How to run a Waterfall scenario without accelerated vesting

Normally when running the waterfall scenario in your cap table, we assume that any unvested shares will 100% fully vest upon exit. Some exit proposals won’t always include this assumption, so you may want to run the scenario without it. You can do that by cancelling out unvested shares, then running […]

Rule 506 of Regulation D – Safe Harbor

Rule 506 governs safe harbor provisions for private companies. To be eligible for safe harbor your company must meet specific conditions and criteria. More information on rule 506 and this criteria can be found on the SEC website.

Deferred Tax Asset

Definition according to Investopedia: “Deferred tax asset is an accounting term that refers to a situation where a business has overpaid taxes or taxes paid in advance on its balance sheet. These taxes are eventually returned to the business in the form of tax relief, and the over-payment is, therefore, […]

How to Deal with Accidentally Deleted Securities and Equity Plans

If you’ve accidentally deleted holdings for 1-10 shareholder’s information, your best bet is to re-enter that information manually. If the deletion is more significant, such as deleting an entire security, equity plan, or cap table, please contact support as soon as possible. We will attempt to recover your information for you from […]

Processing Stock Splits

The way to process a stock split is to make two versions of your cap table. One version will contain the pre-split numbers while the alternate will contain the post-split numbers. This will maintain a clean look and accurate historical data. The steps to creating a new version/copy of your cap table […]

Why Does Convertible Debt Not Show Up on My Cap Table?

Why Does Convertible Debt Not Show Up on My Cap Table? Convertible debt that has not yet converted to stock shares is not considered “equity”, or in other words, ownership in the company. An investor who holds a convertible note doesn’t actually own a percentage of the company until the […]

Expiration Policies

An expiration policy is what determines how much time a shareholder has to exercise their options after termination. To view or modify Expiration Policies, click “Equity Plans,” then “Plans & Vesting” from the Dashboard, then click on the Expiration Policies tab. After creating the policy, you can adjust each issuance […]


Seniority is used to specify the order in which payouts are given in an exit event. This gets used in calculating Breakpoints for the Waterfall and other scenarios. These are listed in ascending order, meaning that the most senior (the security to first receive a payout) is the one in […]