Capitalization Table with Payouts for Non-Participating Versus Participating Preferred

	B	C	D	E	F	G	H	I	J
1
2
3		FOUNDING		SEED
4		# of shares	% of total	# of shares	% of total
5	FOUNDERS						alternatively...
6	Jack	5000	50%	5000	40%		50%	<- This is the percentage of Common Shares for Jack if Capital choses Non-Participating Liquidiation and foregoes Common Shares
7	Jill	5000	50%	5000	40%		50%	<- This is the percentage of Common Shares for Jill if Capital choses Non-Participating Liquidiation and foregoes Common Shares
8
9	SEED
10	ClarenceAngel			2500	20%
11
12
13	Total Outstanding Shares	10000		12500
14	Total $ Invested	$10,000		$1,000,000		<- ENTER the Dollars Invested
15	Pre-Money Valuation	$0		$4,000,000
16	Post-Money Valuation	$10,000		$5,000,000		< ENTER the Post-Money valuation
17
18
19			Acquisition Price =	$5,000,000		<- ENTER the Acquisition Price from which Proceeds will be paid
20			Number of years since SEED		3	<- ENTER the Number of Years Since the Investment
21
22		EXIT PAYOUTS FOR NON-PARTICIPATING VERSUS PARTICIPATING PREFERRED SHARES
23
24		Non-Participating Liquidation Preference on SEED Preferred Shares
25
26		Clarence		$
27			liquidation preference	$0	<- Zero if Common > Liquidation + Dividends			$1,000,000	<- Value of Liquidation Preference. Falls below price paid when Acquisition < Price paid
28			dividends	$0	<- Zero if Common > Liquidation + Dividends			$0	<- 10% Dividend, based upon price paid (or, whatever remains after paying Liquidation preference)
29			common shares	$1,000,000	<- Zero if Common < Liquidation + Dividends			$1,000,000	<- Value of Common Shares
30			TOTAL PAYOUT	$1,000,000
31
32		Jack	common shares	$2,000,000
33		Jill	common shares	$2,000,000
34
35
36		Participating Liquidation Preference on SEED Preferred Shares
37
38		Clarence		$
39			liquidation preference	$1,000,000				$1,000,000	<- Value of Liqidation Preference. Falls below price paid when Acquisition price < Total value of Series A and B Liquidation Preferences
40			dividends	$0				$0	<- 10% Dividend, based upon price paid
41			common shares	$800,000				$800,000	<- Value of Common Shares (becomes zero if Liquidation + DIvidends is greater than Acquisition Price
42			TOTAL PAYOUT	$1,800,000
43
44		Jack	common shares	$1,600,000
45		Jill	common shares	$1,600,000
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100