Carta Release Notes - Product Updates

2 years ago9/15/2023

Financial Reporting Progress Tracker

What's new?

GPs on Carta now have full visibility into the progress of their quarterly financial reports – 15 days before quarter-end.

What’s valuable about this change?

Previously, the process to complete your financials was opaque. A series of emails and phone calls were required to project manage your reporting. Now, conveniently located in your Activity tab, you can see a complete checklist of the tasks required to prepare your financial statements.

Starting today, you can take action and share information with us directly in Carta. We’ll mark those tasks as complete in real-time. Plus you get a look into everything the fund admin team is working on.

What’s next?

On October 2, you'll receive an email with your draft Q3 financial report(s). If your open tasks are resolved between now and then, your financials will be ready to review, approve, and send to your LPs just one business day after the quarter ends.

What do I need to do?

  1. Check your inbox for a “Get started on Q3 2023 financials” email from Carta
  2. Log into your account to view your Financial Reporting Progress experience
  3. Toggle between your entities using the dropdown on the top right

Day 1 Financials Progress Tracker

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Day 1 Financials Progress Tracker

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Didn’t receive an email or are some of your entities missing from the Financial Report Progress Tracker? Learn more about why.

How do I learn more or get help?

Get in touch with your Account Director or talk to one of our representatives today.

Melissa VanDerHeyden

2 years ago9/14/2023

Quarterly benchmark refresh and new Life Sciences industry benchmarks

What’s new?

We have three new updates included as a part of this benchmark version:

Quarterly benchmark refresh

We have updated salary, total cash compensation, and equity benchmarks for all job areas and specializations.

Market Trends

Salary and total cash compensation benchmarks are generally flat since our last update. These trends are fairly consistent across company valuation and level. As in previous updates, specialization level data continues to be more volatile than the broader sample, as sample sizes for these roles are smaller than job area-level data.

Equity benchmarks have decreased approximately 1%, less than last quarter’s 9%. Equity benchmarks have been decreasing steadily since the beginning of the year, and it’s possible that the market is starting to stabilize close to a “new normal”. We did observe larger decreases, however, among later stage companies indicating that these companies (similar to public companies earlier in 2023) are focused on managing dilution in the face of falling valuations

What were the largest areas of movement from these benchmarks?

Salary - Project Management roles saw the largest increase this quarter (+5%), balancing out the larger decrease that this job area saw last quarter. Notably our AI/ML engineering benchmarks increased by approximately 3%. IT and Legal salary benchmarks decreased by 3% versus last quarter. All other job areas saw salary changes that were within 2% of last quarter’s benchmarks.

Equity - Human Resources and Finance roles saw the largest decreases. Some job areas and specializations did see overall increases to equity benchmarks this quarter, such as Sales Development, Sales/Solutions Engineering, and Art and Graphic Design. Most other job areas changed by 3% or less versus last quarter though there can be variance by level and valuation peer group.

Life Sciences industry benchmarks

We have released initial benchmarks for three new specializations specific to the Life Sciences industry:

Benchmarks for these roles were developed based on employee data taken exclusively from the Life Sciences companies in our database, making these benchmarks our first industry specific benchmarks. These benchmarks are reflective of the geographic distribution of Life Sciences talent, with markets like Boston, San Diego, Seattle, and Los Angeles joining San Francisco and New York as the top labor markets for these roles.

Peer group updates

Finally, in an effort to increase the overall quality of our benchmarks, we will no longer provide data for the Below $1M valuation peer group. Variability of pay within that group tended to be high, and many of our benchmarks were less relevant for companies at such an early stage. Any customers with Plans set to use the Below $1M will automatically default to the $1M - $10M peer group after updating to the latest benchmark version.

How do I update my benchmark version?

You can also preview the new benchmarks on your Scorecard by navigating to the Benchmarks page and clicking on the "Preview benchmarks" bubble in the top left.

Here you will have the opportunity to preview the new plan with the updated benchmarks version and assess their impact on your Scorecard before accepting the new plan.

How do I see benchmarks for the new Life Sciences industry specializations?

You can view benchmarks for the new specializations by:

1. Visiting the Benchmarks page and selecting “Research” under Area. Once the job area is selected, you can select “Life Sciences” from the Industry dropdown and any of the new specializations by selecting the Specialization dropdown.

2. This will allow you to view salary/equity benchmarks for levels 1-3 for Research Associate, levels 4-6 for Scientist, and levels 1-5 for Lab Operations

Questions?

If you have any questions about these new benchmarks or if you have suggestions for additional Life Sciences specific data, please reach out to your Customer Success Manager.

2 years ago9/11/2023

Equity reporting suite: OCX

What's new?

Carta now has an exportable Open Cap Table report.

OCX, also known as the Open Cap Table Excel Standard, is an initiative led by the Open Cap Table Coalition to establish standardized practices for equity data.

OCX serves as a cap table report, similar to Carta's existing cap table feature. However, it represents our commitment to a more standardized approach to equity practices.

To access OCX, navigate to Cap Table > Run reports. You will find the OCX report in the equity report list as well as under the Capitalization folder.

Why is this important?

OCX aims to standardize an ecosystem where various stakeholders operate differently in terms of their practices and data presentation. By adopting a more uniform approach, it enables seamless interaction with equity data and smoother movement across different processes and platforms.

Where can I learn more?

Soon, we will have a dedicated support article for the OCX report, and you can read about our existing reports on our support site. You can also find additional information about OCX in Announcing the Open Cap Table Excel Standard (OCX).

Will WD

2 years ago9/5/2023

Upload and issue custom SAFE documents and templates

What’s new?

Carta is adding support for custom SAFEs and side letters. Companies now have the flexibility to use customized SAFEs and side letters for their financing round. This release expands the types of documents that can be used to issue, transact and manage through Carta.

Why is it valuable?

Companies and investors may agree on a different set of terms that are not supported by a YC or SAFE template, and require a SAFE and side letter that reflects these terms. With this feature, customers can have their custom SAFE agreements signed and funded on Carta, benefiting from Carta’s streamlined investor and stakeholder signing, status tracking, faster funding, and automatic cap table updates.

How does it work?

Users can upload a custom, pre-filled SAFE document and side letter to be signed and funded through Cata.

