Skip to content
Free Tools Galaxy
📉
100% free · no signupRuns in your browser

Dilution Calculator

See how a funding round dilutes your ownership.

Best for: Modelling a fundraising round's effect on the cap table before you sign.

Complete guide
Why this result happened View assumptions
Currency / Country:

Input

Result

Estimate

New ownership after round

48.00%

Dilution
12.00 percentage points
Standard formula Private — runs in your browser, no account

What to do next

Next: Startup Valuation Calculator
Most users next calculate
Burn Rate CalculatorRunway Calculator
More about this result
Result quality
Type
Industry Standard
Method
Industry-standard method
Confidence
High

Uses the standard formula and conventions the industry relies on.

What this means

A smaller percentage of a (hopefully) larger company. Dilution reduces your share of ownership, not necessarily the value of your holding — a good round can raise the value of a smaller slice.

What impacts this result most?
  1. 1.
    New money raisedHigh impact

    More raised dilutes existing holders more.

  2. 2.
    Pre-money valuationHigh impact

    A higher pre-money reduces dilution.

3 Important insights
  • Margin (on price) and markup (on cost) are not the same.
  • Your break-even depends on fixed vs variable costs.
  • A small price increase moves profit more than a small cost cut.

Most business outcomes hinge on a couple of inputs - find the lever that moves the result most.

Was this helpful?
How it's calculated & sources
The Dilution Calculator uses the standard formula for this calculation. It runs entirely in your browser, so your inputs are never uploaded. Figures are educational estimates, not professional advice — verify important decisions with a qualified expert. Last reviewed June 2026.
Key assumptions
  • Single round
  • Ignores option pool unless entered

Free & no sign-up · runs entirely in your browser. Results are estimates for general information, not professional advice — verify important decisions with a qualified expert. Last reviewed June 2026.

How it works

New ownership = current % × pre-money ÷ (pre-money + raise). Raising money dilutes existing shareholders proportionally.

Frequently asked questions

Is dilution bad?+

Not necessarily — a smaller slice of a much bigger pie can be worth far more. It's the trade-off for growth capital.

Continue your journey

Where people usually head next.

🦄
Startup Valuation Calculator
Estimate a startup's valuation using a revenue multiple.
🔥
Burn Rate Calculator
Calculate gross and net burn and your runway in months.
🛫
Runway Calculator
See how many months of runway your cash gives you.
🎯
CAC Calculator
Calculate your customer acquisition cost.

Complete guide

Quick answers

Short, sourced answers to the questions people (and AI assistants) ask most.

What is Dilution?
A dilution calculator shows how issuing new shares — for example in a funding round — reduces existing shareholders' ownership percentages.
Why does Dilution matter?
It drives control, voting and payout in an exit.
How is Dilution calculated?
Your share count does not change, but the total grows, so your percentage becomes your shares divided by the new larger total. New money usually comes with new shares, and option-pool top-ups often dilute founders just before a round.
What are common dilution mistakes?
Assuming dilution always destroys value — it can increase it if the raise grows the company.
When should you use the Dilution Calculator?
Modelling a fundraising round's effect on the cap table before you sign.

What is the Dilution Calculator?

A dilution calculator shows how issuing new shares — for example in a funding round — reduces existing shareholders' ownership percentages.

How the Dilution Calculator works

Your share count does not change, but the total grows, so your percentage becomes your shares divided by the new larger total. New money usually comes with new shares, and option-pool top-ups often dilute founders just before a round.

  1. Enter your ownership percentage — the share of a company an individual or investor holds.
  2. Enter your equity — ownership in a company, usually expressed as shares or a percentage.
  3. Enter your valuation — the estimated total worth of a company.
  4. Read the result, then change any input to compare scenarios instantly — the Dilution Calculator recalculates as you type.

Understanding the inputs

What each value means, why it matters, and a typical range — so you can fill in the calculator with confidence.

Ownership Percentage

The share of a company an individual or investor holds.

Why it matters:
It drives control, voting and payout in an exit.
Typical range:
Falls over time as new shares are issued.
How it affects results:
  • Higher: More control and a larger payout.
  • Lower: Less control and a smaller payout.

