Equity Dilution Calculator
See how a funding round changes who owns your company: the post-money valuation, the investor's share, the effect of a new option pool, your own stake and the price per share.
About this tool
The post-money valuation is the pre-money valuation plus the new investment, and the investor's share is their money divided by the post-money figure: £1m into a company valued at £4m before the round buys 20%. Everyone who held shares before keeps the same number of shares, but those shares are now a smaller slice of a bigger company. That's dilution.
Investors often ask for an option pool for future staff to be set up before they invest, sized as a percentage of the company after the round. Because it's created first, it comes out of the existing shareholders' slice, not the investor's: with a 10% pool, the existing holders in the example drop to 70%, not 80%. Enter your own stake to see what you'll own afterwards, and the existing number of shares to see the price per share and how many new shares are issued. This is a simple model of a priced round; convertible notes, SAFEs and liquidation preferences need a full cap table. Your figures are remembered on this device.