For acceptance, custom SAFE templates require all of the following:

Getting started:

  1. Navigate to the SAFE Financings page under the Fundraising tab

  2. Create a new SAFE and select Custom SAFE Template

  3. Upload your complete, pre-filled SAFE document.

Note: Ensure there are no signature pages.

  1. Make sure the information you entered directly on Carta matches the terms on your uploaded document.
  2. Attach any custom pre-filled side letters, if available.
  3. Close and send the SAFE for signing.

How do I learn more or get help?

To learn more about SAFE Financings, check out this support article or reach out to your Account Manager for a demo. You can also learn how you can securely, quickly, and conveniently transfer fund s directly within Carta.

Shubhi Nigam

2 years ago9/1/2023

See how upcoming refresh / tenure, promotion, and true-up grants will affect your option pool

What’s new?

You can now use the Equity Forecasting and Burn Calculator to automatically calculate the impact on your option pool from three different types of equity grants:

With these grants incorporated into your calculations, you can more accurately model your equity pool’s burn over the coming year to make informed decisions around strategies for your compensation program.

How do I access the Equity Forecasting and Burn Calculator?

You can access the Equity Forecasting and Burn Calculator, along with any other Carta Total Comp reports, from either:

If you want to have access or want to schedule a demo to understand what you can unlock with the calculator and Carta Total Comp, reach out to your CSM.

What’s next?

We are planning a few additional enhancements to improve ease of use of the Equity Forecasting and Burn Calculator:

This calculator is also a living and growing tool – and so any feedback you have will be appreciated. You can either provide it via reports-feedback@carta.com, through your CSM, or directly within Carta Total Compensation after downloading the calculator. Your feedback will help us improve this and other reports to fit your needs.

Will WD

2 years ago8/30/2023

Centralized communications with investors, with the power of Carta

What’s new?

Today, we’re releasing the Communication Center to all Carta customers, which gives you the ability to easily provide updates to your stakeholders from a central location using advanced messaging functionality.

How does it work?

You can now use the Communication Center to:

How do I access the Communication Center?

Ready to send a company update? Log-in to your Carta account and head to the Communications tab on the left-hand navigation. See how it works.

2 years ago8/30/2023

Automate your Rule 701 Compliance on Carta

Sending 701 Disclosures is now seamlessly integrated into the issuance process on Carta. After drafting shares, a company can quickly run a report to check whether a 701 disclosure is required. If they are, they can upload and securely send to both new and existing stakeholders without leaving the app.

What is a 701 Disclosure? Am I required to send them?

A 701 Disclosure is a notice you may need to send to employees and investors if your company wants to sell or issue more than $10 million in securities within a 12-month period. This includes employees and other service providers who will be receiving equity in your company. They must be given the chance to review the disclosures before the purchase decision (or acceptance of an equity award) is made. You can read more about Rule 701 and how it applies to your company here.

Companies can use Carta’s compliance features to check if they are required to send 701 Disclosures before issuing securities. Go to Essentials > Run reports to find the 701 report to check whether you meet this requirement.

Who is this available for?

Companies in Scale. If you would like to upgrade your subscription to include Rule 701 Compliance, talk to your Account Manager or schedule a demo.

How does it work?

  1. After drafting RSUs, click Add RSUs to the ledger.

  2. Next, you will be prompted to either run a 701 report or begin preparing the 701 Disclosure without running a report. Running a 701 report will let you know if you are required to send 701 disclosures before issuing these RSUs.

  3. NOTE: Clicking Prepare 701 disclosure does not trigger an email to your recipients or company signatories.

  4. After clicking Prepare 701 disclosure, you will be taken to the Communication Center,  where you can prepare a message and attach a disclosure PDF. Click Next: Choose recipients or Click Save Draft to save this draft for another time.

  5. If you save your draft, Carta will add a reminder to the top RSU ledger. Click Draft Rule 701 disclosure on your RSU ledger to continue working on this disclosure.

  6. Carta automatically includes all  RSU recipients of your drafted RSUs. Additional recipients can be selected from the table on the left, if applicable. To proceed, click Next.

  7. Review the message and recipient list. If everything looks good, click Send communication.

  8. Recipients will be able to access the disclosure from their Carta inbox as well as via email.

  9. Once all recipients have received this disclosure, Carta automatically sends RSUs to your company signatories.

  10. As soon as signatories sign the RSUs, holders will receive them.

What will recipients see?

Once a 701 Disclosure has been sent, recipients will receive the following email. This communication will be sent to the stakeholder’s Contact Email on file.

How can I trust that these disclosures are sent securely?

All disclosures will be watermarked individually. These documents will be shared with recipients directly in Carta, not over email. Your recipients will be blocked from downloading the document, and any admins on your account will see who opened the disclosure and when. Admins will also have access to analytics to see which pages of the disclosure each recipient spent the most time on.

Can I resend a 701 Disclosure to a recipient?

You cannot resend a 701 Disclosure in the app. If you need to resend a 701 Disclosure for any reason, contact Carta’s support team for assistance.

Alana Lindall

2 years ago8/23/2023

Expected completion dates

What's new?

Fund managers can now see an expected completion date for all tasks in their Activity tab.

What’s important about this change?

You can now see when your fund admin team is expected to complete a task, bringing greater transparency to your back office.

Plus, you’ll see when you need to complete your portion of the task to meet the expected completion date.

How does it work?

On your Activity tab, click into any task to view the expected by date.

View the Action Needed By date to see when you need to complete your portion of the task to meet the expected by date.

How do I learn more?

To learn more about expected completion dates, reach out to your Relationship Manager today.

Melissa VanDerHeyden

2 years ago8/22/2023

Build and run any waterfall model with a new bespoke modeling engine

What's new?

We’ve released a new bespoke waterfall modeling engine that is encoded with your distribution rules and connected to your most up-to-date cap table in Carta.

What's important or valuable about this change?

The new waterfall modeling engine allows you to build and run any waterfall model in minutes.

What do I need to do?

Waterfall modeling is available as an add-on to your current Carta subscription. Please reach out to your CSM to learn more and request a demo.

This solution requires a custom implementation to encode the distribution rules from your operating agreement into Carta’s modeling engine. Your CSM will walk you through what is needed from you to get started.

If you currently have the new waterfall modeling solution enabled and implemented on your Carta account:

  1. Navigate to the Valuations tab and click on Waterfall modeling.

  2. On the Waterfall modeling page, input the valuation date, the total equity value, and choose your vesting treatment to run the waterfall.

