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YC 2: Voting interests
or “How to calculate your influence in a company's decisions based on your shareholding”
You could also call this:

“How much of a company you own based on your shares and options”

When you own shares or options in a company, you have what’s called a ‘market value interest’. This is a way to measure how much of the company you own. Your market value interest is the percentage of the total value of all the company’s shares and options that belongs to you.

For example, if all the shares and options in a company are worth $100, and the shares and options you own are worth $10, your market value interest would be 10%.

When figuring out the market value of shares that have options attached to them, you need to think about what those options mean. The terms of the option can affect how much the share is worth.

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Next up: YC 4: Look-through rule for corporate shareholders

or “How ownership of one company affects your stake in another”
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Part Y Definitions and related matters
Measurement of company ownership

YC 3Market value interests

  1. A person’s market value interest in a company equals the percentage of the total market value of shares and options over shares in the company that the market value of shares and options over shares in the company held by the person represents.

  2. For the purposes of subsection (1), the market value of any share in a company that is subject to an option is calculated having regard to the terms of the option.

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