Cap Table

A cap table, often referred to as a capitalization table or cap table for short, serves as a fundamental spreadsheet that presents comprehensive information about your company’s owners. It meticulously outlines their respective percentage ownership in the business and quantifies their equity holdings. Essentially, this invaluable resource not only helps determine each shareholder’s degree of ownership but also gauges its potential value upon a potential sale of the company. Moreover, it plays an instrumental role in calculating diverse scenarios related to securing fresh funding rounds or engaging in acquisitions. Notably favored by venture-backed enterprises, the cap table empowers them with insights into investor dilution dynamics over time by illustrating how each shareholder’s share compares against others at any specific moment.