cap-table-management

Vocabulary Word

Definition

'Cap table management' is like being the record keeper of who owns what part of a company. The 'cap' in cap table is short for 'capitalization', which means ownership. So, cap table management is all about keeping track of ownership shares.

Examples in Different Contexts

In startup growth, effective 'cap-table management' involves tracking and updating ownership shares. A CFO might assert, 'Regular cap-table management is crucial for making informed decisions during equity rounds.'

Practice Scenarios

Finance

Scenario:

We need a straightforward, accurate representation of stakeholders' equity for the upcoming merger discussions.

Response:

Right, ensuring an accurate cap table management will portray a clear picture of equities in the merger discussions.

Tech

Scenario:

With our growth, we need a fair and orderly system for tracking who owns what in our company.

Response:

Agreed. Let's use a cap table management software to ensure each employee’s equity is accurately represented.