Pro rata, explained once
The right to keep your share in the next round, and what it costs you.
Pro rata lets an investor buy enough in the next round to keep their percentage. It sounds harmless, and mostly it is.
It matters when your round is oversubscribed. Know who holds the right before you promise allocation to someone new.
E. Brandt
Weiter.
Go deeper · The numbers
Cap table: three rounds, simulated
Change one assumption and watch the founders’ share move.
Become a member · $5 a monthKeep reading · The words
Board seats at pre-seed
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