Changelog

New addition to product pages, adding category groupings (all venture capital models and all startup models) to reviews and ratings. Previously the ratings and reviews reported the ratings and reviews for each product and all products, now I've added a third section (in the middle of the ratings options) that displays the category-specific ratings and reviews for that product's category.

Created a Changelog (this page!) to track updates to products, classes, and offerings from Foresight. This page will highlight improvements to the models by surfacing the notes in each model's Changelog to the website, as well as broader updates about the company.

Thank you to Linear and Tailwind for the inspiration.

Kicked off Cohort 7 of the Cap Table and Exit Waterfall Masterclass. Next cohort to be scheduled soon.

Kicked off Cohort 3 of the How to Model Venture Funds. Next cohort to be scheduled soon.

New opportunity for financial modelers to be listed for referrals for projects. Details at Working with Foresight

new: https://t.co/DR9ZAl8zaN

— Foresight by @tdavidson (@ForesightHQ) April 13, 2023

Hosted a free, live workshop on modeling anti-dilution and their impact on cap tables. Understanding how down rounds impact dilution is an important area for companies in today's climate, I covered the theory and practice in modeling anti-dilution protection, with practical examples for you to use. Download the slides and spreadsheet here.

For more on modeling cap tables, I teach the Cap Table and Exit Waterfall Masterclass, a four session course that dives deeper into the topic.

New post covering How to Model Hardware Businesses using the Standard Financial Model.

• On Exit Waterfall, introduced a new model settings at the top, to set the formula structure in a few situations. Basically, some aspects of the Exit Waterfall create circulars that can be difficult for Excel and Google Sheets to calculate correctly (yes, spreadsheet programs have limitations, especially when it comes to circular references). By default, the model uses simpler formulas unless the more advanced options are required, for example for pari-passu or for down rounds (introduced in the previous version), in which cases the model turns on the more complicated formulas. Hopefully this makes it better for a wider range of people to use without issue, and still keeps the more advanced functionality for those that need it.

• On Exit Waterfall, changed the liquidation preference calculation for each share class to use the proceeds per share to common instead of the residual per share from the section above. The previous method did not work as well in conditions where the liquidation price per share decreased in future rounds. This method does make the calculations even more circular, but more robust for that situation.

• Adding prebuilt anti-dilution protection to the default Cap Table sheet.
• This is a beta release of the feature, and will change based on feedback, but aims to add in full ratchet and weighted average (broad-based and narrow-based) if selected and if applicable based on new share prices.
• The feature is not fully automatic, as you will need to select the type of anti-dilution protection and input the purchase price from the previous equity round.
• This calculates the same protection for all preferred shareholders, although if shareholders have different original purchase prices their anti-dilution protection will be different.
• I do expect to change the approach to make it more flexible and automatic based on user feedback and use.

More at Modeling Anti-Dilution