Cap table, ownership & dilution · Core
Investor ownership
Also called: investor equity
ELI5
The part of the company owned by investors.
Used in conversation
“Investor ownership increases after the new round.”
Definition
Equity held by investors under a stated capitalisation basis.
Here “Investor ownership” means: Equity held by investors under a stated capitalisation basis.
Pitch context
You will see “Investor ownership” 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.
- National Venture Capital Association — Model Legal DocumentsDirect source · institutional · checked 2026-08-16
- U.S. Securities and Exchange Commission — Small Business Capital Formation GlossaryDirect source · primary · checked 2026-08-16
- U.S. Securities and Exchange Commission — Exempt OfferingsSupporting source family · primary · checked 2026-08-16
- Y Combinator — Safe financing documentsSupporting source family · practitioner · checked 2026-08-16
- Y Combinator — Series A Term Sheet TemplateSupporting source family · practitioner · checked 2026-08-16