This is a basic model for calculating the capital need, cash flow and portfolio value progression of a new
startup stu
How to use it:
1. First, you need to have a basic vision for what kind of studio you want and what kind of startups the studio will p
studio funnel in the Startup Studio Playbook to determine this.
2. Based on this and your draft startup studio funnel, fill out the yellow marked cells in the Studio Funnel tab. The b
amount of new ideas - with low-cost validation experiments - focusing on quick spin-off and quick exits.
3. On the Cash Flow tab you can set how many new initiatives the studio will want to explore and produce over the
new startups from year 1 to year 5, then it only focuses on the already existing initiatives.
4. The Cap Table tab is an experimental and simplified calculator that enables you to explore valuation and cap tab
of shares new investors will get at the funding round and the investment amount.
Use this table (or better, build your own one) in iteration with your studio strategy and funnel design steps.
Link to the Startup Studio Playbook, if you don't yet have it:
[Link]
If you need help, I'm available for one-time Q&A via Clarity
[Link]
Or longer-term cooperations (I usually have 10-15 hours capacity / month for advisory assignments)
[Link]
on of a new startup studio.
artups the studio will produce. Use the case studies and the first few chapters of the startup
tudio Funnel tab. The base values I entered are for a startup studio strategy that refers a high
quick exits.
e and produce over the years. In this simplified spreadsheet, I'm assuming a studio that builds
e valuation and cap table progression. The base values you can define are the nr of shares, the %
el design steps.
nments)
Funnel: high volume
Capital need of
perideas, Total
ultra-low cost
capital initial validation, aim at very-early stage low-value exits
needed
Step Stage Nr of initiatives Conversion initiative (USD) (USD) Fundraising stage
1 Ideation (generate ide 100 30% 1000 100000 Internal (pre-seed)
2 Validation 2 (landing 30 60% 15000 450000 Internal (pre-seed)
3 Initial build, looking f 18 60% 75000 1350000 Seed
4 Scaling 10.8 60% 250000 2700000 Series A
5 Scaling 6.48 60% 500000 3240000 Series B
6 Exit 3.888 Exit
Average startup Average studio
n, aim at very-early stage
valuation low-value
(as per exits(as per cap
cap equity Studio's total Step duration per
table calculation) table calculation) portfolio value Team composition initiative (weeks)
Studio 1 Total Studio Capital I 550000
Studio + CEO 12 Acquisition value 2332800
250000 49% 2205000 Studio + CEO + dedica 39 Time (weeks) 260
833333 34% 3060000 (Studio + ) CEO + ded 52
1666667 24% 2592000 Fully dedicated 104
2500000 24% 2332800 Fully dedicated 52
Cashflow
Nr of initiatives new in the funnel Year 1 Y2 Y3 Y4 Y5 Y6 Y7
Step 1 20.00 20.00 20.00 20.00 20.00 20.00 20.00
Step 2 6.00 6.00 6.00 6.00 6.00
Step 3 3.60 3.60 3.60 3.60 3.60
Step 4 2.16 2.16 2.16 2.16 2.16
Step 5 1.30 1.30 1.30 1.30
Exit 0.78 0.78 0.78
Funnel cost
Step 1 20000 20000 20000 20000 20000 20000 20000
Step 2 90000 90000 90000 90000 90000 0 0
Step 3 270000 270000 270000 270000 270000 0 0
Step 4 540000 540000 540000 540000 540000 0 0
Step 5 648000 648000 648000 648000 648000 0 0
Total capital need of startups 1568000 1568000 1568000 1568000 1568000 20000 20000
Total capital need of the Fund (Steps 1-3) 380000 380000 380000 380000 380000 20000 20000
Revenue
Startup exits 0 0 0 0 1813985 1813985 1813985
Services to startups
Total revenue 0 0 0 0 1813985 1813985 1813985
Cashflow of the Fund -380000 -380000 -380000 -380000 1433985 1793985 1793985
Balance -380000 -760000 -1140000 -1520000 -86015 1707971 3501956
Y8 Y9 Y10
20.00 20.00 20.00
1.30
0.78 0.78
20000 20000 20000
0 0 0
0 0 0
0 0 0
0 0 0
20000 20000 20000
20000 20000 20000
1813985 1813985 0
1813985 1813985 0
1793985 1793985 -20000
5295941 7089926 7069926
Pre-seed Seed Series A Series B
Pre-money 4714 175000 583333 1166667
Investment (USD) 11000 75000 250000 500000
Post-money 15714 250000 833333 1666667
Price/Share 0 5 12 17 New investor's shares and dilut
shareholders
No. of Shares 10000 33333 47619 68027 97182 100%
Pre-seed Seed Series A Series B Pre-seed
Studio 10000 0 0 0 0 0%
ESOP 10000 10000 10000 10000 30%
Pre-seed 23333 23333 23333 23333 70%
Seed 14286 14286 14286
Series A 20408 20408
Series B 29155
ESOP % (incl CEO) 30%
New investor's shares and dilution of existing
shareholders Valuation
100% 100% 100% 15714 250000 833333 1666667
Seed Series A Series B Pre-seed Seed Series A Series B
0% 0% 0% 0 0 0 0
21% 15% 10% 4714 52500 122500 171500
49% 34% 24% 11000 122500 285833 400167
30% 21% 15% 75000 175000 245000
30% 21% 250000 350000
30% 500000
