How do you make a basic cap table?
How to Make a Cap Table
- Authorized shares: Number of shares the company is allowed to issue.
- Outstanding shares: Number of shares held by all shareholders in the company.
- Unissued Shares: Number of shares that have not been issued.
- Shares reserved for stock option plan: Unissued shares reserved for future hires.
What is a cap table template?
A capitalization table, or “cap table” for short, is a list of a company’s securities (common stock, preferred stock, convertible notes, SAFEs, options, warrants, etc.) and who owns those securities.
Does an LLC need a cap table?
Members of an LLC need to create a cap table in the early stages of the company’s formation before they create other company documents. Generally, most LLC cap tables are created after a few rounds of financing, once the sources of funding become complex.
What should I look for in a cap table?
The cap table should show the company’s overall capital structure at a glance, as well as detailed ownership information for each class and series of stock outstanding (see an example at the end of this article). Most importantly, it should always be accurate and up to date.
What is a startup cap table?
A cap table, or capitalization table, is a chart typically used by startups to show ownership stakes in the business. It lists your company’s securities (i.e., stock, options, warrants, etc.), how much investors paid for them, and each investor’s percentage of ownership in the company.
How do you calculate post-money valuation from cap table?
Pro-tip: A quick way to calculate post-money valuation is to take the investment amount and divide it by the expected ownership with that investment.
What investors look for in a cap table?
7 things investors look for in your cap table
- FOUNDERS SHARE. One of the biggest issues, by far, is too small of an ownership by the founding team.
- DEAD EQUITY.
- NO.
- OPTION POOL.
- EXIT LOGIC.
- SWEETENERS.
- ACCURACY.
What does a pro forma cap table look like?
A pro forma cap table is a spreadsheet that shows the capital structure of a business at present and after a potential investment. The spreadsheet combines data of the company to summarize the percentage that investors own, the value of their holdings, and the dilution over time.
How do cap tables work?
The capitalization table shows each investors’ equity capital stake in the business, which is calculated by multiplying the share price by the number of shares owned. In most cases, the names of the security owners will be listed on the Y-axis and the types of securities on the X-axis.