Formula
Post-money valuation = pre-money valuation + investment amount. Investor ownership = investment amount ÷ post-money valuation.
Valuation calculator
Pre-Money / Post-Money Valuation Calculator
Enter a valuation and investment amount to estimate post-money valuation, investor ownership, price per share, and before/after ownership.
Worked example
A $2M investment on a $10M pre-money valuation creates a $12M post-money valuation. The new investor owns 16.67% post-money before considering document-specific terms.
Common mistake
Do not treat a post-money quote as pre-money. That can materially change the ownership being sold.
Related tools
Valuation hub · Simple Pre/Post-Money Calculator · SAFE Conversion Calculator · Founder Dilution Calculator
FAQ
Is valuation the same as cash in the bank?
No. The investment amount is cash entering the company; valuation is the negotiated company value used to price ownership.
Does the investment dilute founders?
Yes. New investor ownership reduces existing holder percentages on a post-money basis.