Dilution Basics

Dilution easily explained. What happens to my share ownership percentage when I raise money? What is the math behind the process? When does that lead to a good outcome and when is dilution bad?

Пікірлер: 24

  • @svttn
    @svttn Жыл бұрын

    using this vid 8 years later thank you

  • @yadu7551
    @yadu75512 жыл бұрын

    Watching this video after 12 years. Thank you for the awesome presentation.

  • @pzoumer
    @pzoumer7 жыл бұрын

    Fantastic video - probably best explained on the internet - thank you

  • @katelipman4798
    @katelipman47984 жыл бұрын

    Thank you!!! Your videos are the best I've found

  • @robertckehoe
    @robertckehoe12 жыл бұрын

    VERY well explained! Thanks for this!

  • @1Root_
    @1Root_2 жыл бұрын

    Great Video ! Small Correction , Dilution Equation would be = Money Raised / Post money Valuation !

  • @oddsmakr
    @oddsmakr3 жыл бұрын

    Another fantastic explanation, thank you again!

  • @radcon7144
    @radcon71446 жыл бұрын

    Thank you so much, Great info to know.

  • @jacobkarsch5908
    @jacobkarsch59084 жыл бұрын

    Super helpful man (coming from an entrepreneurship student in college) - thank you!

  • @RetireCertain
    @RetireCertain Жыл бұрын

    Good explanation. Thanks.

  • @beardoiltreatment728
    @beardoiltreatment7286 жыл бұрын

    Very great and simple explanation..you should do more videos..thank you!!

  • @kevingoodwin5628
    @kevingoodwin56284 жыл бұрын

    Very good and simple to follow thanks

  • @Broadbased
    @Broadbased10 жыл бұрын

    Great explanation of the basics. Do you also have a more in-depth video on stock dilution?

  • @lorrainevargas18
    @lorrainevargas186 жыл бұрын

    you are the man! thank you

  • @mountainman6172
    @mountainman61727 жыл бұрын

    Very valuable information, explained in simple English.

  • @JohnnyConcent

    @JohnnyConcent

    6 жыл бұрын

    Agreed.

  • @ClearSkyline
    @ClearSkyline11 жыл бұрын

    This would not dilute the shares since the CEO is effectively decreasing his stake in the company. This would be a zero sum situation. If however, they were to issue more shares without changing currently held stakes, then dilution would occur.

  • @tylerclark9629
    @tylerclark96295 жыл бұрын

    Can you create a video explaining how to read SEC filings and identify dilution?

  • @bobsembang4316
    @bobsembang43162 жыл бұрын

    Explain more sample on the changes of shares.. Will be good.

  • @Gary-cc8oe
    @Gary-cc8oe7 жыл бұрын

    If you didn't sell the company and the company makes a profit say $1million, how does the Founder 1 benefited from his 40% shares? Is it by issuing dividends? How?

  • @lazyohlazyinstinctiveimpro1899
    @lazyohlazyinstinctiveimpro18992 жыл бұрын

    Where is he now ?

  • @fd9w4dncm
    @fd9w4dncm5 жыл бұрын

    What happens if the company wants to raise 200k and not 1 million ?

  • @taimourkhan9206
    @taimourkhan92062 жыл бұрын

    What about anti dilution? if only one person is to be diluted are shares issued to existing investor to protect their ownership?

  • @dezcanso1540
    @dezcanso15404 жыл бұрын

    can you just give him 10% for the 1 million investment instead of 50% or give him royalty from sales if you dont want to give up equity? After all its all and investment right? also because if you give him 50% now he holds equal decision making power in the company... and you dont want to give that up.