Definition - What does Capitalization Table mean?
A capitalization table is an organized chart that illustrates the percentages of ownership among stakeholders. It includes all company securities including stock, options, warrants, etc.
Divestopedia explains Capitalization Table
Capitalization tables are used particularly for start-ups and growth firms in order to demonstrate the allocations of ownership. As the company grows, additional shares may be issued, dilution may occur and majority stakes may change. The tables are instrumental for record keeping and ownership evaluation within private companies.
Join thousands of others with our weekly newsletter