A cap table, also known as a capitalization table, is a table that shows the equity capitalization of the company. It is basically an intricate breakdown of the shareholder’s equity in the company. This is why a cap table normally holds all the equity ownership capital such as the common equity shares, options, warrants, preferred equity shares, and convertible equity in the company.

1. 10 Rules Of Cap Table
Management
An early-stage company might not need a cap table, but
it is always better to have one to keep a proper record
right from the beginning. It would give you a high
degree of confidence that your financial statements are
accurate. Also, by using cap table software, you save
time on filling in the details, as the information is
automatically synced through the app

2. 01
Don't overcomplicate your
cap table
02
Understand basic terms and
format
03
Recognize the value of the
executive alignment
04
Centralize and share the
data with the company
lawyer /accountant

3. 06
Create and share an equity
incentive plan for employees
05
Create and share an equity
incentive plan for investors
07
Keep track of stock options
and vesting schedule
08 Record convertible notes

4. 10
Choose an easy and
effective cap table
management platform
09
Review your cap table
regularly