Capital Raising
Corporate Finance Financial Model (Free Excel Download)
Plan priced equity and venture-debt rounds with pre- and post-money valuation, dilution, use of funds, interest service, and 24-month runway outputs.
professionals from Deloitte
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About this model
A capital-raising model maps a staged fundraising plan across three priced equity rounds (Seed, Series A, Series B) plus a venture-debt tranche and shows the founder, CFO, or operator exactly how each tranche flows through the cap table, the use-of-funds plan, and the 24-month cash position. The workbook is organised around an Assumptions sheet that holds every driver as a named range, a Rounds sheet that owns the share math, a Cap_Table sheet that translates that math into ownership %, a Use_of_Funds sheet that allocates spend, a Runway sheet that lays the cash out month by month, and a Summary sheet that pulls the top-line outcomes onto one page.
The Rounds sheet implements the standard option-pool shuffle: at every priced round, price per share = pre-money × (1 − ESOP_topup_pct) ÷ prior_total_shares, so the refreshed pool dilutes existing holders pre-money rather than the new lead. New investor shares = raise ÷ price, and the ESOP top-up shares are sized so the pool equals the target percentage of the post-money fully-diluted share count. The venture-debt tranche injects cash without issuing equity; the Cap_Table sheet carries the post-Series-B share count forward through the debt close. The Use_of_Funds matrix multiplies each round's raise by the five category percentages (R&D, S&M, G&A, capex, working capital) so the spend narrative ties to the same source as the cap table.
The Runway sheet places each raise in the right close month, compounds operating burn off the month-1 burn rate at a configurable growth rate, and starts debt interest service from the debt close month onward (principal × annual rate ÷ 12). The Summary sheet rolls the workbook into a one-page IC view: total raised across equity and debt, founders ending stake, ESOP ending stake, investors ending stake, final post-money valuation, price lift Seed-to-B, closing cash at month 24, months of runway at month-1 burn, and total capital deployed. Founders, CFOs, operators, and VC analysts use the template for term-sheet negotiations, board capital-plan reviews, and use-of-funds storytelling - flexing pre-money, raise amount, and ESOP top-up sees the dilution lands on founders, existing investors, and the new lead in real time.
What every model includes
Live formulas, no hardcoded values
Outputs are driven by live formulas, so the workbook updates from its assumptions instead of relying on hardcoded results.
All assumptions in one tab
Inputs are clearly marked in the Assumptions tab and separated from calculations, making it clear what to change and what to leave intact.
Statements always balancing
For integrated-statement models, the balance sheet, cash flow, and supporting schedules tie through properly.
Distinct schedules for clarity
Debt, working capital, taxes, and cash flow can get messy quickly. We group calculations in clear schedules, not across disconnected tabs.
No hidden macros or external links
There are no unexplained external workbook links or macros to undermine auditability or portability.
Changes flow through the model
Update a key driver and see the impact carry through the forecast, financing, and return outputs. We never use hardcoded numbers in formulas.
What's inside the Capital Raising
- Four-tranche raise: Seed, Series A, Series B priced equity plus venture debt
- Per-round share math: pre / post money, price per share, new investor shares, ESOP top-up shares, dilution this round
- Cap table across initial and post-Seed / post-A / post-B / post-Debt states with share count and ownership % per stakeholder
- Use-of-funds matrix across five categories (R&D, S&M, G&A, capex, working capital) by round
- 24-month Runway with opening cash, raises drawn at the close month, compounding operating burn, debt interest service
- Summary with total raised, founders ending stake, final post-money, price lift Seed-to-B, closing cash, months of runway
How the Capital Raising Model Works: A Plain-English Guide
This capital raising model maps a staged venture funding plan: three priced equity rounds plus a venture-debt tranche. It tracks pre- and post-money, price per share, ESOP top-up, dilution, cap table, use of funds, and a 24-month runway.
The guide explains the operating drivers, the calculation flow, the outputs, and where the template fits in practice.
What Drives the Capital Raising Plan
The plan starts from a small set of operating and financing assumptions. Company drivers cover pre-raise founder shares, the initial ESOP pool, monthly burn, burn growth, and opening cash.
- Deal drivers set the pre-money valuation, amount raised, ESOP top-up, and close month for each priced round. A SAFE block handles the pre-seed convertible, while a venture-debt block captures principal, interest, interest-only period, amortisation, warrant coverage, final-payment fee, and original issue discount.
