Option Pool
Shares set aside, usually 10 to 15% of the post-money fully diluted count, to be granted as options to employees hired after the round. Investors ask for it to be created before their money goes in, so that the dilution of the next eighteen months of hiring is borne by the existing holders and not by them. Size it from a hiring plan, not from a convention.
How a startup is financed · 5 of 26Next: Option Pool Shuffle
Practise it
Take a company from founding through a SAFE and a priced seed round. Set the cap, the pre-money and the option pool, watch the price per share and every holder’s stake move, then check your own arithmetic against the table.
Open Cap Table Builder, free, 15 minWhere Option Pool comes up
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