Fri, 14 May 2021
Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. So, who gets access to the cap table? In general, the CEO, CFO, the board of directors, and investors with information rights get access on an ongoing basis. Attorneys, auditors, and other financial professionals may get access to the cap table for specific projects. Employees generally don’t get access to the full cap table. Employees should get information about their ownership after running a fully diluted cap table. It’s important that employees know the value of their equity, but they don’t need to know everyone else’s equity, Employees should also know the potential for dilution from future financings. Some companies are moving to greater transparency and may give more information about the ownership in aggregate such as how much ownership do non-executive employees have. If one wants access to the cap table, then they should focus on joining a company at the management level such as a co-founder position. For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Feedback please contact info@tencapital.group Music courtesy of Bensound |