Cap table basics

What is Outstanding Shares?

Shares that have been issued and are currently held by shareholders - including founders, investors, and employees with vested stock.

Outstanding shares are the shares that have left the company's treasury and are now held by real owners. This excludes authorized-but-unissued shares (still in the company's pool) and reserved-but-unissued option pool capacity. Outstanding shares × current share price = the basic market capitalization. Outstanding plus all dilutive securities (options, warrants, convertibles, unallocated pool) = fully diluted.

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