Dynamic equity calculator
Fair founder equity splits should change as the work changes.
Use this calculator to estimate a fair, contribution-based founder equity split using time, cash, IP, and traction, then keep the split aligned as your team keeps building.
Static splits are guesses
Most founder splits happen when the team knows the least: before the real work, risk, and commitment are clear.
Contributions change
One person may contribute more time, another may bring cash, customers, IP, or operational momentum.
Equity should stay aligned
Dynamic equity gives your team a transparent way to revisit the split as reality becomes clearer.
Dynamic Equity Calculator
Transparent, contribution‑based splits. Tune the weights, add collaborators, and export a shareable report.Not legal or financial advice.
Team Contributions
| Name | Role | Stage | Hours | $/hr | Cash $ | IP / Assets $ | Traction / Revenue $ | Remove |
|---|---|---|---|---|---|---|---|---|
role ×1.30 | stage ×1.50 | |||||||
role ×1.20 | stage ×1.50 |
Formula per member: Time (hours × $/hr × role × stage × project time multiplier) + Cash × cashWeight + IP × ipWeight + Revenue × revenueWeight → slices
Keep splits fair as you build
A calculator gives you a starting point. Heirloom keeps the split aligned.
Tip: Recalculate periodically as contributions change (dynamic, not one-and-done).
Suggested Split
| Member | Points | Equity % | Breakdown |
|---|---|---|---|
You(Founder) | 3,900 | 59.09% | Time: 3,900 Cash: 0 IP: 0 Revenue: 0 |
Teammate(Engineer) | 2,700 | 40.91% | Time: 2,700 Cash: 0 IP: 0 Revenue: 0 |
Get the full PDF report
Enter your email to download a branded report you can share with your team.
Philosophy
- Reward what moves the project forward: time risk, cash risk, real assets, and proof with users/revenue.
- Use simple defaults first; then tune weights to your team’s values.
- Recalculate periodically as contributions change (dynamic, not one‑and‑done).
A calculator helps you start the conversation. Heirloom helps you keep it fair.
Founder equity is not just a one-time spreadsheet decision. Heirloom helps small teams track contributions, responsibilities, decisions, and ownership as the project evolves.
Start tracking in HeirloomFounder equity split FAQ
What is a dynamic equity split?
A dynamic equity split is an ownership approach where equity is based on actual contributions over time instead of a fixed guess made at the beginning of a project.
How should founders split equity?
Founders should usually consider time, cash, opportunity cost, IP, customer traction, and ongoing responsibility. Equal splits can work, but they can also create resentment if contributions become uneven.
Is equal equity always fair?
Not always. Equal equity can be fair when commitment, risk, and contribution are truly similar. But if one founder contributes far more over time, a static equal split may stop reflecting reality.
What should count toward founder equity?
Common inputs include hours worked, cash invested, unpaid labor, technical work, design, operations, customer development, existing IP, revenue, and other project-specific contributions.
How often should equity be recalculated?
Early teams may revisit equity monthly or quarterly. The important part is agreeing on the system upfront so changes feel transparent instead of personal.
Is this calculator legal or financial advice?
No. This calculator is only a planning and discussion tool. Talk to a lawyer or qualified advisor before making formal equity, tax, or securities decisions.