  3. You can view your distribution rules by clicking on the Distribution rules button in the top right.

  4. Once you run the waterfall, you can view a complete breakdown of proceeds based on your inputs and distribution rules. You can run as many waterfall models as you want by customizing the valuation date, total equity value, and vesting treatment. For each waterfall analysis, you can:

  5. View proceeds by Interest Holder or Interest Type

  6. View overall proceeds or filter by proceeds type(s)

  7. Filter by interest holder(s)

  8. Access interest details and documents

  9. View the breakpoint summary

  10. Export the analysis to Excel

How do I learn more or get help?

If you’re interested in Waterfall modeling, please reach out to your CSM to get started. For support with waterfall modeling, visit our support site.

Zeba Naqvi

2 years ago8/22/2023

Interest holders can choose a portfolio for their interests

What's new?

Interest holders with multiple Carta portfolios can now choose the portfolio they want to accept their interests into.

What's important or valuable about this change?

Interest holders with more than one Carta portfolio, such as a family trust or a portfolio they share with their spouse, have the flexibility to accept their interests into the portfolio of their choice.

What do I need to do?

As an interest holder, when you’ve received a new interest, you can either choose an existing Carta portfolio you want to accept your interest into or create a new one.

How do I learn more or get help?

For more information, please visit our support site.

Zeba Naqvi

2 years ago8/22/2023

Easily update data rooms and document templates

What's new?

We’ve released some usability improvements to Documents that provide Admins more flexibility to make updates to Data Rooms and Templates.

What's important or valuable about this change?

When managing documents, Admins now have the flexibility to:

What do I need to do?

  1. On the Data Rooms page, navigate to the menu on the right side of the data room, folder, or document to rename or delete it.

  2. On the Templates page, navigate to the menu on the right side of the interest agreement template to rename or delete it.

How do I learn more or get help?

For more information, please visit our support site.

Zeba Naqvi

2 years ago8/16/2023

Carta Liquidity: Reference Price Range

What’s New?

Carta Liquidity is now providing our proprietary Reference Price Range for companies in our Secondary Marketplace.

The Reference Price Range is based on information derived from available aggregated, composite, and/or historical transaction pricing information and updated on a weekly basis as necessary. The Reference Price Range may also incorporate recent bids and offers in a specified security from various market sources.

How does it work?

Log into your Carta account, enter the Liquidity platform, and navigate to the “ Marketplace” tab.  From there, investors can browse opportunities to buy and sell with Reference Price Ranges.

You can see the Reference Price Range for a company:

  1. On the "Sell" tab, alongside your holdings
  2. On the "Buy" tab, when viewing the details of our confirmed supply
  3. On the "Browse" tab, directly on the company card, along with the best available order to buy and sell on Carta

Who is this available to?

This is only available to Carta Liquidity customers. If you’re interested in learning more about Carta Liquidity and get access to the platform, please reach out to investor_coverage@cartacapitalmarkets.com or your account manager.

Disclaimer: Carta, through its wholly owned broker-dealer subsidiary, Carta Capital Markets, LLC, offers a streamlined experience for executing pre-negotiated stock transfers, tender offers, and other secondary liquidity transactions. Carta Capital Markets, LLC is a member of FINRA/SIPC.

The Reference Price Range does not represent an executable price or bid/ask spread and does not reflect any market premium/discounts. The fair market value or executable price, if any, for any security may be higher or lower than the provided range. Many unregistered equity securities are subject to transfer restrictions that may limit transfers at any price.

The Reference Price Range is not investment advice or a recommendation to transact at any price and should not be your primary basis for determining the value of any security.

Ashley Haber

2 years ago8/14/2023

LP Contact Audit Log

What's new?

Fund managers can now view an audit of all changes made to LP contacts.

What’s important about this change?

You now have full visibility into any changes made to your LPs contact information, including:

Plus, you can now easily see if a contact is associated with additional LPs in your firm or switch between fund commitments to view a contact audit across investments.

How does it work?

Select the entity, navigate to the Partners tab, then select Contacts. Find the contact you would like to audit, then click on the last updated date.

You can now view who added the contact, when they were added, and more. Click the carrot drop down to view contact permissions.

LP Contact Audits

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Click the carrot drow down next to Show contact audit in fund commitment to view a contact audit across investments.

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To view recent changes made to contacts, sort your contact list by clicking the Last updated column header.

How do I learn more or get help?

To learn more about LP Contact Audits, check out this support article or reach out to your Relationship Manager for a demo.

Spencer Holton

2 years ago8/11/2023

Expenses on Carta

What's new?

Submit invoices directly on Carta. Now, you can skip the back-and-forth over email and upload all the required information to set up a wire in two simple steps.

What’s valuable about this change?

From the moment you initiate a vendor payment to when your wire is set up, you can track its progress from anywhere, at any time. Plus, you can maintain your operational cadence and submit invoices to Carta in bulk.

What do I need to do?

  1. Log into your Carta account and click Initiate a vendor payment in your Quick Actions list
  2. Upload the invoice and indicate which bank account to make the payment from
  3. Submit the expense and get an instant progress tracker for your wires

Carta: How to initiate a vendor payment

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Carta: How to initiate a vendor payment

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How do I learn more or get help?

Get in touch with your Relationship Manager or talk to one of our representatives today.

Kathleen Meil

2 years ago8/9/2023

Automatically Expense Awards with Event-Based Performance Conditions

What’s new?

Starting August 10, 2023, companies that issue NSOs and RSUs with event-based performance conditions attached to their vesting schedules will now be able to automatically calculate and expense these awards in their SBC Expense, Disclosure, and Dilution reports. Previously, companies that gave out awards with event-based performance conditions calculated their SBC Expense, Disclosure, and Dilution values manually outside of Carta.

Who is this available for?

All Carta Cap Table users with Financial Reporting in their subscription. If you do not yet have Financial Reporting in your subscription, please talk to your Account Manager or email 718@carta.com.

How does it work?

What’s an event-based performance condition?

If an award has a performance condition, it means that the award has a vesting condition that is subject to performance-based criteria. An event-based performance condition is one in which vesting is contingent on a liquidity event such as an IPO.  Carta’s cap table includes support for NSO and RSU awards with event-based performance conditions. Now, companies that issue NSOs or RSUs with event-based performance conditions can automatically expense these options in their financial reports.

