I am coming back to one of my personal bugbears. Clients seem to have a positive desire to express option grants in terms of a percentage of the company, as in "You will receive options to purchase 5% shares of Common Stock of the Company…" The problem is 5% of what? As of when? Usually clients resort the percentage expression precisely because there is some ambiguity in the cap table. This ambiguity is usually around some new money coming in. For example, is it to be 5% before or after the bridge note is converted? Before or after the next round of financing? Or what? I can testify that I have experience and employee pulling out such an offer letter years later at a multihundred million dollar exit and try to claim a percent rather than the number of options he actually had. Now, it did not take long to straighten him out, but do you really want to?