This page provides general legal information and calculation tools, not legal advice. DocketMath is not a law firm and does not provide legal representation, and using this site does not create an attorney-client relationship. Laws change and exceptions apply, so deadlines and amounts specific to your situation should be confirmed with a licensed attorney in your jurisdiction.

Convertible Note Cap Table in Montana

Montana law, specifically Mont. Code Ann. § 35-14-601, governs how convertible note holders participate in a cap table upon conversion. This statute sets out the statutory framework for determining the conversion mechanics and resulting equity allocations when a convertible note converts into shares. The precise calculation of conversion ratios and ownership percentages depends on the note’s specific terms and the company’s valuation at conversion. Because the statute provides the legal basis rather than a fixed numerical rule, the exact effect on a cap table varies with each agreement. The official source at leg.mt.gov details the statutory requirements. A worked example below illustrates how these principles apply in a typical scenario. Use the DocketMath calculator to estimate your own convertible note conversion.

Governing authority

In Montana, the convertible note cap table rule is set by Mont. Code Ann. § 35-14-601. The verified packet cites Mont. Code Ann. § 35-14-601 (https://leg.mt.gov/bills/mca/title_0350/chapter_0140/part_0060/sections_index.html).

Montana convertible note cap table: governed by Mont. Code Ann. § 35-14-601. The verified packet cites Mont. Code Ann. § 35-14-601 (https://leg.mt.gov/bills/mca/title_0350/chapter_0140/part_0060/sections_index.html).

Estimate your own result: every situation has exceptions that can change the outcome. Use the convertible note cap table calculator to estimate your specific figure.

This page provides general legal information and calculation tools, not legal advice. DocketMath is not a law firm and does not provide legal representation, and using this site does not create an attorney-client relationship. Laws change and exceptions apply, so deadlines and amounts specific to your situation should be confirmed with a licensed attorney in your jurisdiction.