Cap Table Mistakes That Cost Founders Equity

A cap table looks like a spreadsheet, but it is a record of promises. Small errors compound with every round until they surface in due diligence.

Undocumented promises

Equity offered in a message or a handshake to an early advisor still has to be honored or unwound. Put every grant in writing, with board approval, from day one.

Ignoring dilution math

SAFEs and option pool top-ups convert in ways that surprise founders. Model the next round before signing the current one so the post-money picture holds no surprises.