Startup Dilution Calculator — Founder Equity After a Funding Round
How much of your company do you actually keep after the round? Enter the pre-money, the cheque size and the ESOP pool ask, and see your stake, the investor’s cut and what your equity is worth post-money.
Round details
Computation
Raising a round?
The dilution math is the easy part – the Section 42 process, valuation and FEMA reporting are where rounds slip. Worth a look before you sign the term sheet.
Book a 15-minute callFrequently asked questions
How much equity do founders give up in a funding round?
The investor’s share is investment divided by post-money valuation – Rs 5 crore on a Rs 20 crore pre-money gives 20% (5/25). Any new ESOP pool carved before the round dilutes the existing holders further.
Does the ESOP pool dilute the investor?
Usually not – standard term sheets require the pool to be created or topped up pre-money, so existing shareholders absorb that dilution before the investor’s percentage is computed.
What is post-money valuation?
Pre-money valuation plus the new investment. The investor’s stake equals their money divided by the post-money figure.