No of Shares for Founders (A) 4,000,000

No of Shares for Employees (B) 3,000,000

Total No of Shares (A+B) 7,000,000

Price per Share, V1/(A+B) $1.05

Pre-money Valuation of the Company (V1) $7,350,000

Post-Money Valuation of the Company (V2)

Proceeds from Investors (P) $5,000,000

No of Shares for Investors (C) 4,761,905
Price per share for Investors (P/C) $1.05

No of Shares for Founders (A) 4,000,000

No of Shares for Employees (B) 3,000,000
No of Shares for Investors (C) 4,761,905
Total No of Shares (A+B+C) 11,761,905

Investors Fund, P $5,000,000 40.49%

Founders and Employees Fund, V1 $7,350,000 59.51%
Post-Money Valuation of the Company (V2) 12,350,000 100.00%
Price per share, V2/(A+B+C) $1.05

Post-Money Valuation with Escrowed Shares (V3)

Proceeds from Investors (P) $5,000,000

No of Shares for Investors (C) 5,263,158
Price per share for Investors (P/C) $0.95

No of Shares for Founders (A) 4,000,000

No of Shares for Employee Option (B) 3,000,000
No of Shares for Investors (C) 5,263,158
Total No of Shares (A+B+C) 12,263,158

Post-Money Valuation of the Company with Escrowed Shares (V3) 11,650,000

No of Shares Share Price Investment Value Percentage

Investors Fund 5,263,158 $0.95 $5,000,000 42.92%
Founders Fund 4,000,000 $0.95 $3,800,000 32.62%
Employee Option 3,000,000 $0.95 $2,850,000 24.46%
Post-Money Valuation of the Company (V3) 12,263,158 $11,650,000 100.00%

Price per share for founders and employees, V3/(A+B+C) $0.95