# Equity Dilution Modeler for cap table math. AI Agent Connect

> Equity Dilution Modeler gives your AI client the math tools needed to handle complex venture capital scenarios. It calculates how new investment rounds change ownership, tracks pro-rata rights, and evaluates the impact of down rounds on your existing cap table.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_FPV71mYQIBgdtZfuR12H8hZCfkRJL67r2UOFtVcQ/ai-agent-connect
- **Tags:** equity, dilution, cap-table, venture-capital, valuation

## Description

Managing a cap table shouldn't feel like a guessing game. This MCP gives your agent the specific logic required to model how venture capital rounds impact ownership. Instead of manually calculating dilution, you can ask your AI client to run a full waterfall simulation to see how a series of funding stages will change the equity split for founders and investors alike. 

If you're dealing with a specific new round, you can check the immediate dilution effects or calculate exactly how much capital an investor needs to contribute to maintain their current stake. It also handles the messy parts of venture math, like checking if a new round triggers anti-dilution protections for existing shareholders. It's built to turn raw funding data into clear ownership projections without the manual spreadsheet errors.

## Tools

### calculate_pro_rata_participation
This tool calculates the specific amount of capital an existing investor must put into a new round to keep their current ownership percentage.

### check_anti_dilution_trigger
Use this to see if a new funding round qualifies as a down round and how that affects protected investors.

### get_round_impact
This tool determines the immediate dilution caused by a single investment round.

### simulate_waterfall
This tool projects how ownership changes evolve across a sequence of multiple funding rounds.

## Prompt Examples

**Prompt:** 
```
What is the impact of a $5M seed round on a founder with 100% equity if the pre-money valuation is $15M and the option pool is 10%?
```

**Response:** 
```
After the $5M seed round with a $15M pre-money valuation and a 10% option pool, the post-money valuation is $20M. The founder's equity will be 75%.
```

**Prompt:** 
```
How much should an investor with 10% ownership invest in a new $10M round if the pre-money valuation is $40M?
```

**Response:** 
```
To maintain a 10% ownership stake in a $50M post-money company, the investor must contribute $5,000,000.
```

**Prompt:** 
```
If the previous round price per share was $10.00 and the current round is $8.00, is a down round triggered?
```

**Response:** 
```
Yes, a down round is triggered because the current price per share is lower than the previous round price.
```

## Capabilities

### Multi-round projections
Your agent can simulate how ownership shifts through a series of consecutive funding stages.

### Pro-rata calculations
The AI calculates the exact investment needed to prevent dilution for specific shareholders.

### Down round detection
Your client can evaluate if a new valuation triggers anti-dilution clauses.

### Single round modeling
The agent calculates the immediate impact of one specific investment on the cap table.

## Use Cases

### Fundraising Preparation
Model how a new seed or Series A round will change the founder's equity stake.

### Investor Dilution Tracking
Calculate the capital required for an investor to maintain their percentage in a new round.

### Down Round Analysis
Check if a lower valuation triggers anti-dilution protections for existing shareholders.

### Long-term Cap Table Modeling
Run a waterfall simulation to see the long-term ownership structure through several rounds.

## Benefits

- Eliminates manual errors in dilution math.
- Provides instant ownership projections for multiple funding stages.
- Automates the detection of down round triggers.
- Calculates pro-rata requirements without manual spreadsheet modeling.

## How It Works

Connect your AI client to Vinkius and start running equity math immediately.

1. Subscribe to the Equity Dilution Modeler on Vinkius.
2. Connect your preferred client like Claude or Cursor using the Vinkius connection settings.
3. Provide your funding data or valuation details to your AI agent.
4. The agent uses the MCP tools to run the specific math you requested.

## Frequently Asked Questions

**What AI clients can use this MCP?**
You can use this MCP with any compatible client, including Claude, Cursor, Windsurf, and VS Code.

**How does it handle multiple funding rounds?**
The simulate_waterfall tool allows your agent to project ownership changes across a sequence of multiple funding stages.

**Can it help with pro-rata rights?**
Yes, the calculate_pro_rata_participation tool determines the capital needed to maintain a specific ownership stake.

**Does it detect down rounds?**
Yes, the check_anti_dilution_trigger tool evaluates if a round qualifies as a down round and calculates the impact.

**Do I need to host this myself?**
No, Vinkius hosts and manages the MCP for you. You just connect your client and start working.