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ESOP / Startup Option Value Calculator

Expected value of employee stock options across exit scenarios — strike, dilution and probability-weighted outcomes.

$—
Probability-weighted value
$—
Paper value today (FMV)
$—
Exit-case gross value

Formula

EV = max(0, exit×(1−dilution) − strike) × n × P(exit)

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.

References: Holden & Kim — employee stock option valuation literature

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

  1. 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.
  2. 2The result is computed automatically using EV = max(0, exit×(1−dilution) − strike) × n × P(exit) — there is no button to press.
  3. 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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