Introduction
Tranche builder lets admins create flexible vesting schedules with multiple tranches in a single grant. Each tranche can have its own allocation, timing vesting type, and additional performance conditions, which makes it more configurable when a standard vesting schedule does not provide the required flexibility.
This article explains how to access Tranche builder, how to configure tranches, and what to expect when reviewing and saving the schedule.
This is a Beta feature. Tranche Builder is not yet available to all accounts.
Who can use this feature?
You need to be an account admin to create or edit grants in Ledgy. Your company must also have access to Tranche builder vesting.
If your company uses the newer vesting selector, the Vesting section can show:
No vesting - Vests immediately on grant date
Simple vesting - Uniform time vesting with option to add performance conditions
Tranche builder - A grant with multiple tranches and flexible vesting types per tranche
Saved preset - Create vesting presets and apply them to individual grants
When to use Tranche builder
Use Tranche builder when one grant needs multiple vesting types with different rules. For example, you may want to:
split one grant into multiple vesting tranches
mix time-based and performance-based vesting in the same schedule
set different dates or durations for different parts of the grant
allocate vesting by percentage or by specific unit amount
If you only need a standard schedule such as a simple 4-year vest with a regular interval, Simple vesting is usually the better option.
How to create a tranche-based vesting schedule on a grant
Go to Equity Plans > Grants or Ownership > Transactions.
Create a new grant or open an existing draft grant.
Open the Vesting section.
Select Tranche builder.
You will then see the tranche builder form.
Step 1: Configure the vesting settings
At the top of the form, configure the shared settings for the schedule:
Vesting start date: Choose Grant date or Custom date.
Rounding: Choose how Ledgy should round vesting amounts.
Allocation method: Choose Weighted to allocate by percentage of the total grant, or Amount to allocate a specific number of units to each tranche.
These settings apply across the vesting schedule you are building.
Step 2: Add and configure tranches
Click Add vesting event.
For each tranche, enter its Allocation.
Choose the tranche Vesting type. Ledgy currently supports:
Period: The tranche vests after a defined duration in days, months, or years (linked to the vesting start date).
Fixed date: The tranche vests on a specific date.
Performance evaluation: The tranche vests based on performance condition evaluation.
Repeat this process for each additional tranche.
Ledgy shows each tranche in a table with columns for Allocation, Vesting pattern, and Conditions. You can also duplicate a tranche to speed up setup when several rows are similar.
Note: You can automatically sort all tranches so that time-based tranches appear in chronological order, with performance-condition-only tranches placed at the end of the vesting schedule. This ensures that any rounding remainders carry over into the next chronological tranche. When reordering is needed, this will be flagged automatically. You can then click the button shown below to reorder your tranches:
Step 3: Add performance conditions when needed
If you want to use performance-based vesting inside a tranche, first create the performance conditions in Equity Plans > Vesting Performance. You can then add one or more of those conditions inside the tranche builder.
Note: these performance conditions need to be evaluated and managed in this section.
For a detailed walkthrough, see How do I create and manage performance-based vesting conditions?.
Step 4: Review the schedule before saving
Before saving, review the schedule carefully. Ledgy validates the structure and highlights issues directly in the builder.
If you use Weighted allocation, the total allocation must add up to 100%.
If you use Amount allocation, the tranche amounts must match the grant amount.
Ledgy warns if tranches are out of chronological order and can prompt you to reorder them.
A Vesting preview is shown when Ledgy can simulate the schedule. If the schedule contains performance conditions, the preview may not be available.
Once the schedule looks correct, click Save. If you created a new grant, Ledgy saves it as a draft transaction until you publish it.
Where else can I use Tranche builder?
The same builder can also be used in other places where Ledgy lets you define vesting:
Vesting presets, under Company > Settings > Vesting
Plan defaults, while creating or editing an equity plan
This lets you reuse the same tranche-based approach for future grants instead of building each schedule from scratch.
Where else can you find tranches in the platform?
The tranche builder is a new way of capturing vesting, so it appears throughout the product. Some notable examples:
Transactions — when a grant transaction is created with vesting tranches, the tranche details will be visible under the grant details on the Transactions page, as shown below:
Documents — the following document variables are available for use:
Bulk edit — you can edit tranches across multiple grants using the bulk edit feature:
Operational reporting — new fields added to reflect vesting tranches:
Transactions and Grant reports: Tranche details will be shown in the Vesting name, Vesting type and number of tranches columns
Audit logs: creation and deletion of tranches showing you in the menu of sub items
FAQs
When should I use Simple vesting instead?
Use Simple vesting when you only need one straightforward schedule, such as a standard duration with a regular vesting interval and an optional cliff. Use Tranche builder when different parts of the grant need different rules.
Why don't I see a vesting preview?
The preview only appears when Ledgy can simulate the schedule. If the grant amount is missing, the schedule is incomplete, or one or more tranches depend on performance conditions, the preview may be hidden.
Can I use Tranche builder in bulk imports?
Yes. When Tranche builder is enabled for your company, the grant import template includes tranche-builder-specific fields such as Tranche Builder tranches and Tranche Builder allocation method.
If I edit a vesting preset, does it change existing grants?
No. Changes to a vesting preset apply to future grants that use that preset. Existing grants keep their current vesting schedule.