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Cap Table & Scenario Modeling

The cap table is the one financial document founders defer until it is expensive. Deferred dilution conversations get repriced later, and the repricing rarely favors the founder.

The work

What the work actually is.

The ownership record kept clean, and the dilution conversations moved from someday to the calendar.

The dysfunction is ordinary: ownership reconstructed from email threads and old SAFEs, option grants promised in words and papered never, and nobody able to produce fully diluted ownership on request. Then a term sheet arrives, and the cleanup happens under deadline pressure, at the single worst negotiating moment the company will ever choose.

The work runs in two passes. First the record: every grant, SAFE, note, and side letter reconciled to its document, discrepancies and unpapered promises listed. Then the model: option pool sizing before the round, and the explicit question of whose dilution the pool is; conversion mechanics at stated valuations; the founder’s ownership at exit under scenarios someone actually wrote down.

The deliverable is a conversation as much as a table: the dilution decisions surfaced while they are still decisions. And the boundary holds here as everywhere in this practice: the firm models and advises; counsel papers.

Deliverables

What you keep.

Reconciled cap table
Every instrument tied to its document; fully diluted ownership producible on request.
Scenario model
The next round, the pool, and the exit modeled under stated assumptions: dilution visible before it is signed.
Grant hygiene list
What is promised but unpapered, and the order to fix it in, for counsel to execute.

Getting started

A cap table reconciliation: the current table tied instrument by instrument to the underlying documents, discrepancies and unpapered promises listed.

Get started

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