Management Equity Proceeds Workbench
Translate one deliberately simplified award schema into an exit-proceeds scenario, then flag every governing clause that prevents the result from standing alone.
Select the clause set before calculating proceeds
Choose common participation, a growth strip above a hurdle, or a cash-settled option. Enter the actual payable vesting and economic terms instead of relying on a market default.
Actual management plans can combine security classes, preferences, ratchets, leaver provisions, vesting conditions, dilution, exercise funding, tax, and jurisdiction-specific rules. The governing documents control.
This is a term-to-proceeds worksheet, not a valuation of a standard management plan. “Common” applies the entered vested participation to residual equity. “Growth strip” applies it only above the entered equity hurdle. For “cash-settled option,” award units are entered in millions and exit value and strike are entered in dollars per unit, so millions of units multiplied by dollars per unit produces proceeds in $M; payable vesting is then applied. Share issuance, exercise mechanics, preferences, leaver terms, taxes, and legal enforceability require the governing documents and professional advice.
The worksheet runs in your browser. Use synthetic or de-identified inputs; do not paste confidential deal, fund, employee, or lender information.
Why this is a worksheet rather than a universal calculator
“Management equity” can describe materially different legal and economic claims. This tool calculates only the schema shown beside the inputs. Checking an unmodeled term changes the output status to partial; it does not guess how that clause works. Use the actual plan, shareholders' agreement, articles, employment terms, and tax advice before relying on a proceeds figure.
For the adjacent transaction concept, see management rollover.