- A use-of-funds block holds five categories across four round columns, and an exit block sets the liquidation preference multiple and participation toggle. A scenario toggle switches selected Base, Bull, and Bear values for burn and Series A/B terms.
The Calculation Flow from Assumptions to Cap Table
Assumptions feed a strict top-down flow. Rounds compute each round's price per share and share counts, resolving the option-pool top-up and new investor shares together so the new lead's ownership matches the amount raised relative to post-money.
- Cap_Table carries stakeholder shares and ownership percentages across five states, incorporating SAFE conversion and lender warrants. Use_of_Funds allocates each round's proceeds across categories.
- Runway combines opening cash, equity inflows, net debt drawdown, compounding operating burn, and debt service over 24 months. Debt_Schedule rolls the loan balance through interest-only and amortisation phases.
Exit_Waterfall applies liquidation preferences first, then distributes the residual. Checks read across the sheets to verify ownership totals, price progression, identity ties, and debt amortisation.
Outputs You Can Review
The Summary sheet brings the headline answers onto one page: total raised, ending founder ownership, runway months, cash trough, and a bridge-financing flag when closing cash falls below zero. Cap_Table shows who owns what after each round, including the effect of ESOP top-ups, SAFE conversion, and lender warrants.
- Rounds reports the price per share and the new-lead identity check for each round. Use_of_Funds shows the per-round mix across research and development, sales and marketing, general and administrative, capital expenditure, and working capital.
- Exit_Waterfall displays each stakeholder's distribution under the chosen liquidation preference and participation setting. The Checks sheet lists eighteen pass or fail formulas so a reviewer can see whether the model's internal relationships hold.
Practical Use and Scope
This template is built for term-sheet negotiation, board capital-plan reviews, and ownership-arithmetic teaching, serving founders, finance leads, and investors. It lets a user change a round's pre-money, raise, or ESOP top-up and see the resulting dilution and ending stake, or switch to a stressed case to see when cash runs short.
- Runway uses a trailing average of recent operating burn so the divisor reflects current spending rather than the first month. Debt service carries through to the cash schedule, and lender warrants appear in the cap table.
- The public download is a values-only preview, so formulas and live recalculation are not included; it shows the model's structure and intended outputs.
Formatted to IB standards
Named theme colors repaint the whole workbook in one click, on top of an investment-banking structure with clear input, output, and cross-sheet reference styling - brand-ready, institutional-grade, and fully auditable.
Created by ex-finance professionals
Hey, I’m Alex and I created Finamodel.
Over my years in the finance industry I kept building the same models over and over again. Same structure, same assumptions, different logo. So I started building frameworks to turn them into clean, reusable templates.
Every model here is one I’d actually use for a client, and I personally vet each one before it goes up.
I’m not an expert in every industry, but I’ve built enough models to know what belongs in one. And when something is completely foreign to me, I reach out to my network for experts to work on our models with us.
Having a template library on hand cuts a first build from hours to minutes.
Need help finding your model? You’ll find me in the Finamodel app!
Frequently asked
What is a capital-raising model?+
A capital-raising model maps a staged fundraising plan across multiple priced equity rounds and any debt tranches, then shows how each raise flows through the cap table, the use-of-funds plan, and the cash runway. It is how founders and CFOs pressure-test a multi-round plan before the first term sheet is signed.
How is the ESOP top-up modelled?+
Each priced round's price per share is reduced by (1 − topup_pct) so the refreshed option pool dilutes existing holders pre-money rather than the new investor. The top-up shares are then sized so the pool equals the target percentage of the post-money fully-diluted share count. This is the standard term-sheet mechanic.
Why does the venture-debt round show zero dilution?+
The venture-debt tranche is modelled as senior secured term debt with no warrants. Cash comes in, monthly interest service is added to the runway from the debt close month onward, and the equity cap table is unchanged. Add warrant coverage by issuing lender shares at the Series B price if your facility has penny warrants.
Can I change the round count or add a Series C?+
Yes. The builder is parameterised around four named round blocks. Add a new block in Assumptions, register a named range, extend the Rounds and Cap_Table sheets to add a state column, and update the Runway raise-in formula to include the new close-month branch.
How does monthly burn growth work?+
Burn growth compounds on the month-1 burn rate (Monthly_Burn_M1 × (1 + Burn_Growth)^(month − 1)) so the curve is deterministic regardless of when raises land. Set Burn_Growth to 0% for flat burn, 2–3% for modest scale-up, or 5%+ for aggressive hiring.
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