How does Carta calculate the fair value assumptions?

Companies can choose to use either Carta’s default fair value assumption or to create a customized one. Carta’s default fair values assumption is calculated with the Black Scholes pricing model, using your company’s Fair Reporting Value at an award’s grant date.

Can I create reports using both US GAAP and IFRS scenarios?

Not at this time. Companies can only expense awards with event-based performance conditions in US GAAP.

Can I attach event-based performance conditions to a specific vest date?

Yes. As of September 14, 2023, companies that issue NSOs and RSUs with event-based performance conditions attached to a specific vesting date can be expensed using our Financial Reporting tool.

Where do I go if I have more questions about financial reporting?

If you have more questions about our Financial Reporting product, please contact 718@carta.com.

Alana Lindall

2 years ago7/31/2023

Carta Liquidity: Supply Board

What’s New?

Institutional investors can now view confirmed sell-side opportunities directly on Carta.  Investors can view, filter, and review the full set of confirmed sell orders, along with details about company fundraising details, Reference Price Range (if applicable) and applicable transfer restrictions.

Investors can also submit an indication of interest in purchasing the shares listed.

How does it work?

Log into your Carta account, enter the Liquidity platform, and navigate to the “ Marketplace” tab. From there, investors can browse opportunities.

You can submit interest in buying shares listed on Carta:

  1. Log into your Carta account and navigate to the Secondary Marketplace under Liquidity.
  2. View the list of supply available for purchase on the “Buy” tab
  3. Click on the “Buy” button to submit your indication of interest to the Carta Liquidity team
  4. If you don’t see supply in a company you’re interested in, submit an indication of interest to buy on the "Browse" tab

Note that all indications are private and are only shared with the market following a conversation with a representative from our Private Capital Markets team.

Who is this available to?

Ashley Haber

2 years ago7/27/2023

New specializations for Sales and updated international data

What’s new?

Carta Total Comp has two new data updates: New specializations and updates to our international data.

Our benchmarks now support three new specializations in the Sales job area:

Note: Our sample size for new specializations can be smaller than job area benchmarks, which could result in data volatility as we continue to update the data and grow our overall sample size.

Additionally, we have updated international market adjustments and the six-month rolling exchange rates that are used to convert USD to international currencies. These new adjustments and exchange rates are live for all Carta Total Compensation customers. Note that in the following countries, salary and/or equity adjustments have changed by 10% or more: India, Brazil, Ukraine, Hungary, Mexico, Armenia, Estonia, and United Arab Emirates.

How do I see benchmarks for the new specializations?

You can view benchmarks for the new specializations by:

1. Visiting the Benchmarks page and selecting “Sales” under Area. Once the job area is selected, you can select any of the new specializations by selecting the Specialization dropdown.

2. This will allow you to view salary/equity benchmarks for levels 1 - 8 for Sales/Solutions Engineering. For Account Executive and Sales Development Representative, data are available for levels 1-6.

3. The above process can be followed for each of the new specializations.

How do benchmarks for the additional specializations affect the Employee Scorecard?

The compa-ratio is a quick way to compare an employee's compensation to your plan's target rate for a given job area, level, and location. The compa-ratios for an employee assigned to the new Sales specializations will now be calculated using the target compensation for the specialization, not the job area.

How do I update my benchmark version to use new specializations?

You can update your compensation plan to use the latest benchmark versions either by visiting the Plan page and clicking on the "Update available" link in the Active Plan window.

How do I see new international market adjustments?

1. To see new international market adjustments, navigate to the Plan tab and scroll down to International Market Adjustment.

2. Market adjustments will automatically be updated. You can customize any adjustments by using the Edit button on the right.

What’s next?

The Carta Total Compensation team is working on our Q3 benchmark refresh for all job areas and specializations

2 years ago7/25/2023

One-click capital call reminders

What's new?

Send reminders for pending capital calls in one click.

What’s valuable about this change?

Ditch following up with LPs over email. Instead, you can quickly identify which investors haven’t completed their capital call and send them a reminder directly on Carta.

What do I need to do?

  1. Log into your Carta account and select the relevant fund
  2. In your Capital activity tab, click on Capital Calls, and toggle to Pending Investors
  3. Use the “Notify investor” button to initiate reminder emails for either all pending capital calls or specific due dates

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Note: Pending Investor tags may be delayed by up to 48 hours.

How do I learn more or get help?

Get in touch with your Account Manager or talk to one of our representatives today.

2 years ago7/25/2023

New capital call and distribution experience

What's new?

Send capital calls and distribution notices to your investors in a few clicks.

What’s valuable about this change?

You can now approve a capital call or distribution and send notices to LPs immediately or schedule them for a later date.

What do I need to do?

  1. Log into your Carta account
  2. Select a task to review a capital call or distribution in your Activity tab
  3. Review the amounts table
  4. Approve the capital call and send notices to your investors immediately or schedule them

New capital call experience on Carta

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New capital call experience on Carta

Select a task to review a capital call or distribution in your Activity tab

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How do I learn more or get help?

Get in touch with your Account Manager or talk to one of our representatives today.

2 years ago7/25/2023

Capital call rounding preferences

What's new?

Call capital more precisely on Carta.

What’s valuable about this change?

Now, you can call capital by dollars or percentage of total commitments, up to the hundredth decimal place.

What do I need to do?

  1. Log into your Carta account and navigate to the Activity tab
  2. Click Request capital call and follow the prompts
  3. Specify your rounding preference and whether you want to call capital by dollars or by the percentage of total commitments

How do I learn more or get help?

Visit this article for a more detailed look at the capital call request tool.

2 years ago7/25/2023

Improved capital calls in Carta Carry

What's new?

You can now easily modify the due date of a capital call in Carta Carry.

How does it work?

Once your capital call is ready for review, tap Edit above the current due date.

Once the due date is updated, your capital call PDFs will automatically update with the new due date so you can quickly review and approve.

How do I learn more?

To learn more about Carta Carry, check out this support article or reach out to your Account Manager for a demo today.

Don’t have the app? Download it on iOS or Android.

Eric Morelli

2 years ago7/25/2023

Capital call investor breakdowns in Carta Carry

What's new?

We’ve added an investor breakdown view before you submit or approve a capital call so you can see the contribution amount per investor.

