What happens to my share of ownership if the company issues new shares in future financing rounds?

Click to rate this post!
[Total: 0 Your Rating: 0]

As is the case with any equity financing round, companies will naturally be diluting the equity ownership of existing investors. That means your proportion of ownership will be reduced, unless you own Preferred stock and exercise your right to maintain proportionate ownership.


Join Our Newsletter



By Registering, you agree that you've read and accepted our disclaimer, you're at least 18 years old, you consent to the terms presented on the disclaimer, and to receive notifications from us.