Founder's Desk, volume 4

Round by Round

Dilution, control and the cap table: how founder ownership erodes round by round, and the terms that decide it.

What it does for you

Model your own cap table through four rounds, read every term that moves ownership or control, and know what you will hold and get at exit.

Inside

1. Part 1The arithmetic of ownership
2. Part 2Instruments and what they do to you
3. Part 3Control
4. Part 4Exits and waterfalls
5. Part 5Managing the table

At the back: Checklists; four worked models (four-round dilution, option pool shuffle, anti-dilution compared, exit waterfall); the cost of one wrong clause; statute index; glossary; a term-sheet red-flags list and questions before signing; a ninety-day cap-table clean-up; four templates.

Written for

Founders and early employees who hold shares or options, and angels who want to read a cap table as the company's counsel does.

Also in Founder's Desk, all seven (₹3,499) and Every EzComply handbook (₹11,999).