# Pre- and Post-Money Valuation Calculator

URL: https://speedycalculator.com/calculators/finance/pre-and-post-money-valuation/
Last updated: 2026-10-25

> The pre-money and post-money valuation calculator links a startup's valuation before an investment, the investment amount, the post-money valuation and the investor's equity stake – and shows founders' dilution and price per share.

## Inputs

- Investment
- Pre-money valuation
- Shares before the round (fully diluted)

## Results

- Post-money valuation
- Investor equity
- Price per share
- New shares issued
- Dilution of existing shareholders

## Formula

```
Post-money valuation = pre-money valuation + investment
Investor equity = investment ÷ post-money valuation
Price per share = pre-money valuation ÷ pre-money fully diluted shares
```

## Explanation

In a priced funding round, the pre-money valuation is what the company is worth before the new money; the post-money adds the investment. Investors own the investment's share of the post-money value, so existing shareholders are diluted by that percentage.

### How to use the Pre- and Post-Money Valuation Calculator

- **Investment**
- **Pre-money valuation**
- **Shares before the round (fully diluted)**
- Every result field is editable: type into **Investor equity** and **Pre-money valuation** plus every other field update to match.

Results update as you type, and every field accepts the units shown in its menu.

### How it works

Enter the investment and the pre-money valuation (type the investor equity to work backwards), plus the existing shares.

### Tips

- Use figures for the same period (a month, a quarter or a year) for every input so ratios compare like with like.
- Track the metric over time – the trend usually tells you more than a single value.
- Compare your result with industry benchmarks, which vary a lot between sectors.
- Treat the result as a starting point for a decision, then check the assumptions behind each input.

### Common mistakes to avoid

- Mixing monthly and yearly numbers in the same calculation.
- Using revenue where the formula needs profit (or the other way round).
- Forgetting hidden costs such as taxes, fees, overheads or your own time.

### Inputs explained

FieldWhat to enterInvestmentAmount in your currencyPre-money valuationAmount in your currencyShares before the round (fully diluted)A number

### What each result means

- **Post-money valuation** = [Pre-money valuation] + [Investment]
- **Investor equity** = [Investment]÷([Pre-money valuation] + [Investment])×100
- **Price per share** = [Pre-money valuation]÷[Shares before the round (fully diluted)]
- **New shares issued** = [Investment]÷[Price per share]
- **Dilution of existing shareholders** = [Investor equity]

### Example values

How the main result changes when **Pre-money valuation** changes and everything else stays at the example values above:

Pre-money valuationInvestor equity (%)4,000,00033.336,000,000258,000,0002010,000,00016.6712,000,00014.2916,000,00011.11

## Worked example

Inputs — Investment: $2,000,000; Pre-money valuation: $8,000,000; Shares before the round (fully diluted): 10,000,000.

Results — Post-money valuation = $10,000,000.00; **Investor equity = 20 %**; Price per share = $0.8000; New shares issued = 2,500,000; Dilution of existing shareholders = 20 %.

## FAQ

**What is the difference between pre-money and post-money?**
Pre-money excludes the new investment; post-money includes it.

**How much equity does an investor get?**
Investment ÷ post-money valuation.

**Does a SAFE use pre- or post-money?**
Standard SAFEs since 2018 use a post-money valuation cap.

**What formula does the Pre- and Post-Money Valuation Calculator use?**
Post-money valuation = pre-money valuation + investment.


## Sources

- [Y Combinator – Post-money SAFE](https://www.ycombinator.com/documents)