Populate Core Sections with Verifiable Inputs
The founder replaces all placeholder numbers with verified market benchmarks, formal term sheet data, legal vesting terms, and actual expenditure figures. They document the underlying rationale and supporting evidence for every valuation, grant size, and dilution variable introduced into the model.
Replacing speculative assumptions with empirical evidence transforms a theoretical math exercise into an institutional-grade financial asset. This instils high confidence in prospective investors and mentors who scrutinise the cap table during due diligence.
A fully referenced cap table model where every input—such as option pool size, advisor vesting schedules, and convertible discount rates—is linked to tangible evidence. The output includes an accompanying notes sheet explaining the commercial rationale for each core variable.
Five questions an expert would ask when reviewing your output
Use these to challenge assumptions, pressure-test your logic, and check the quality of this action's output in the context of the parent task and wider venture development.
- 1
What specific market data or comparative precedent studies support the valuation and discount rates used in your convertible instruments?
- 2
How do you justify the proposed vesting schedules and cliff periods for key operational team members and advisors?
- 3
What evidence demonstrates that your planned option pool size is sufficient to hire the headcount detailed in your financial model?
- 4
Where have you pressure-tested the tax implications of your proposed option pool for UK-based employees, such as EMI scheme eligibility?
- 5
Why are your proposed valuation caps realistic in the current macroeconomic fundraising environment for your sector?