Dilution is the single most misunderstood number in a founder's journey. Every time you raise, new shares are created and your slice of the pie gets smaller — even though the pie itself is (hopefully) getting bigger. This interactive cap table simulator lets you stack funding rounds and watch, in real time, exactly how much each founder and investor is diluted.
Everything corporate in one place — no spreadsheets.
Set up your company's cap table in minutes.
Set your starting cap table, stack funding rounds, and watch how each stakeholder is diluted — live, to the cent.
Post-money: €2,500,000
Final cap table
| Stakeholder | Initial | Round 1 |
|---|---|---|
| Founder A | 60.0% | 48.0% |
| Founder B | 40.0% | 32.0% |
| Round 1 investor | 0.0% | 20.0% |
Founders started with 100.0% and hold 80.0% after 1 round — a combined dilution of 20.0 pts.
A quick simulation is great for exploring.
Equafy runs this on your real cap table — with SAFEs & convertibles, share classes, anti-dilution and option pools — and keeps every round in a live audit trail.
Everything corporate in one place — no spreadsheets.
Set up your company's cap table in minutes.
Dilution happens because a priced round issues brand-new shares to the incoming investor. Your share count doesn't change — but the total number of shares grows, so your percentage drops. If you own 600,000 of 1,000,000 shares (60%) and the round issues 250,000 new shares, you now own 600,000 of 1,250,000 — 48%. You didn't lose any shares; the denominator simply got bigger.
The core formula
Price per share = pre-money ÷ existing shares. New shares = investment ÷ price per share. The new investor ends up owning investment ÷ (pre-money + investment).
The table above shows every stakeholder's ownership at each stage — the initial cap table, then after each round. Read left to right to follow a single founder's dilution over time, and watch the final donut for the end state. An optional option-pool top-up per round models the shares set aside for future hires, which dilute existing holders just like an investor does.
Pre-money valuation is what the company is worth before the new money goes in; post-money is simply pre-money plus the investment. The investor's ownership is their check divided by the post-money valuation. Because price per share is derived from the pre-money valuation and the existing share count, a higher pre-money means each new share costs more — so the same investment buys fewer shares and causes less dilution.
A standalone simulator is perfect for exploring scenarios. But your real cap table has convertibles (SAFEs and notes) that convert at the next round, multiple share classes with different rights, anti-dilution protections, and an option pool that has to be reconciled every time. Equafy runs this exact dilution math on your live cap table, with a full audit trail — and lets you freeze a dynamic split into fixed shares the moment you raise.
A cap table simulator models how ownership percentages change as a company issues new shares — typically across funding rounds. You enter your starting cap table and the terms of each round, and it shows how each stakeholder is diluted step by step.
Price per share equals the pre-money valuation divided by the existing number of shares. The new shares issued equal the investment divided by that price. Existing holders keep their shares but their percentage drops because the total share count grows; the new investor owns their investment divided by the post-money valuation.
Yes. Increasing the option pool issues new shares reserved for future hires, which dilutes existing shareholders just like an investment does. Investors often require the pool to be topped up as part of a round, which is why founders should model it explicitly.
Yes — it's completely free and requires no signup. To run the same math on your real cap table with SAFEs, share classes and a live audit trail, you can create a free Equafy account.
Equafy simulates rounds, converts SAFEs, and manages share classes on your live cap table — then freezes a dynamic split to static shares when you raise.
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