What’s important about this change?

You now have a transparent view into the amount each LP is contributing to a given capital call from your phone.

How does it work?

Select Request capital call from the Quick Actions available on your home screen and fill in the information requested.

On the View Summary screen, click View next to Investor Breakdown to see the contribution amount for each investor in both dollars and percent.

Once ready for approval, you can view the investor breakdown by tapping Review, then clicking View next to Investor breakdown on the Review Capital Call page.

How do I learn more?

Eric Morelli

3 years ago7/19/2023

International memos available for Employees with Tax Advisory

What’s new?

Employees who have access to Carta Tax Advisory through their employer now have access to International Tax memos for their country*

The Tax Memo includes information about the cost and tax implications of owning equity in a private company.  Each tax memo is tailored to the specific country an employee resides and includes information on:

What do I need to do?

You can access the new feature directly from your portfolio, or navigate to the ‘Learn’ page in the navigation bar.

Have questions? Contact product@carta.com

*Initial countries limited to: United Kingdom, Australia, Canada, India, and Israel

Jordan Agnew

3 years ago7/17/2023

Export benchmarks from Carta Total Compensation

What’s new?

Starting today, customers can export data from the Benchmarks page as a CSV file to use in their compensation analyses outside of Carta Total Compensation. The feature is active for all Carta Total Compensation customers and can be accessed from the Benchmarks page.

How do I access it?

1. Navigate to the Benchmarks page in Carta Total Compensation.

2. Choose the specific filters for the data you’d like to export, including the Location, Area, Specialization, Track, and compensation type.

3. Click the “Export” button that appears under the filters.

4. Open the downloaded file to see your data.

What’s next?

Carta Total Compensation is developing benchmarks for new specializations.

Questions?

If you have any questions about how to export Benchmarks data or if you have suggestions for additional export functionality, please reach out to your Customer Success Manager.

3 years ago7/11/2023

New videos added to Learn feature for employees

Employees with the Tax Advisory Learn page can now watch six new videos. The new videos include

Log in to your Carta account and navigate to the Learn page to see personalized reccomendations to help you understand your equity compensation!

Jordan Agnew

3 years ago7/10/2023

Simplify employee leveling in Carta Total Compensation

What’s new?

In Carta Total Compensation, you can now use a simple guide to:

  1. Assign Job Titles easily to any employee who is missing one, and
  2. Level multiple employees at once by assigning a Level to a Job Title

With fully leveled employees, you can leverage the power and insights of all Total Comp features, including Reports and Employee Scorecard. This feature eases that process by simplifying what employees need attention.

What do I need to do?

If you already have Total Compensation set up, you will see a banner at the top of your Total Comp page that will take you directly to a new flow.

As you’re assigning Levels to Job Titles, check out our leveling guide for guidance.

If you’re setting up Carta Total Compensation for the first time, use the new onboarding flow to level the employees pulled in from your HRIS (Human Resource Information System).

Questions?

If you have any questions about leveling your employees, please reach out to your Customer Success Manager.

3 years ago7/6/2023

83(b) Election for founders

What’s new?

Introducing  83(b) election for founders. Founders can now more easily comply and file an 83(b) election with the IRS.  This release automatically generates the 83(b) form, instructions on how to file it with the IRS, and an email notification that includes issuance date and days left to file.

Why is it valuable?

Individuals filing an 83(b) election may potentially reduce their tax obligations by choosing to pay taxes on the fair market value (FMV) of their securities at the time of granting rather than after vesting.

How does it work?

83(b) for founders is available in all Carta plans. This feature will be automatically available for all founders that have accepted founder stock within the last 30 days.

  1. After accepting a stock certificate in Carta, Carta will automatically generate an email notification and 83(b) form.

  2. To view the 83(b) form, log-in to your Carta account, open the applicable certificate, and click the 83(b)elections tab

  3. Provide additional information, including your social security number and address. You can also choose to manually enter a different fair market value (FMV).

  4. When completed, you can download, print, and make additional edits.

  5.  Before mailing to the IRS, sign and date. Make sure to upload a signed copy of the form and add the date mailed on Carta. This makes it easy for you to remember and access a record of this filing - conveniently saved in your Carta account.

How do I learn more or get help?

To learn more about 83(b) for founders, check out this support article or reach out to your Account Manager for a demo.

Shubhi Nigam

3 years ago7/5/2023

Quarterly Financial Packages

What's new?

We’re delivering quarterly financial packages early.

What’s valuable about this change?

Starting today, July 5th, select customers will receive draft financial packages just after quarter-end. This is made possible by the fully integrated Carta General Ledger, which keeps your information up-to-date with every transaction, and an extensive list of data controls in our technology.

With your packages ready for review earlier, you unlock more time to focus on the things that matter, whether that be sourcing your next deal or fundraising for your next close.

What do I need to do?

If you’d like to be included in this pilot program, please reach out to your Account Manager.

How do I learn more or get help?

If you receive a draft financial package, please review it and approve it or request changes to your Fund Admin team directly in Carta.

EJ Jacoby

3 years ago7/5/2023

New Bands page experience

What’s new?

We’ve redesigned the Bands page to make it easier to search for and view the compensation benchmarks you need. The new user experience is active for all Carta Total Compensation customers and can be accessed here.

There are 3 main changes:

1. Role and location filters can now be found at the top of the page, rather than along the left-side of the page.

2. You can view benchmarks for different compensation categories using the new buttons on the top of the page.

The new “All data” view allows you to see salary, total cash, and equity benchmarks all at the same time. Once selected, you can choose the exact benchmarks that you’d like to see side-by-side.

3. Our visualization is now hidden by default to help you get to the data you need quickly. However, you can always view it by clicking the “Show visualization” button above the benchmarks table.

What’s next?

We’ll be adding export functionality to the Bands page to allow customers to download Carta Total Compensation data as a spreadsheet.

Questions?

If you have any questions about the new look of the Bands page please reach out to your Customer Success Manager.

3 years ago6/27/2023

Automate ASC 718 stock-based compensation reporting for profits interests

What's new?

You can now pull automated expense and disclosure reports for profits interests with vesting schedules that include time-based conditions and event-based performance conditions.

What's important or valuable about this change?

ASC 718 reporting involves expensing each equity grant on your company’s income statements, which are subject to audits. With Carta, you can now simplify expense reporting for profits interests:

What do I need to do?

