Remove Cap Table Remove Dilution Remove Preemptive Right Remove Valuation
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Small Investors

ithacaVC

It is highly typical for a startup to have small investors on its cap table. In this situation, the FFAs are diluted from an ownership percentage, but enhanced economically. In short, they own a smaller piece of a larger valuation pie. causing valuation bumps. That is all well and good… and 100% normal.