20 tagged with "Equity"
Understanding owner equity, retained earnings, and shareholders equity on the balance sheet
The 83(b) Election: A 30-Day Decision That Can Save Founders Six Figures in Taxes
A Section 83(b) election lets founders and early employees pay ordinary income tax on the grant-date value of restricted stock instead of on each vesting tranche, shifting future appreciation into long-term capital gains. The 30-day filing window is absolute and starts on the actual transfer date.
ISO vs NQSO: Stock Option Tax Treatment Every Tech Worker Needs to Understand
Incentive Stock Options and Non-Qualified Stock Options trigger taxes at different events and rates. This guide covers the AMT trap, qualifying vs. disqualifying dispositions, the $100,000 ISO vesting limit, and eight strategies tech workers use to lower the tax bill on equity compensation.
Cap Table Management for Startups: A Practical Guide from Seed to Exit
A practical guide to managing a startup cap table from incorporation to exit — covering SAFEs, priced rounds, option pool sizing, 409A valuations, vesting mechanics, dilution math, and the diligence-ready habits that prevent costly equity surprises.
Owner's Equity: What It Is, How It Works, and Why Every Small Business Owner Should Track It
Owner's equity is the most honest measure of your business's financial health—and most small business owners don't check it enough. Learn what it is, how to calculate it, what changes it, and how to use it to build long-term wealth.
Equity in Accounting: What It Is, How to Calculate It, and How to Grow It
Learn what equity means in accounting, how to calculate it using the accounting equation, understand the difference between owner's equity and shareholders' equity, what negative equity signals, and practical strategies to grow your business equity over time.
Statement of Retained Earnings: What It Is, How to Prepare One, and Why It Matters
Learn what a statement of retained earnings is, how to prepare one step by step, understand the retained earnings formula, calculate the retention ratio, avoid common mistakes like confusing retained earnings with cash, and know what negative retained earnings mean for your business.
Assets, Liabilities, and Equity: The Accounting Equation Explained
Learn what assets, liabilities, and equity are, how the accounting equation (Assets = Liabilities + Equity) works with real examples, types of each category, key financial ratios, and common mistakes to avoid.
Retained Earnings: What They Are and How to Calculate Them
Learn what retained earnings are, how to calculate them using the simple formula, real-world examples, what negative retained earnings mean, common mistakes to avoid, and how to use retained earnings strategically for business growth.