Introduction
Stakeholder scenarios allow you to improve the retention of your stakeholders by allowing them to see the upward potential of their grants. In addition, stakeholders will see the projections of their own stake based on the values you provide through independent scenario modelling with defined parameters.
Setting up Stakeholder Scenarios
Go to Company Settings > Stakeholder Dashboard
Click on the Stakeholder scenarios button
Decide if you activate the optional settings "Enable calculator for stakeholders, allowing them to set their own valuations" and "Define potential future scenarios".
If you toggle on "Enable calculator for stakeholders, allowing them to set their own valuations", you can use the default values or manually set them. This sets the range your stakeholders can use to model their company stakes. The minimum share price defines the lower end, the maximum share price is the upper end, and the default share price is the starting point of the scenario. In addition, you can determine for the stakeholder scenario the dilution per round.
Here is the scenario tile in the stakeholders' portfolio dashboard:
If you toggle on "Define potential future scenarios", input values that you want to present to stakeholders in the predefined fields. Add them in chronological succession, as they will be presented one after the other in their chart.
Valuation event name: required field that indicates the name of the future event, such as "Present" or "Series B"
Estimated time: optional field that indicates the time frame of the event, such as "Q2 2023", "2027", "Far future", and similar
Share value (probable): required field that indicates a potential value of one share on the day of the event
Share value (optimistic) and Share value (conservative): optional fields indicating two extreme possibilities
Expert advice: give stakeholders a reference point by indicating the current state of their stake. Input the share value at your latest valuation in the first row, and name the event as "Present state" or similar.
This is the corresponding scenario tile in the stakeholders' portfolio dashboard:
Suppose you enable both options, "Enable calculator for stakeholders, allowing them to set their own valuations" and "Define potential future scenarios". In that case, the scenario tile in the stakeholders' dashboard will combine all features.
Click Save
What is shown to stakeholders?
Stakeholder scenarios are shown within the "Equity Value Growth" section in the dashboard. Depending on the setting, they represent the sum of the values of the options and shares granted and offer stakeholders the possibility to model their scenarios independently but with predefined parameters.
Stakeholder only see the impact of the share value on their stake and cannot deduct the company's valuation, as they do not know the total share numbers within the company.
When stakeholder scenario is disabled, stakeholders do not see the extra bars or the slider in the Equity Value Growth section of their dashboard.
Stakeholder scenarios enabled
Stakeholder scenarios disabled
