Startup funding · Convertible debt

Convertible Note Calculator

Estimate accrued interest, the lower cap or discount conversion price, conversion shares and ownership after a priced financing.

Note and financing assumptions

CurrencyNote principalAnnual interest rate (%)Months outstandingInterest methodValuation capDiscount (%)Current fully diluted sharesPriced round pre-money valuationNew priced-round investment

Conversion and ownership

Accrued interest—

Conversion balance—

Priced-round share price—

Conversion method—

Note conversion price—

Estimated conversion shares—

Note ownership after round—

New round investor ownership—

Existing holder ownership—

Value at priced-round price—

How this note estimate works

The calculator adds simple or annually compounded interest to principal, then compares the valuation-cap price with the financing price after the entered discount. It uses the lower price to estimate conversion shares and post-financing ownership.

Convertible notes are debt instruments, commonly accrue interest and may convert principal plus accrued interest when a qualifying financing occurs. Contract definitions, maturity treatment, option-pool changes, multiple securities and financing documents can materially change the result. See this SEC-filed convertible note example and review your signed note with qualified legal and tax professionals. This calculator is educational, not legal or investment advice.