Business Pitch Dictionary by pitch.dog
Cap table, ownership & dilution · Working

Basic shares outstanding

Also called: basic share count

ELI5

Current shares before counting possible future shares.

Used in conversation

“The basic share count is lower than the fully diluted count.”

Definition

The shares currently outstanding without assuming options or convertible securities are exercised or converted.

Here “Basic shares outstanding” means: The shares currently outstanding without assuming options or convertible securities are exercised or converted.

Pitch context

You will see “Basic shares outstanding” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches cap table, ownership & dilution.

Why it matters: In cap table, ownership & dilution, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 5

Direct term-level sources and supporting source families.