A capitalisation table (or captable) is an in-depth list of all the securities your company has issued and who owns them. The ‘securities’ typically include shares, options, warrants, and convertible notes. Here’s a quick overview.
The information captables provide are invaluable as they familiarise you of who owns how much of your company. This can allow you to make informed decisions, particularly when considering pricing future fundraising rounds and who will be executing significant company decisions. Captables need to be accurate especially as fundraising results in dilution and value changes.
Captables traditionally include a list of names or groups (founders, investors, common stockholders, etc.), detailing what and how much they own, when they invested and their percentage of company ownership at part.
Are you wondering how to access this in-depth understanding of the value and ownership of your business? There are various ways to design and maintain a captable.
Captables can become exceedingly complicated, so finding a great captable software early, will assist you in saving time and money as your business flourishes. Cotchy collaborates with Cake Equity to provide a cloud-based way to comprehend your business’s position. Consequently, you can focus your time on building your business whilst receiving in-depth reporting and understanding of your current and potential investors.
Excel A No-Go?
Not to dis Excel but in this field, it has become increasingly obsolete, inaccurate and above all inefficient. Although the Excel program itself is cheap, there is a lot of work that goes into managing an Excel captable. When considering you or your CFO’s hourly fee you can concede how expensive and time consuming this task actually is.
There is also the issue of the many hands involved in maintaining this one document and the potential that someone does not save (we’ve all made this mistake!) or adjust document accurately, thus causing unreliable data.
Keeping My Captable Updated
he most efficient and effective way of keeping your captable updated is via a captable service. With Cotchy and its collaboration with Cake Equity, you will have peace of mind that your captable will update automatically with great accuracy, saving you time and money.
Give Cotchy a try today!