Is pre-money the company’s value?

It is the number you typed for this scenario. The page does not appraise the company.

Does this include an option pool?

Not as a separate step. If a pool is created, fold that effect into the ownership percent you enter or defer a later dedicated model.

Fundraising

Funding Dilution Calculator

Translate a pre-money figure, a raise, and current ownership into post-money ownership and dilution percentages.

Decision: How much ownership does this raise take under these inputs?

This tool runs in your browser. FounderMage does not send the numbers you enter to our servers.

Result

Post-money (from these inputs)
Post-money (from these inputs): $5,000,000.00
This is arithmetic, not a valuation.
New investor percent
New investor percent: 20%
Founder percent after
Founder percent after: 64%
Dilution
Dilution: 16%

How to read the result

Dilution is the ownership change implied by the three inputs. It is not a recommendation to raise or a statement of what the company is worth.

Calculated facts

Totals and thresholds come only from the values on this page. They describe the math, not what you should do.

Still a judgment call

Risk, timing, customers, and judgment stay outside the calculator. A stronger number can still be the wrong path.

Methodology

Post-money is pre-money plus raise. Investor percent is raise ÷ post-money. Founder percent after is founder percent × (pre-money ÷ post-money). Dilution is founder percent minus founder percent after.

Assumptions

One new investor block and no other simultaneous issuances.
Ownership percents are fully diluted only if you entered them that way.

Examples

Simple raise

$4,000,000 pre-money, $1,000,000 raise, 80% founder: post-money $5,000,000, investor 20%, founder 64%, dilution 16 percentage points.

How to use this tool

Enter pre-money, raise amount, and current founder ownership percent.
Read post-money, investor percent, founder percent after, and dilution.

Limitations

SAFEs, discounts, and option pools need a dedicated model.
Not legal, tax, or investment advice.

Questions

Is pre-money the company’s value?: It is the number you typed for this scenario. The page does not appraise the company.
Does this include an option pool?: Not as a separate step. If a pool is created, fold that effect into the ownership percent you enter or defer a later dedicated model.