Common mistake: Forgetting that issuing new shares dilutes everyone's percentage.

Equity

Ownership in a company, usually expressed as shares or a percentage.

Why it matters:
It determines who owns what and how proceeds are split in a sale or raise.
Typical range:
Founders start near 100% and dilute with each funding round.
How it affects results:
  • Higher: A larger ownership stake.
  • Lower: A smaller ownership stake.

Common mistake: Ignoring dilution from future rounds and option pools.

Valuation

The estimated total worth of a company.

Why it matters:
It sets how much equity you give up for investment and frames any deal.
Typical range:
Often a multiple of revenue or ARR for startups; varies hugely.
How it affects results:
  • Higher: Less equity given up for the same money raised.
  • Lower: More equity given up for the same money raised.

Common mistake: Treating a formula's number as a guarantee; real deals depend on negotiation.

What impacts results most

  1. 1.
    New money raised (High impact)More raised dilutes existing holders more.
  2. 2.
    Pre-money valuation (High impact)A higher pre-money reduces dilution.

Key assumptions

  • Single round
  • Ignores option pool unless entered

Founder dilution by raise amount and pre-money valuation

$500,00011.1% sold5.9% sold
$1,000,00020.0% sold11.1% sold
$2,000,00033.3% sold20.0% sold

Common mistakes to avoid

  • Assuming dilution always destroys value — it can increase it if the raise grows the company.
  • Forgetting option-pool expansions that dilute founders pre-round.
  • Mixing up pre-money and post-money math.

Related concepts

How Dilution connects to the concepts around it.

Equity:
An ownership stake in a company.
Valuation:
The estimated total worth of a company.

Reviewed sources & methodology

Methodology: Industry Standard · Last reviewed June 2026.

Keywords: dilution, equity, funding, cap table.

This is an educational estimate, not financial advice. Rates, rules and figures change — verify the latest with the provider or a qualified advisor before you decide.

Sources: General startup finance references

Reviewed by the Free Tools Galaxy editorial team · Updated June 2026 · Calculated privately in your browser.

Frequently asked questions

Is the Dilution Calculator free to use?+

Yes. Every tool on Free Tools Galaxy is 100% free, runs in your browser and requires no signup.

How accurate is the Dilution Calculator?+

Dilution Calculator uses the standard dilution formula in double-precision arithmetic, so the same inputs always produce the same result and you can verify any figure by hand. It is an educational estimate — real-world outcomes depend on your actual rates, rules and assumptions.

Do you store my inputs?+

No. The Dilution Calculator runs entirely in your browser. Nothing is uploaded or saved to a server.

Can I use the Dilution Calculator on mobile?+

Yes — the interface is fully responsive and works on phones, tablets and desktops.

What are common mistakes to avoid?+

The most frequent mistake is mixing units. Double-check your inputs use a single, consistent unit before clicking Calculate.

Explore more

Popular tools

🚭
Smoking Cost Calculator
Lifetime cost of cigarettes per day, week, year.
📚
Study Planner
Plan study hours across subjects based on topics and days left.
➕
Simple Calculator
Basic arithmetic for two numbers: add, subtract, multiply, divide.
Ⅻ
Roman Numeral Converter
Convert between Arabic numbers (1–3999) and Roman numerals.

Explore other categories

🧾
SSI Payment Calculator
Estimate your 2026 monthly Supplemental Security Income (SSI) from your income and living situation.
🏦
PPF Calculator
Project your Public Provident Fund maturity with a full year-by-year schedule.
💼
EPF Calculator
Estimate your Employees' Provident Fund corpus at retirement.
🧓
NPS Calculator
Project your National Pension System corpus, lump sum and monthly pension.
Related searches: equity calculator, amazon fba calculator, amazon fee calculator

Smart Autopilot

AI-style routing · 100% on-device

Based on this tool, your recent activity and how others chain tools together.

Likely next step

🦄Startup Valuation CalculatorTop match🔥Burn Rate CalculatorCalculate gross and net burn and your runway in months.🛫Runway CalculatorSee how many months of runway your cash gives you.🎯CAC CalculatorCalculate your customer acquisition cost.💎LTV CalculatorCalculate customer lifetime value from ARPU, margin and lifespan.📅ARR CalculatorConvert MRR into annual recurring revenue.

