Model a funding round
See how a proposed round, option pool or secondary sale would dilute each holder, without touching the register.
Screenshots are retaken from IQ Entities on every release. Updated 14 October 2026.
Before a term sheet is signed, the founders and the board want to know what it does to everyone's percentage. A scenario applies the deal to the company's cap table as a set of assumptions and shows each holder's ownership before and after, on the issued and the fully diluted basis. Every figure is simulated: nothing is issued and the register never moves.
Start a scenario
Open the company and choose Scenarios under Securities in its sidebar, then choose New scenario.
Give it a Name and, if it helps, a Description. The Base date is the date the register is read at before any assumption applies. Choose the Currency for its money figures, then choose Create scenario.
The new scenario opens. To come back to it later, choose Open on its row on the Scenarios page.
Add the deal
Choose Add assumption.
Choose the Assumption: a Financing round, a Share issuance, an Option pool increase, an Option / warrant exercise, a Convertible note conversion, a Rights issue or a Secondary transfer, among others. Give its Effective date and a Label.
For a financing round, choose the class the new shares land in, set the Price from a pre-money valuation or a price per share, choose what it is Priced on, and add each investor with the amount they are putting in. Then choose Add assumption.
Add as many assumptions as the deal has. They apply oldest first, by effective date.
Read the result
The scenario page opens with a notice that its figures are simulated, then the issued and fully diluted totals before and after, and Dilution by holder: each holder's percentage before and after, and the change, on both bases.
Below the assumptions, the Simulated cap table tab shows the cap table as it would stand, and By share class breaks it down by class.
Tips from practice
- Turn on Treat as the "no deal" case for the scenario the others are compared against.
- Tick two or more scenarios on the Scenarios page and choose the compare button that appears above the list, to see the same register under each deal side by side.
- If an assumption cannot be computed, no projection is shown at all, and the assumption says why. Correct or remove it and the figures return.
- Scenarios measure ownership, not value: liquidation preferences are not modelled, so a percentage is never a share of exit proceeds.