ASC 718 financial reporting is available as an add-on to your current Carta subscription. Please reach out to your CSM to learn more and request a demo.

If you currently have ASC 718 financial reporting enabled on your Carta account, navigate to the Financial reporting tab to generate your reports.

  1. Manage any exclusions (to control which interests are included in financial reports) and provide the ASC 718 fair value for each interest. Once you define these reporting parameters, they're saved so you can pull consistent reports every time.

  2. Input the report start and end dates to run the report.

  3. Download the expense and disclosure reports.

How do I learn more or get help?

If you need help with your Carta-generated financial reports, contact our dedicated ASC 718 support team.

If you’re interested in automating ASC 718 financial reporting with Carta, please reach out to your CSM to learn more and request a demo.

Zeba Naqvi

3 years ago6/27/2023

Gain visibility into preferred returns

What's new?

We’ve made updates to the Interest Summary to provide Admins and interest holders more visibility into preferred returns.

What's important or valuable about this change?

You can now easily see the total accrued value for each interest based on the compounding period and accrual rate. The new preferred returns section provides visibility into the:

What do I need to do?

Navigate to the Interest Details page for an interest and find the Preferred Return section at the bottom of the Interest Summary tab. Note that the interest type must be enabled with “preferred returns” for this section to appear in the interest details summary. Contact your CSM for more information.

How do I learn more or get help?

For more information, visit our support site.

Zeba Naqvi

3 years ago6/23/2023

Tax Jurisdiction Model: Local Jurisdiction Withholding Improvements

What’s new?

Legal Administrators can now group multiple cities under a single local jurisdiction for tax withholding purposes.

Why is this an improvement?

Issuers now have greater flexibility in capturing jurisdictions where their participants pay taxes, particularly for county-level taxes or jurisdictions that are not specific to countries, states/provinces, or cities.

How does it work?

Navigate to Carta’s Tax jurisdiction and rates table by following Compliance & Tax -Tax Rules-Tax jurisdictions and rates.

Add a jurisdiction below the state or province level and select Multi-Regional Tax Jurisdiction. Enter all of the cities that belong to that jurisdiction.

The jurisdiction is then displayed as Multi-Regional. Any tax rate or rule set for the jurisdiction will apply to all stakeholders with tax addresses containing any of its included cities and will be used to calculate tax withholding for applicable transactions.

Bryan Wells

3 years ago6/21/2023

Real-time Carta portco share price updates

What's new?

Get real-time updates when your portfolio companies on Carta raise a new round.

What's important or valuable about this change?

Now, all Fund Administration clients get automatic notifications when their investments on Carta add a new share class to the cap table with filed Articles of Incorporation. We'll also include the original issue price of the new share class – helping you maintain the latest information on your investments.

What do I need to do?

You will receive an email when your portco adds a new share class with a new price-per-share from the original issue price on the Articles of Incorporation. A task will also appear in your Activity tab. There, you can view the new price-per-share, its impact on your fund metrics like IRR and gross multiple, and update your SOI in a few steps.

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How do I learn more or get help?

Visit this support article for a detailed FAQ. Have more questions? Your Fund Admin team is here to help.

Alex Legault

3 years ago6/21/2023

Separate reports for Fair Market Value (FMV) and Financial Reporting Value (FRV)

What's new?

Beginning on June 21, customers with both Carta 409A and Financial Reporting in their subscription will begin receiving two separate, audit-defensible reports: one with the Fair Market Value (FMV) used for tax purposes, and one with the Financial Reporting Value (FRV) used for accounting purposes.

Delivering these reports separately will more closely align with a changing regulatory environment in which tax guidelines under 409A and accounting standards under ASC 718 diverge.

Historically, Carta has only delivered a single report that values our customers' common stock under section 409A of the tax code. This singular report would double as a valuation used for both tax and accounting purposes, which introduced challenges for customers going through audits - companies are incentivized to keep their FMV low to keep options attractive for employees, while auditors may push companies to increase the Fair Value of stock when calculating stock-based compensation expense.

Disambiguating these two concepts allows our customers to work more flexibly with their auditors while still keeping options and other equity awards attractive as incentives for hiring and retaining talent.

What do I need to do?

If you're a customer with both Carta 409A and Financial Reporting in your subscription, you'll receive two reports the next time you request a 409A valuation from Carta: one with the Fair Market Value (FMV), and one with the Financial Reporting Value (FRV).

The FMV can be used as normal: pricing options, helping employees estimate their tax burden when exercising, Form 3921 filings, etc. The FRV can be used in Carta's Financial Reporting product to calculate the expense associated with stock-based compensation. Customers can work with their auditors to either directly use the provided FRV or adjust it from within Carta's Financial Reporting product as necessary.

For customers with access to both Carta 409A and Financial Reporting in your subscription, you’ll see an additional card for FRV at the top of the Valuations homepage in Carta (Compliance & Tax > 409A Valuations) once you receive and accept a new valuation report from Carta:

You'll also see an extra column in the table at the bottom of the Valuations homepage which shows historical FRVs side-by-side with historical FMVs:

And in Financial Reporting, you'll also see text changes when configuring a scenario:

How do I learn more or get help?

We've created a few help articles with detailed information about FRV and how this value differs from FMV and appears in Carta:

If you've received your FRV report and have further questions, feel free to reach out to val-operations@carta.com - we'd be happy to help.

Stephanie Wittrock

3 years ago6/14/2023

Book a Tax Advisory Session on the Carta iOS app

What’s New

Employees who have access to Carta Tax Advisory through their employer can now book 1-1 sessions with a Carta Equity Tax Advisor directly on the Carta iOS mobile app.

This release allows employees to select a session, book a time, and join their session all directly in the Carta app.

What do I need to do?

Employees with access to Tax Advisory will see this feature on the home screen of their portfolio in the iOS app. To download the Carta visit the Apple App Store.

Have questions? Contact product@carta.com.

Jordan Agnew

3 years ago6/5/2023

Carta Total Compensation downloadable reports

What’s new?

Customers can now download reports directly from the company Scorecard page to gain additional insights into their compensation programs. There are 3 reports available to download:

What do I need to do?

You can download your Reports from the top of the Scorecard page.

What’s next?

These reports are currently in beta, so we’d love to hear your feedback as we continue to test and improve them.

