Investor question 38 of 50 · Valuation, cap table & terms
“What will founders own after this round?”
Short answer: the investor is really asking are founders still motivated? Answer in three steps: (1) give founders' fully diluted ownership before and after; (2) include the effect of SAFEs and the pool top-up; (3) show the path through Series A.
What they're really asking
Are founders still motivated? Investors rarely care about the question on its own. They're testing whether you know your numbers cold, whether your assumptions are honest, and whether you can explain them simply.
How to answer, step by step
- Give founders' fully diluted ownership before and after.
- Include the effect of SAFEs and the pool top-up.
- Show the path through Series A.
An example answer
Founders go from 85% to about 64% after the seed and about 52% after Series A.
Figures are from Loopdesk, the fictional SaaS company in our sample files. Swap in your own numbers and keep the structure.
The answer that loses trust
Avoid
Not knowing your own dilution.
Where the proof lives
Before the meeting, find the number behind your answer. In our workbooks it lives in: Fully Diluted Summary. If you can open that tab and point to it, the follow-up question is easy.