Business

Founder Equity Split Calculator

Calculate a points-based equity split from cash and time contributions (simplified Slicing Pie style).

Last reviewed by the Radiatus Cloud team

Output

Want this done for your business?

Radiatus delivers cloud, security & automation for growing teams.

Book a free consult

Split equity between founders fairly

Dividing equity between founders is one of the hardest early decisions, and a structured method helps. This calculator computes a points-based equity split from cash and time contributions, so the split reflects what each founder actually brings.

Why a method beats a handshake

Splitting equity equally by default, or by gut feel, is a common source of later resentment when contributions turn out to be unequal. A points-based approach assigns weight to what each founder contributes, cash invested, time committed, and other factors, and derives the split from those points, making it a reasoned outcome rather than an arbitrary one. This does not remove the judgement, the weights are yours to set, but it forces the conversation to be explicit about who brings what, which is exactly the discussion founders should have before, not after, the equity is locked in.

A planning estimate

This is an estimate for planning from the figures you enter, not financial or business advice. Real outcomes depend on factors beyond any single calculation, so treat the result as a guide. It runs entirely in your browser, so your figures are never uploaded and stay on your own machine, which matters for business numbers you would not want to share.

Related tools

  • Incident Impact Calculator — Estimate the cost of a security incident from severity, affected users and downtime hours, with a compliance and trust rating and the response actions each severity level demands.
  • Third-Party Risk Assessor — Assess vendor risk based on data access and type.
  • Data Breach Cost Estimator — Estimate what a data breach would cost from records exposed, cost per record, days to detect and hours of downtime, split into direct and indirect costs.
  • SaaS Risk Heatmap — Pick the SaaS apps your company runs, add your own, and get a heatmap ranking each by data criticality times access scope, with the risk each carries.

Frequently Asked Questions

How does a points-based split work?

It assigns weight to each founder’s contributions, cash, time and other factors, and derives the equity split from the resulting points, rather than splitting by default.

Why not just split equally?

Because equal splits by default cause resentment when contributions turn out unequal. A reasoned split reflects what each founder actually brings.

Does the method remove judgement?

No. You set the weights on each contribution, so judgement remains, but it forces an explicit conversation about who brings what before equity is locked in.

When should founders split equity?

After an explicit discussion of contributions and ideally with the split earned over time through vesting, rather than fixed permanently on day one.

Is my data uploaded?

No. The calculation runs entirely in your browser.

Privacy & Security

Calculated locally in your browser. Use for planning and confirm with your agreement.

Data: None
Client-side-Side
Active
v1.0

How to Use

Enter contributions (name|cash|hours|hourly_rate) to compute an equity split.

Disclaimer: This tool is provided "as is" without warranty of any kind. Results are for educational and utility purposes.