After you download a report you can provide feedback directly in Carta Total Compensation. Your feedback will help us improve future versions of these and other reports on our roadmap.

We’ll be releasing other reports over the next couple of months. If there are specific reports that you’d like to see in Carta Total Compensation or have any questions, please reach out to your Customer Success Manager.

3 years ago6/2/2023

Improved Activity Tab

What's new?

We’ve enhanced the Activity tab in our GP Portal so Carta fund managers can do even more from one place.

What’s important or valuable about this change?

We’ve expanded the requests fund managers can submit in their Activity tab to include the ability to make a new investment, add a subsequent close, and transfer holdings to a new LP.

Once submitted, they can track the status of that request and receive detailed notifications to update them of any status changes.

Additionally, fund managers can now message their fund admin directly from the Activity tab, consolidating and organizing all Carta communication outside of their inbox.

What do I need to do?

Navigate to the Activity tab.

You can now submit additional requests through the Quick Actions bar. If you do not see a request, please use the General Inquiry button to submit any request to your fund admin.

Once a request is in progress, we’ve added additional email and in-app notifications so you stay up-to-date on the progress of your fund’s tasks. These include missing information and action required so you know exactly what’s needed from you to complete a request.

We will be making further improvements to the Activity tab over the coming weeks including the ability to schedule a call with your fund admin.

How do I learn more or get help?

To learn more about our improved Activity Tab, check out this support article or reach out to your Account Manager for a demo today.

Melissa VanDerHeyden

3 years ago6/1/2023

Introducing Carta's New Navigation Experience for Companies

We’ve made some improvements

Beginning in May 2023, we are launching a new navigation experience - making it easier than ever to navigate your cap table, create and issue new securities, and manage relations with your stakeholders.

We are testing this experience with a select list of companies. Companies in this test will now navigate Carta’s equity management platform from the left-hand side. We are using this test to iterate on any improvements that need to be made and hope to roll out to 100% of new and existing companies by Summer 2023.

The new menu can also be collapsed for an optimized viewing experience by clicking the menu icon to the right of the Filter text box once you’ve landed in the right spot.

Finding what you need just got easier

The new navigation will make it easier for you to find what you’re looking for and complete critical tasks, with menu categories that are more intuitive and organized according to the type of task that needs to be completed within Carta.
Menu category What you will find there
Filter Menu Narrow down your menu options to quickly find what you’re looking for
Dashboard View your company data and explore insights
Essentials Most frequently accessed pages, in one click
Cap Table View and understand your cap table
Securities Issue and view securities
Stakeholders Manage stakeholder information
Fundraising Raise money for your company
Compliance & Tax Ensure your cap table is compliant
Documents Manage documents and communications with stakeholders
Settings Configure your company’s settings
More Explore additional Carta cap table products such as Carta Total Compensation and Tax Advisory

Terminology that just makes sense

We have also updated some of the terminology that appears throughout the Carta platform to clarify specific tasks and workflows. The changes that we’ve made are outlined in the table below.
New Old Where do I find it?
Dashboard Company summary page Dashboard
View cap table View by share class Essentials
*Note that this page will still be labeled View by share class under the Cap Table menu
Manage stakeholders All stakeholders Essentials 
Stakeholders
Draft certificates Certificate Essentials
Draft options grants Option grant Essentials
Run reports Reporting Essentials 
Cap Table
Cap Table Capitalization Cap Table
Review cap table health Account health checks Cap Table
Cap table access Shareholder experience Cap Table
Review exercises Exercises Securities
Securities templates Templates Securities
Run scenario models Scenario modeling Fundraising
Compliance & Tax Compliance and Tax (separate menu items) Compliance & Tax
Rule 701 Disclosures Disclosures Compliance & Tax
Tax Rules Withholding configuration Compliance & Tax
Company documents Library Documents
Board activity Board notifications Documents
Company financials Financials Documents
Settings Company settings Settings
Total Compensation Total comp More

FAQs

Why is Carta making this change?

Carta offers a wide range of products and services, and users sometimes get  lost as they look through menu items in an effort to find the workflow or platform page they need to access. We understand that time is money, and the less time you spend locating the resources you need frees up more time for you to spend growing and managing your company. The new left-side menu enables users to have an immediate comprehensive view of Carta’s functionality with clearer verbiage, menu filtering, and collapsible dropdowns.

Can I revert back to the old navigation experience?

No. Our research has shown that our new navigation menu is not only more intuitive for users, but also faster. Beginning in May 2023, Carta is fully migrating away from the top navigation menu. We plan to be rolled out to 100% of companies by July 2023.

How do I use the new navigation experience to find what I’m looking for?

The new navigation experience includes a filter to assist you in finding what you’re looking for. The menu will responsively pare down as characters are entered in the text box.

Additionally, left-side navigation enables you to expand and collapse multiple dropdowns at the same time, allowing for a more comprehensive overview of Carta’s functionality at a glance.

Did Carta remove any features?

No. While the new menu may look more compact than in our current experience, all of the features that you have come to rely on are included in the new navigation. The goal of this initiative is not to change the functionality of Carta’s cap table, but rather, to make that functionality easier for you to find.

Alana Lindall

3 years ago5/25/2023

Quarterly benchmark refresh, total cash compensation for all roles, updated US geographic differentials, and 90th percentile data

May 25, 2023 Benchmarks

What’s new?

Market Trends

Salary and total cash compensation benchmarks have fallen slightly (approximately 1% overall) since last quarter, reflecting a continued down market for startup talent. We’re observing that new hire salaries across many roles are closer to or below our previous benchmarks, causing many salary benchmarks to decrease. On a role-by-role basis, we’re seeing a bit more volatility in this quarter’s data as compared to the last six months. As in previous updates, specialization-level data continues to be more volatile than the broader sample, as sample sizes for these roles are smaller than job area level data.

Equity benchmarks have decreased approximately 9%, less than last quarter’s 15%. Lower benchmarks cut across most roles and levels, though executive equity grants dropped slightly less, and even increased in some cases.

Looking across updated geographic differential data, most metro areas that moved closer to San Francisco pay levels have maintained their differentials compared to last year. This year, we see more cities outside of traditional tech hubs also moving closer to San Francisco pay levels (in particular metro areas across North Carolina and Florida)

What were the largest areas of movement from these benchmarks?

