Liquidation Preference Simulator
What will your investors take home in an exit?
Liquidation preference rights determine how exit proceeds are distributed between shareholders when a company is sold. These distribution rules can significantly affect the allocation between types of shareholders.
Use our Liquidation Preference Simulator to understand how distribution rules affect the exit proceeds distribution between founders and investors during an exit.
- Compare participating vs. non-participating liquidation preference rights
- Adjust exit values, investor shares, and return rates
- Visualize your personal exit waterfall
Use predefined scenarios or to get realistic, actionable insights.
Want to know more about liquidation preferences? Consult our blog to understand exit distribution strategies.
Participating
Non-Participating
Multiple
Interest Rate
Fundraising
Premoney Valuation3,200,000 €
Subscription price1 €
Investment1,200,000 €
Cap Table
Exit
Exit Proceeds3,000,000 €
Multiple1.2
Liquidation preference
1.2 €
Exit Table
| Shareholder | Step 1 | Step 2 | Exit Proceeds Total (€) | Exit % |
|---|---|---|---|---|
| Shareholder S1 | 0 € | 425,455 € | 425,455 € | 14.18% |
| Shareholder S2 | 0 € | 709,091 € | 709,091 € | 23.64% |
| Investor S3 | 1,440,000 € | 425,455 € | 1,865,455 € | 62.18% |
| Total | 1,440,000 € | 1,560,000 € | 3,000,000 € | 100.00% |
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