ESOP / Startup Option Value Calculator
Expected value of employee stock options across exit scenarios — strike, dilution and probability-weighted outcomes.
Formula
Recruiters quote the best case; this prices the distribution. Dilution between grant and exit routinely halves per-share outcomes, and most startups exit at zero — the probability-weighted line is the number to negotiate salary against.
Highly simplified scenario model — startup equity outcomes are extremely dispersed. Not financial advice — for informational and analytical use only. Verify all figures with a qualified professional before acting on them.
Disclaimer: This tool is for general informational and estimation purposes only and is not professional financial, tax, accounting or legal advice. All figures are estimates — verify with a qualified professional before making decisions. Read the full disclaimer.
Need esop / startup option value calculator results fast? Analysts, founders, traders and finance professionals use the ESOP / Startup Option Value Calculator to skip the spreadsheet and get a defensible answer in one step — free, private and instant.
About ESOP / Startup Option Value Calculator
Expected value of employee stock options across exit scenarios — strike, dilution and probability-weighted outcomes. Recruiters quote the best case; this prices the distribution. Dilution between grant and exit routinely halves per-share outcomes, and most startups exit at zero — the probability-weighted line is the number to negotiate salary against. The governing relationship is EV = max(0, exit×(1−dilution) − strike) × n × P(exit). The ESOP / Startup Option Value Calculator computes entirely in your browser — free, private (your figures never leave your device) and instant, recalculating live as you change any input.
How to use ESOP / Startup Option Value Calculator
- 1Enter Options granted, Strike / exercise price, Current FMV per share, Expected exit price/share, Probability of that exit (%), Future dilution haircut (%) into the ESOP / Startup Option Value Calculator.
- 2The result is computed automatically using EV = max(0, exit×(1−dilution) − strike) × n × P(exit) — there is no button to press.
- 3Change any input to model a different scenario, then copy or share the result.
Why use ESOP / Startup Option Value Calculator?
- ✓Computes esop / startup option value calculator instantly with the correct formula — no spreadsheet needed
- ✓100% free and unlimited, with no sign-up, login or paywall
- ✓Runs entirely in your browser, so the figures you enter stay private
- ✓Shows the formula, a live worked example and references so you can defend the number
Frequently asked questions
What is the formula behind the ESOP / Startup Option Value Calculator?+
ESOP / Startup Option Value Calculator uses EV = max(0, exit×(1−dilution) − strike) × n × P(exit). Recruiters quote the best case; this prices the distribution. The tool substitutes your actual inputs into this relationship and shows the worked example step by step.
What inputs does the ESOP / Startup Option Value Calculator need?+
Enter Options granted, Strike / exercise price, Current FMV per share, Expected exit price/share, Probability of that exit (%), Future dilution haircut (%) and the result updates immediately — there is no button to press. Change any value to model a different scenario in real time.
Is the ESOP / Startup Option Value Calculator free, and is my data private?+
Yes — it is completely free with no sign-up or usage limit, and it runs entirely in your browser, so the numbers you enter are never uploaded or stored on any server. Highly simplified scenario model — startup equity outcomes are extremely dispersed. It is for informational and analytical use, not financial advice.
What should I watch out for when using the ESOP / Startup Option Value Calculator?+
Dilution between grant and exit routinely halves per-share outcomes, and most startups exit at zero — the probability-weighted line is the number to negotiate salary against.
What is the ESOP / Startup Option Value Calculator based on?+
The method follows authoritative sources: Holden & Kim — employee stock option valuation literature. The formula and references are shown on the page so you can verify and cite the result.
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