create option pool
  • Document all terms

Ongoing Management:

  • Track vesting
  • Monitor dilution
  • Update for transactions
  • Model scenarios

Future Planning:

  • Model funding rounds
  • Plan option pool increases
  • Consider exit scenarios
  • Track key metrics

Cap Table Benchmarks

15%

Target Option Pool

25%

Seed Round Dilution

40%

Target Founder Ownership

Related Topics

Cap Table
Equity Management
Share Structure
Ownership Tracking
Dilution Analysis
Option Pool
Share Classes
Vesting Schedule
Funding Rounds
Convertible Notes
Preferred Shares
Common Stock
Pro-rata Rights
Investment Terms
Equity Calculator
Round Planning
Startup Equity
Share Allocation
Exit Planning
Ownership Stakes