Being an entrepreneur or business owner can get stressful. There are so many moving parts to keep up with. Here are three instances that not managing your capitalization table can affect.
Your share options are all over the place
Whether you’re a public or private company, you need to keep track of all your options. Missing out on vestment opportunities, including stock options, can hurt your bottom line. Then, perhaps you open options up to employees. Things can get really complicated, so it’s best not to leave these matters to your preoccupied mind.
You’re ready to hire, but can’t lack transparency
Companies thrive on quality employees. You want to more than stay afloat; you want a team of employees that will help your business grow, increase its value for acquisition, and expand to the next level. Potential employees deserve to know upfront that your company is worth signing up and sticking around for. An efficient cap table management provider will help you manage and organize employee incentives and track essential numbers.
Ready to sell, but you don’t know your numbers
Let’s say you’ve worked hard on building your company, and investors are interested. This is great, but if you haven’t done an excellent job with your cap table management, you could sell to low or blow the deal. Investors won’t their waste time for you to get your numbers together. You’ll look scatter-brained and ill-prepared.
EquityTrack can help avoid businesses avoid these pitfalls, offering a host of industry services with cost-effective solutions for private and public companies. To get daily updates follow our Facebook page.
