Cap table

How it is used

Every investor asks to see it. You keep, update, clean up or model the cap table. A clean cap table has few, clearly documented owners; a messy one, with many small holders or unclear agreements, can scare investors away.

Example sentences

1. Before the round, our lawyer helped us clean up the cap table.

2. Can you model how the cap table will look after the Series A?

Common collocations

• clean cap table
• messy cap table
• update the cap table
• pro forma cap table

Related terms

• equityOwnership in a company, divided into shares. In startups, equity is what founders, employees and investors hold, and its value grows if the company succeeds.
• dilutionThe fall in an existing owner's percentage of a company when new shares are issued, for example to new investors or for an employee option pool.
• option poolA part of a company's shares set aside for future employees, advisors and other team members, usually granted as stock options.
• stakeThe share of a company that a person or investor owns, usually given as a percentage, for example a 10 percent stake.
• pre-money valuationThe value of a company just before new investment money comes in. It is used to work out the price per share in a funding round.

More terms: Equity & Valuation

• valuation
• post-money valuation
• vesting
• stock option
• down round
• liquidation preference
• sweat equity