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Equity Dilution

What is Equity Dilution?

·584 words·3 mins
Dilution occurs when a company issues new shares, reducing existing ownership percentages. This article explains the mechanics, the trade-offs with valuation, and the impact on founder control.

What is a Down Round?

·590 words·3 mins
A down round occurs when a company raises capital at a lower valuation than before. This article explains the mechanics, the dilution risks, and the impact on morale.

What is a Cap Table?

·536 words·3 mins
A Cap Table tracks who owns your company. This article defines the term, breaks down its components, and explains the critical role it plays during fundraising and exits.