# Investor Return Multiple Calculator AI Agent Connect

> Investor Return Multiple Calculator is a specialized financial MCP for modeling venture capital exit scenarios. It lets your AI agent handle the heavy lifting of calculating liquidation preferences, participating preferred rights, and participation caps. You can quickly determine specific proceeds, MOIC, and Net IRR without manual spreadsheet modeling.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_G3bm4Em0t2ef4bCJNjDuUWNsWnPWNLquLk8ui3EW/ai-agent-connect
- **Tags:** waterfall, irr, moic, liquidation-preference, exit-modeling

## Description

You can stop building complex waterfall spreadsheets every time you need to model a new exit scenario. This MCP gives your AI client the math engine required to simulate venture capital exit structures accurately. Whether you are looking at participating preferred rights or specific participation caps, your agent can run the numbers in seconds. 

Instead of manually calculating how much cash goes to which stakeholder, you can use this MCP to simulate how different exit values impact investor returns. It handles the logic for liquidation preferences and checks if an exit value actually covers what investors are owed. You can model the specific dollar amounts distributed to investors, calculate the Multiple of Invested Capital (MOIC), and determine the Net Internal Rate of Return (IRR) based on the time elapsed until the exit. It turns your AI agent into a specialized financial analyst that understands the nuances of cap table distributions and exit waterfalls.

## Tools

### get_annualized_return
This tool calculates the Net Internal Rate of Return (IRR). It uses the time elapsed until an exit to determine the annualized performance.

### get_exit_distribution
This tool determines the specific dollar amount distributed to an investor. It accounts for the specific exit structure and preference rights.

### get_return_multiples
This tool calculates the investment performance in terms of multiples. It provides the MOIC for a given exit scenario.

### validate_exit_feasibility
This tool checks if a proposed exit value is high enough to cover an investor's liquidation preference. It identifies if there is a shortfall.

## Prompt Examples

**Prompt:** 
```
An investor put in $5M for 10% equity. The company exited for $100M. They have participating preferred rights with no cap. How much do they get?
```

**Response:** 
```
The investor receives $14.5M. This includes their $5M liquidation preference plus their 10% share of the remaining $95M ($9.5M).
```

**Prompt:** 
```
Calculate the IRR for a $2M investment that returned $10M after 5 years.
```

**Response:** 
```
The Net IRR for this investment is 38.0%.
```

**Prompt:** 
```
If the exit value is $4M and the liquidation preference is $5M, is the exit feasible?
```

**Response:** 
```
No, the exit is not sufficient to cover the preference. There is a shortfall of $1,000,000.
```

## Capabilities

### Waterfall Modeling
Your agent uses this to simulate how exit proceeds are distributed among stakeholders.

### Liquidation Preference Checks
The AI uses this to verify if an exit covers the required preference amounts.

### Performance Metrics
Your agent calculates MOIC and Net IRR to evaluate investment success.

### Participation Logic
The tool handles the math for participating preferred rights and participation caps.

## Use Cases

### Exit Scenario Simulation
Model how a $50M exit compares to a $200M exit for a specific investor.

### Preference Verification
Check if a mid-market exit provides enough liquidity to satisfy preferred shareholders.

### Performance Tracking
Calculate the annualized Net IRR for a fund based on realized exit proceeds.

### Cap Table Analysis
Determine the exact dollar distribution for participating preferred holders.

## Benefits

- Eliminates manual error in complex waterfall calculations.
- Provides instant IRR and MOIC results for any exit scenario.
- Validates exit feasibility against liquidation preferences immediately.
- Handles complex participation rights without manual spreadsheet updates.

## How It Works

You connect the MCP to your AI client and start asking financial questions directly.

1. Connect the MCP to your client like Claude or Cursor via Vinkius.
2. Provide your investment and exit data to your AI agent.
3. The agent invokes the specific tool needed for the calculation.
4. The MCP returns the precise financial result to your agent.
5. Your agent presents the final distribution or return metric to you.

## Frequently Asked Questions

**What can this MCP calculate?**
It calculates exit distributions, return multiples (MOIC), annualized Net IRR, and exit feasibility based on liquidation preferences.

**How does it handle participating preferred rights?**
The MCP simulates the distribution of proceeds by accounting for both the liquidation preference and the additional participation in the remaining proceeds.

**Can I use this with Claude or Cursor?**
Yes, you can connect this MCP to any MCP-compatible client including Claude, Cursor, and Windsurf.

**Does it check if an exit is enough to cover preferences?**
Yes, the validate_exit_feasibility tool specifically checks if the exit value covers the investor's liquidation preference.

**Is this a manual spreadsheet replacement?**
It acts as a specialized math engine for your AI agent, allowing you to perform waterfall modeling through natural language instead of manual cell formulas.
