In my last post, I introduced  breakpoints —a concept that sits at the center of cap‑table economics, yet almost no founders, CFOs, or even VCs ever look at directly. And that’s exactly why this series exists. Breakpoints aren’t a feature of exotic spreadsheets. They’re the hidden logic that determines  who actually gets paid  at different exit values. They are the inflection points where the distribution changes. Most people raising or investing capital never model them. Man

1. A solid cap table strengthens every valuation approach 🔍 Whether using OPM, PWERM, or CVM, every method becomes more reliable when it’s built on accurate ownership data. 2. High‑quality inputs unlock high‑quality valuations 📊 Even the most advanced models are only as strong as the data behind them. Reliable valuations depend on clean, complete, and well‑structured information, starting with an accurate, up‑to‑date cap table. Without that, the integrity of the valuation f

In venture finance, clarity isn’t optional, it’s mission-critical Yet many teams misread their cap tables, mistaking ownership for outcome. The real story unfolds in the waterfall: the logic and math that determine who gets what at exit. 🔗 Why Ownership Isn’t Enough 🔗 The Formula That Drives Returns 🔗 What You Need for True Clarity 🔗 Common Pitfalls in Waterfall Modelling 🔗 How VCM Solves the Waterfall Puzzle Waterfall calculations aren’t just a technical layer, they’re

Not quite. Ownership shows who holds what, but not necessary who gets what - at exit. 🧩 The Missing Piece: Waterfall Calculations Exit outcomes hinge on share class rights and preferences. Without modelling those, your cap table is just surface-level. 🔍 Why It Matters Waterfalls are the hidden engine behind: •⁠ ⁠Cap table modelling •⁠ ⁠Professional fair value assessments •⁠ ⁠Accurate Exit distributions 👉 Our carousel breaks it down: how the waterfall rather than just the c