Scenario modeling or cap table modeling tools help founders compare equity scenarios before signing a term sheet, letting multiple deal structures be compared side by side against real ownership data. On Cake, founders model a priced round, a SAFE or convertible note conversion, or a combination of both, to see the exact ownership and dilution impact of each option before committing. Every comparison exports in one click for board or investor review.
Term sheet negotiations move fast, and founders are often asked to evaluate a structure they've never modeled before: a new valuation cap, a different discount rate, or a priced round with different investment amounts. Cake's scenario modeling runs against the actual current cap table rather than a blank template, so every comparison starts from real, up-to-date ownership data instead of a rough estimate.
Consider two offers that look similar at a glance: a $2M SAFE at an $8M cap with a 20% discount, versus a priced round at a $10M pre-money valuation. Run both against the same cap table and the SAFE can end up diluting the founder more when it converts, depending on how the discount and cap interact at the next round. That difference is invisible until it's modeled side by side against real numbers and reliable maths.
That's the gap between founders who negotiate from a spreadsheet estimate and founders who negotiate from a live model.
For the full walkthrough of how round modeling works on Cake, see the help center guide on cap table modeling.
Model scenarios with confidence, based on your live cap table
Scenario modeling runs directly against your live cap table instead of a static spreadsheet copy, so every comparison reflects your actual ownership structure. With Cake, you can:
- Model a priced round, a SAFE or convertible note conversion, or a combination of both
- Compare the fully diluted ownership and dilution impact of each option
- Export any comparison in one click for board or investor review
See how Cake's scenario modeling works.
This article is designed and intended to provide general information in summary form on general topics. The material may not apply to all jurisdictions. The contents do not constitute legal, financial or tax advice. The contents is not intended to be a substitute for such advice and should not be relied upon as such. If you would like to chat with a lawyer, please get in touch and we can introduce you to one of our very friendly legal partners.
