Free Founder Tool
Valuation & Dilution Calculator
Estimate fair value from revenue & growth, then model investor dilution, SAFEs and ESOP top-ups in minutes.
Benchmark your raise, justify valuation with investor-grade multiples, and visualize post-round cap table ownership. All calculations stay in your browser, and you can export PDF/DOCX/TXT/CSV reports instantly.
Why valuation isn’t one number
Startup valuation is rarely a single number. Investors triangulate a range using revenue multiples, growth quality, product-market fit signals, and team credibility. This calculator makes those assumptions explicit so you can see how inputs move the midpoint and band you negotiate around.
The valuation engine blends sector/round benchmarks with adjustments for MoM growth, gross margins, retention, founder track record, market momentum, and proof points such as accelerators or strategic LOIs. On the dilution side, we layer in SAFEs or notes (cap and discount logic), ESOP top-ups, and new round ownership so the post-round cap table stays coherent.
Every result is export-ready (PDF, DOCX, TXT, CSV) and shareable via permalink. Nothing is stored server-side; the state lives in your browser via local storage. Use the sample data to explore scenarios, then plug in your actual numbers before you share the rationale paragraph, attach it to your deck, or cross-link to our Investor Update Template and Funding Readiness Quiz to round out your fundraising toolkit.
Valuation estimator
Plug in your traction and signals to compute a fair-value range with rationale.
Add revenue, growth, and margins to see valuation guidance with rationale you can copy.
How we estimate multiples
We start with sector & round benchmarks (e.g. SaaS Seed base 8× ARR) and adjust for growth, margins, retention, founder experience, PMF, market appetite, and quality signals. Bands are clamped to realistic market ranges.
Dilution & cap table
Model pre-money, round size, SAFEs, and ESOP targets to see post-round ownership.
Enter pre-money valuation and round size to project dilution, option pool top-ups, and SAFE conversions.
How dilution math works
We convert SAFEs/notes using the lower of discount or valuation cap (including interest), top-up the option pool to hit your target post %, then normalize ownership to 100% post-round.
Sensitivity scenarios
Stress-test growth, margins, and round size to see valuation and dilution shifts.
Adjust the sliders above to compare valuation and founder dilution across scenarios.
About scenarios
We bump growth/margin/round size up or down and rerun the valuation & dilution engine so you can compare founder ownership and headline valuation midpoints.
How we estimate valuation
We use round-appropriate revenue multiples (Seed vs Series A, SaaS vs marketplace) and adjust for growth, margins, retention, PMF signals, founder experience, market dynamics, and quality proof (logos, accelerators). The range is directional, to be refined in investor conversations.
How we model dilution
We normalize the cap table to 100% pre-round, convert SAFEs/notes at the most investor-friendly price, add any accrued interest, and top up the option pool to hit your target post-round %. The end result shows ownership for founders, team, existing investors, converted instruments, and new capital.
ARR vs. TTM revenue
SaaS multiples primarily reference ARR (MRR × 12) because it smooths seasonality. If you have only TTM revenue, we use that baseline. Enter both if you operate a hybrid model so you can sanity check what investors will key off.
SAFE caps vs. discounts
For each instrument we calculate both the valuation-cap price and the discount to the new round price, then pick the lower (investor-friendly) outcome. Interest accrues from the start date and rolls into the conversion amount so you do not underestimate dilution.
ESOP top-ups & market norms
Option pool math is handled before the new round closes. Set your current pool and the target post-round %. We compute the incremental options required so your investors see a fully diluted structure without guesswork.
What drives the multiple?
Growth velocity and efficiency are the biggest swing factors. Sustained 12–15% MoM growth or an efficient burn multiple can add multiple turns to the baseline. Weak retention or a niche market subtracts. The chips in the valuation result show every adjustment so you can explain your story in investor memos.
Document your rationale
Use the auto-generated paragraph in partner updates, teasers, and even inside our Investor Email Generator. Reiterating the math behind your ask helps anchor negotiations and builds trust with angels and funds.
Iterate with scenarios
Scenarios A/B/C let you dial growth, margin, and round size up or down to see the ripple effect on multiples and founder dilution. This is handy when you are calibrating best-case vs. realistic decks or aligning with existing investors before launch.
Valuation & dilution FAQ
Common questions founders ask before setting terms and sending pitch decks.
How do you estimate valuation?
We start with round and business-type benchmarks (e.g. SaaS Seed multiples) and adjust for growth, margins, retention, founder experience, PMF signals, and market.
Does the calculator support SAFEs and notes?
Yes. Enter cap, discount, and interest for each SAFE/note. We convert at the most investor-friendly price and include accrued interest.
How do you model ESOP top-ups?
Set a target post-round option pool %. We calculate the extra options required so the pool lands at that percentage after the raise and conversions.
Do you store any of my inputs?
No. Everything stays in your browser via local storage. Exports are generated on the fly for your download only.
Is this investment advice?
No. The tool provides directional guidance. Always align with your legal and finance advisors before finalizing terms.
Can I export the results?
Yes. Download PDF, DOCX, TXT, or CSV cap table outputs. You can also copy the valuation rationale paragraph.