This is the cap table for a startup AFTER two rounds of financing (After Series A and Series B)
by a single VC investor. There are no other investors or funding rounds: EXIT: By June 2018,
the company shows a net annual profit of $40 M and is acquired for a multiple of 6 times profit.
Employees have a 4 year linear vesting schedule with options vesting on an annual basis (shares
vest once a year at the employee's employment anniversary date). What is the cash-on-cash
return for the investor assuming that there were no Participating Preference terms in the
investment..
This is the cap table for a startup AFTER two rounds of financing (Aft.pdf
1. This is the cap table for a startup AFTER two rounds of financing (After Series A and Series B)
by a single VC investor. There are no other investors or funding rounds: EXIT: By June 2018,
the company shows a net annual profit of $40 M and is acquired for a multiple of 6 times profit.
Employees have a 4 year linear vesting schedule with options vesting on an annual basis (shares
vest once a year at the employee's employment anniversary date). What is the cash-on-cash
return for the investor assuming that there were no Participating Preference terms in the
investment.
