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?
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
using this vid 8 years later thank you
Watching this video after 12 years. Thank you for the awesome presentation.
Fantastic video - probably best explained on the internet - thank you
Thank you!!! Your videos are the best I've found
VERY well explained! Thanks for this!
Great Video ! Small Correction , Dilution Equation would be = Money Raised / Post money Valuation !
Another fantastic explanation, thank you again!
Thank you so much, Great info to know.
Super helpful man (coming from an entrepreneurship student in college) - thank you!
Good explanation. Thanks.
Very great and simple explanation..you should do more videos..thank you!!
Very good and simple to follow thanks
Great explanation of the basics. Do you also have a more in-depth video on stock dilution?
you are the man! thank you
Very valuable information, explained in simple English.
@JohnnyConcent
6 жыл бұрын
Agreed.
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.
Can you create a video explaining how to read SEC filings and identify dilution?
Explain more sample on the changes of shares.. Will be good.
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?
Where is he now ?
What happens if the company wants to raise 200k and not 1 million ?
What about anti dilution? if only one person is to be diluted are shares issued to existing investor to protect their ownership?
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.