If you want to model out your Cap Table in Excel, you will need to download one of these templates. With this template, you will be able to model how potential lending rounds will impact your cap table after the initial financing round. There’s a useful youtube video below, where walk though all the different aspects of this modeling template. You can find the template in excel format as well.

For many investors, cap table modeling and financial spreadsheets go hand in hand. In order to properly do your financial spreadsheets, you must model your portfolio after the opening rounds of financing. Many investors model their portfolios after the first round of small cap investments, as they are less sensitive to yield. Most investors follow this rule, but there are some investors who follow both rules.

With startups modeling, you should model after the investors who participate in the round of financing, and who have the greatest possible upside. These are the founders. It makes sense that they have the greatest probability of capital appreciation and price appreciation in the long run. However, this rule is less important if you are following the Round Robin Strategy, where all round robin investors are included.

For those investors who follow this strategy, it is important to have additional stakeholder data in your model. However, if you are only using the data contained within the company’s balance sheet, then you don’t really need additional stakeholder data. Some companies also put out annual reports with performance numbers for each of their investors. You can also look at the S & P 500 sales numbers for each of the companies within your portfolio.

After you’ve mapped out the potential upside for each of the individual founders, consider the cap table for each of them. For example, if there is only one additional stakeholder for each of the individual founder’s equity holders, then your valuation of their equity might be relatively low. But it will give you an excellent picture of how they are valued by the overall community. And it will give you a good base from which to work when determining their value in the future. That is because you will have a better idea of what the current market price would be for their shares.

When you look at potential downside, then you must also consider exit prices and breakeven scenarios. You must also take into account the potential upside for exiting rounds of financing. When you do those things, you should be able to arrive at a fairly accurate picture of what each round of financing would do for your portfolio. You could use the S & P 500 value for breakeven purposes, or else use other types of cap table models that allow you to make a more educated determination of exit probabilities and prices.

With those considerations in hand, it should be possible for you to generate an accurate template for cap table modeling. Then all you have to do is fill in the pieces of information you want, such as round, name of company, dollar amount, years invested, and other pieces of information. Any time you enter new data, simply update the existing template and you can use that to produce a range of results. By doing that, you will be able to generate accurate presentations of what your portfolio might look like after funding rounds.

So there you have it. startups is really very simple. Start with your company capital, then look at how it is divided up among the various founders. Assess the upside and downside for each of them. Then determine the value of each of those pieces using the appropriate mathematical formula. Finally, use the resulting slice of information to create a pie chart that will hopefully show you how your business is performing relative to its peers.