VC Dilution Calculator
Matt Marshall over at VentureBeat posted about a really interesting tool created by Dave Lavinsky the other day. The tool is a simple calculator that shows entrepreneurs what their dilution will look like after their seed and subsequent funding rounds.
The seed round is calculated based on Charles River Ventures’ new QuickStart formula and the calculator can calculate dilution up to the 5th round of funding. The calculator displays line items for other investors (by round), the management team and CRV since the seed round is based on CRV’s new initiative.
This calculator is a great tool for any entrepreneur wondering about how much ownership they’ll lose for a certain dollar amount. I urge you all to give it a try just to see how venture rounds affect ownership.
Photo Credit: Christopher Henden on Flickr
