Learn how to model convertible financing structures, options, and warrants
Today more than ever, it's important to know how fundraising structures impact ownership and dilution as valuations change, but the terminology and structures can often be confusing and opaque even to people experienced in finance. Even if you are working with experienced investors, lawyers, and founders, knowing the fundamentals of how venture financing structures work can save you from costly misunderstandings and errors.
I've helped over 25,000 founders and venture capitalists with tools and classes to understand how equity, convertible notes, SAFEs, and tokens impact their cap tables, dilution, and ownership. This self-paced, 3 hour course builds on Beginning Cap Tables by providing a comprehensive education on modeling convertible financing instruments (e.g. convertible notes and SAFEs), options, and warrants.
You'll leave the sessions with access to a spreadsheet resource library covering numerous examples of cap table calculations, slides and videos for you to review whenever you need, and a solid understanding of the fundamentals.
Learn how to model convertibles and options
How to model convertibles (SAFEs and convertible notes)
We will cover how to issue convertible securities (convertible notes, premoney SAFEs, postmoney SAFEs, and other flavours of SAFEs), and how to convert them into shares, calculating share prices, valuations, and ownership percentages. I teach from first principles, from understanding the goals of the instruments to reading the legal documents to reasoning through the calculations, so that you understand how these structures work at a fundamental level.
How to model options and warrants
We will cover how to model equity-based incentive structures like options and restricted stock units (RSUs), including creating, refreshing, and tracking the issuance of option pools through multiple rounds of funding. We will also cover issuing and converting warrants and how they impact cap tables.
Who this course is for
- Venture Capital analysts and associates, lawyers and accountants looking to learn how to build cap table models
- Founders raising capital for the first time wanting to understand how raising money impacts their ownership
- Anyone looking to cut through the jargon and understand the practical aspects to modeling cap tables
Many companies offer an L&D or education budget that can cover the cost of this course. If you need help with a letter to submit for reimbursement, contact me. If you need an invoice, you can generate an invoice from your email purchase receipt and fill in the necessary information.
Learn on your own terms
Intermediate Cap Tables is available a la carte as a standalone, self-paced class, or you can cover the material as part of the comprehensive Cap Table and Exit Waterfall Masterclass. The goal is to allow you to learn on your own terms: start at any level, sign up for just the topics you want to learn (prerequisites not required), and allow you to progress on your own time. More on all of the cap table courses here.
Not sure which course is right for you? Contact me and I'll help you figure out the best for your goals and objectives.
How the course is structured
Prior understanding of equity structures is highly encouraged
This is an intermediate-level class that builds on the concepts covered in Beginning Cap Tables around basic cap table structures and how to do the calculations for issuing equity (e.g. valuations, share prices, share counts). You are not required to take the beginning-level class, but are expected to understand the concepts covered in it because this class builds on those fundamentals.
Self-paced, watch anytime
The video recordings can be watched on your own time, and you can download the slides and accompanying class spreadsheets to go through them during the class and revisit anytime.
Practical, examples-based learning using case studies
The course comes with slides, spreadsheets, and links to key readings and examples. The example spreadsheets are broken up into many examples so that you can learn the concepts from multiple angles and situations, and you can download them to Excel or Copy to Google Drive to use and review anytime.
Focus on first principles
This class does not teach the cap table template, but aims to teach you the fundamentals on how to build your own models by focusing on the fundamental concepts and applying them in the mini-cases. Always available for questions and support on fund modeling afterward.
No required homework or prereading
Structured to be manageable for busy professionals with actionable takeaways that you can use in your businesses today. No homework is required. The goal is for you to be able to cover all of the content in one week, budgeting for 3 hours of live or recorded instruction and additional time for you to review the additional spreadsheet materials and videos, and if you really want to learn the topic, apply them by building your own cap table.
Available for questions by email
You can always email me to ask questions about the content in the course or how to apply it to a situation you are facing, and I'll reply as soon as I can.
Frequently asked questions
Why do you teach this?
Back when I worked as a VC, even though I talked about the structures and mechanics of fundraising rounds and cap tables, it's only after I left and built out Foresight that I really learned the details and math behind how they work. I learned the hard way, and after helping hundreds of founders and VCs individually, I'm sharing it with you.
How do I know if this will be valuable for me?
If you are a founder preparing for a fundraising round, or you are a lawyer or venture capitalists that works on deal execution, then this can be integral to your job.
I work full-time, what is the expected time commitment?
The goal is for you to be able to cover all of the content in less than a week, including 3 hours of live or recorded instruction, additional time for you to review the additional spreadsheet materials and videos, and if you really want to learn the topic, apply them by building your own cap table.
Will my employer pay for the course?
This course is highly practical for founders, venture capitalists, and lawyers working on venture fundraising. Many companies offer an L&D or education budget that can cover the cost of this course. If you need help with a letter to submit for reimbursement, contact me. If you need an invoice, you can generate an invoice from your email purchase receipt and fill in the necessary information.
What if I can't afford the course?
The free Cap Table and Exit Waterfall Tool by Foresight has been downloaded for free by over 25,000 entrepreneurs, VCs, accountants, lawyers and finance professionals from around the world, and is structured to be an instructional tool on how cap table math works. Feel free to ask questions anytime.
Can you run this for smaller groups?
Yes! I offer corporate workshops. If you'd like to run the masterclass or components of the syllabus as a workshop just for your firm, contact Taylor to discuss.
Will there be a community with the course?
There is a private community space for participants in the Cap Table and Exit Waterfall Masterclass where you can share your ideas, get feedback, ask for help, and more, but access to that is not included in the individual courses.
I have questions, who do I contact?
Happy to help, just contact Taylor by email or setup a quick chat to discuss.