Smart recommendations

Next best tool

🥧
Equity Calculator
Calculate post-money valuation and investor equity.

Also worth a look

💧
Watermark Adder
Add a text watermark with adjustable opacity to any image.
½
Fraction Calculator
Add, subtract, multiply and divide fractions with auto-simplification.
📥
Image to PDF
Bundle multiple PNG/JPEG images into a single PDF document.
📋
SGPA Calculator
Semester Grade Point Average for a single term.

Share & publish

Share & challenge

Twitter Facebook LinkedIn WhatsApp
Share-to-grow kit (Reddit, LinkedIn, Medium)
Reddit post
Title: I built/used this free dilution calculator — instant, no signup

Body: See how a funding round dilutes your ownership. Try it: https://freetoolsgalaxy.com/tools/dilution-calculator
LinkedIn post
Dilution Calculator on Free Tools Galaxy — See how a funding round dilutes your ownership. https://freetoolsgalaxy.com/tools/dilution-calculator
Medium intro
# Dilution Calculator — the free tool I keep coming back to

See how a funding round dilutes your ownership.

Try it: https://freetoolsgalaxy.com/tools/dilution-calculator
Quora answer
The fastest way is to use a free in-browser dilution calculator: https://freetoolsgalaxy.com/tools/dilution-calculator. See how a funding round dilutes your ownership.

Embed this tool anywhere

Free embed code for blogs, docs and dashboards. Every embed sends a backlink home — helping you and the galaxy grow together.

HTML iframe
Drop into any site — auto-resizes to its content height, theme-aware.
<iframe src="https://freetoolsgalaxy.com/tools/dilution-calculator?embed=1" title="Dilution Calculator" loading="lazy"
  style="width:100%;height:600px;border:0;border-radius:16px;background:#0b1020"
  allow="clipboard-write"></iframe>
<script>window.addEventListener("message",function(e){if(e.data&&e.data.type==="ftg-embed-height"){document.querySelectorAll("iframe").forEach(function(f){if(f.contentWindow===e.source){f.style.height=e.data.height+"px";}});}});</script>
<p><a href="https://freetoolsgalaxy.com/tools/dilution-calculator" target="_blank" rel="noopener">Powered by Dilution Calculator on Free Tools Galaxy</a></p>
Responsive wrapper
Aspect-locked container — good for blog post bodies.
<div style="position:relative;padding-bottom:75%;height:0;overflow:hidden;border-radius:16px">
  <iframe src="https://freetoolsgalaxy.com/tools/dilution-calculator?embed=1" title="Dilution Calculator" loading="lazy"
    style="position:absolute;inset:0;width:100%;height:100%;border:0" allow="clipboard-write"></iframe>
</div>
WordPress / Markdown
Paste in a custom-HTML block or markdown file.
[Dilution Calculator — free online tool](https://freetoolsgalaxy.com/tools/dilution-calculator)

<iframe src="https://freetoolsgalaxy.com/tools/dilution-calculator?embed=1" width="100%" height="600" frameborder="0"></iframe>
Text link-back
Minimal credit link — best for sidebars and footers.
<a href="https://freetoolsgalaxy.com/tools/dilution-calculator" target="_blank" rel="noopener">Try the free Dilution Calculator</a>

Share-to-Grow Kit

Pre-written, ready-to-paste posts for every major channel. Help others discover this tool — and earn backlinks.

Title
I built a free nps calculator that works instantly in the browser — no signup, no ads in your face
Body
Hey r/[subreddit],

I kept needing a quick nps calculator and most options online were slow or behind paywalls, so I built one that:

• Runs 100% in your browser (your data never leaves your device)
• No signup, no email wall, no popups
• Loads in under a second on mobile

It covers the standard nps use cases (nps, pension, retirement, annuity) and links out to the formula + worked examples if you want to learn the math.

Link: https://freetoolsgalaxy.com/tools/nps-calculator

Happy to take feedback — what's missing?
Post to a relevant subreddit (e.g. r/InternetIsBeautiful, r/webdev, r/productivity). Avoid spammy subs.
Developer & SEO tools