1. Enter founder shares
Use the founder shares included in the chosen ownership basis.
2. Enter fully diluted shares
Include all shares and dilutive securities counted in the denominator.
3. Add new shares issued
Enter zero to calculate current ownership only.
4. Review pre- and post-issuance ownership
The founder’s share count stays fixed while the denominator changes.
5. Verify cap-table definitions
Use the same treatment of options and convertibles across all inputs.
Where:
Assumptions: Founder shares remain unchanged and all new shares enter the denominator. Different security rights are not valued separately.
Founder ownership after new issuance.
Use the result as a planning estimate based on the assumptions above.
Given: A founder holds 3,600,000 shares out of 9,000,000 fully diluted shares. The company issues 1,500,000 new shares.
Calculation: Before issuance: 3,600,000 ÷ 9,000,000 = 40%. After issuance: 3,600,000 ÷ 10,500,000 = 34.2857%. Dilution: 40% − 34.2857% = 5.7143 percentage points.
Result: The founder owns about 34.29% after the issuance.
It generally includes outstanding shares plus specified options, warrants, and convertible securities as if exercised or converted. The exact definition may vary by agreement.
Include them when your cap-table convention treats the reserved pool as part of the fully diluted denominator.
No. That indicates inconsistent inputs or an incomplete denominator.
A proportional stock split changes share counts but not ownership percentages.
This calculator derives ownership from share counts; dilution modeling can work directly from percentage terms across several rounds.