Business

Equity Dilution Calculator

Ownership after a funding round.

Enter your values

Results update instantly as you type — no submit needed.

Results
Ownership after round
10.8%
Before option pool
12%
Dilution suffered
4.2%
Post-money valuation
$10,000,000.00
Value of your stake
$1,080,000.00

Quick answer

New shares issued to investors dilute existing holders proportionally, though value can still rise if the valuation grows.

New % = Old % × (Pre ÷ Post money)

How to use the Equity Dilution Calculator

  1. 1Enter your current ownership percentage.
  2. 2Enter the pre-money valuation and raise amount.
  3. 3Add any new option pool created at close.

Frequently asked questions

Is dilution always bad?

No — a smaller slice of a much larger pie is usually worth more.

Who pays for the option pool?

Usually existing shareholders, because it is created pre-money.