When it comes to raising capital, most of us focus on the numbers - the pre-money valuation, the size of the round, the size of the option pool - but we often don't understand how these numbers affect our dilution, especially when there is convertible debt with discounts, liquidation preferences, et al.
These concepts are hard to understand and entrepreneurs are often surprised when they see what their Term Sheets actually do to their ownership positions.
This spreadsheet attempts to fix most of that. It's free to use and comes with this (under-produced) instructional video:
I'm going to update it from time to time based on the feedback that I get from users so let me know how you like it and how you'd like to see it evolve over time.