{"type":"video","version":"1.0","html":"<iframe src=\"https://www.loom.com/embed/f009f0ca006342759ec1ae8ba222d490\" frameborder=\"0\" width=\"1838\" height=\"1378\" webkitallowfullscreen mozallowfullscreen allowfullscreen></iframe>","height":1378,"width":1838,"provider_name":"Loom","provider_url":"https://www.loom.com","thumbnail_height":1378,"thumbnail_width":1838,"thumbnail_url":"https://cdn.loom.com/sessions/thumbnails/f009f0ca006342759ec1ae8ba222d490-145bdae1591e3b67.gif","duration":171.974,"title":"No Anti-Dilution","description":"In this video, I walk through simulations of different anti-dilution scenarios, including no anti-dilution, full ratchet, and weighted average anti-dilution. We start with a cap table showing 7 million founder shares and 2.3 million seed shares, leading to a 75-25 ownership split. As we enter a down round for the Series A, the seed investors, lacking anti-dilution protection, will experience dilution, dropping from 75% to 50% ownership. I detail the calculations for the pre-money valuation of 10 million and the Series A investors buying about a third of the company at a post-money valuation of 15 million. Please review the cap table and the impact of these scenarios on ownership to better understand our current position."}