Equity & Cap Table

B1 · Intermediate1 hr 7 minStartup EnglishLesson 3 of 8 · Outline

Aims

Goal: explain an equity offer to a new employee — vesting, cliff, dilution, option pool — with the share arithmetic right and the honest parts volunteered.

The lesson, stage by stage

  1. Warm up5 min

    Warm-up: Explain the offer

    2 warm-up questions

  1. Reading10 min

    Reading: Understanding Startup Ownership

    Read a 292-word text about Understanding Startup Ownership

  2. Vocabulary8 min

    Vocabulary: Equity & Cap Table Vocabulary

    8 items

  3. Reading10 min

    Reading: A model equity explanation

    Read a 303-word text about A model equity explanation

  4. Practice7 min

    Practice: Practice: Arrange Equity Sentences

    Word-ordering exercise, 5 items

  5. Practice7 min

    Practice: Practice: equity terms in sentences

    Gap-fill exercise, 6 items

  6. Dialogue10 min

    Dialogue: Role Play: Walking Through an Equity Offer

    Role-play: You are explaining an equity compensation package to your first employee, helping them understand stock options, vesting, and the cap table. (4 lines)

  7. Discussion10 min

    Discussion: Your mission: walk through the offer

    3 discussion questions

Open the full lesson

The remaining 7 stages of this lesson, with the procedure, the examples and the exercises, are included with Starter, along with the interactive version you can teach from. Lesson 1 of this course is free: the full plan is on this site, and a free account opens it in the interactive player.

Start with lesson 1, freeSee Starter pricing

Target vocabulary

In a Tuton account these words become your student's vocabulary deck, so they come back in practice between lessons.

EquityCap tableVestingCliffDilutionOption poolCommon stockPreferred stock

This plan comes from the Startup Vocabulary Essentials course in the Tuton library. Browse all free lesson plans.