A business example
Two founders hold 600 and 400 shares. An investor receives 250 newly issued shares of the same assumed class.
Before funding
Founder A holds 60%; Founder B holds 40% of 1,000 shares.
New issue
250 investor shares bring the total to 1,250.
After funding
A holds 48%, B holds 32%, and the investor holds 20%.
What this shows
The table explains the before-and-after ownership. Its share counts must still reconcile with the legal issue records; it does not create ownership by itself.
What it is often confused with
A spreadsheet does not replace the legal documents establishing ownership and rights.
What to look at in your business
Reconcile securities, options and transfers to their supporting records.
Context and further reading
This entry explains the business term. The related guide below provides the next layer of context; any applicable legal test depends on the transaction and relevant period.
Kosha.Services · Updated 2 October 2026