Salary - Sales, Research, and Strategy roles saw the largest increases, approximately 1-5% versus last quarter. Marketing, Administration, and Project Management roles saw the largest decreases ranging from 5-6%. The decreases for Marketing and Administration are driven by corrections that we have made for how certain roles are being categorized within these job areas. Information Technology also saw a larger decrease, largely due to the small sample size for this job area.

Equity - Support, Human Resources, and Strategy roles saw the largest decreases. Decreases in Product, Finance, and Operations were less pronounced than the overall sample

How do I update my plan to use the new benchmarks version?

You can update your compensation plan to use the latest benchmark versions either by:

Visiting the Plan page and clicking on the "Update available" link in the Active Plan window.

Navigating to the Bands page and clicking on the "Update" bubble in the top left.

You will have the opportunity to preview the new plan with the updated benchmarks version and assess their impact on your Scorecard before accepting the new plan.

What’s next?

Carta Total Compensation is developing benchmarks for new specializations.

3 years ago5/5/2023

Stakeholder 1099-B Status Tool

What’s new?

Stakeholders that have sold through Carta Inc.’s tender offer feature or Carta Inc.’s public markets product can now view the delivery status of their 1099-B tax document. This new feature allows sellers to determine that their 1099-B for a particular selling year:

How does this improve the stakeholder’s experience?

1099-B forms capture the capital gains reported to the IRS for sales done on Carta. Sellers use the information on their form 1099-Bs to file their taxes.

Not all sales done on Carta Inc.’s tender offer tool or Carta Inc.’s public markets product are reported on 1099-Bs. Prior to the release of this product, stakeholders have reported challenges in determining why they did not receive a 1099-B for a calendar year. This tool allows stakeholders to determine the status of their 1099-B quickly and clearly.

1099-Bs might not be provided for several reasons:

How does it work?

The stakeholder navigates to account:tax documents where all 1099-B documents are stored, and clicks on the “Missing a Form 1099-B” link:

From here, the participant can select the tax year and check the status on that year’s 1099-B:

The tool will indicate that either the 1099-B has already been distributed, or will give the reason that the stakeholder has not received a 1099-B for that year.

Bryan Wells

3 years ago5/4/2023

Automated Preferred Return

What's new?

Carta now supports automated preferred return waterfalls.

What’s valuable about this change?

If you have a preferred return hurdle, your Fund Admin team will automate and review waterfalls directly in the Carta app. These improvements enable us to process more complex calculations in real-time, resulting in faster book closures, more secure data entry and the ability to view fund metrics in the app as they happen.

What do I need to do?

No action is needed. Your teams will start to calculate this performance hurdle online immediately.

How do I learn more or get help?

Reach out to your account manager or talk to one of our representatives today.

3 years ago5/2/2023

LP Wire Instruction Confirmation

What's new?

You can now send a confirmation request to your LPs directly from Carta, allowing them to easily add or confirm their wire instructions prior to a distribution.

What’s important about this change?

We’ve made it easier to confirm the accuracy of LPs' wire instructions.

Prior to a distribution, you can now send a request to an individual LP, a group of LPs, or all LPs in the distribution to update or confirm their wire instructions.

Once the request is sent, your LP will receive an email from Carta prompting them to update or confirm their wire instructions in their LP Portal.

Once updated or confirmed, you will see a new status of Confirmed next to the LP’s name in the Wire Instructions Status column in your Partners tab as well as a complete Audit Trail of who added and confirmed the LPs wire instructions.

What do I need to do?

After submitting a distribution request in Carta, click Request Wire Instructions. You can also initiate this request at any time by using the Request Wire Instructions button on the Partners page.

Select the individual investors or group of investors you’d like to send a request to. Set a deadline and optionally customize the email message your LPs will receive. Review the contacts that will receive the notification and then click Send.

Your investors will receive an email asking them to add or confirm their wire instructions are current. After clicking Review wire instructions, they’ll be directed to their LP Portal where they can easily add or update in a few clicks.

You’ll now see an updated status in your Partners tab of Confirmed or Pending (awaiting confirmation from your LP) with the date of confirmation or the date the request was sent. Giving you increased visibility into how current your LPs wire instructions are.

How do I learn more?

For more information on the GP side of this feature, please check out our step-by-step guide. For LPs, click here.

To learn more about how Carta ensures the accuracy of your investors' wire instructions, check out our Audit Trail feature or reach out to your Carta representative to learn more today.

Spencer Holton

3 years ago5/1/2023

Faster ACH Processing Times for Money Moved on Carta

Starting today, we are launching a new feature that will reduce the ACH transaction processing time for money movements on Carta by 33%. Previously, most ACH transfers took 6-7 business days to complete. We have made a few infrastructure changes to reduce transfer times by up to 2 business days.

Who is this for?

This change will impact all private and public corporations who move money directly on Carta, as well as holders of securities from these firms. LLCs will not be impacted by this change.

How long will my transfers take?

There is a slight variation in how long ACH transfers will take depending on what type of transaction the company or holder is making. The estimated processing times for the following transactions are below:

I am a company administrator. How do I approve exercise requests in Carta?

Company administrators with the Option exercise approver role are able to individually review the submitted online option exercise requests and historical option exercises from the Transactions > Exercises page on Carta. For detailed instructions, you can check out this support article.

I am a company administrator. How do I track early exercise requests and 83(b) elections?

Use the Filter function to select Yes for Early exercise to track 83(b) elections from the option holders. The ledger will display a filing status that depends on when the option holder originally submitted the early exercise request and whether or not the option holder explicitly chose to file an 83(b) election. Learn more about the 83(b) election.

I hold options in a company that uses Carta to manage its equity. How do I exercise options on Carta via ACH?

Exercising options into shares on Carta via ACH is available to US-based option holders of US private companies exercising ISOs, NSOs, or ISO/NSO split option grants. You can review detailed instructions in this support article.

Alana Lindall

3 years ago5/1/2023

Cap Table Access Settings to Set Rule-Based Permissions For All Stakeholders

We are making it easier for companies to keep employees, investors, and other stakeholders informed about their holdings and company changes.

What are we launching?

With our new Cap Table Access page, company administrators can designate what type of information they want to share with their different stakeholders and set rules based on these preferences. By setting permissions by rules instead of a stakeholder-by-stakeholder process, we make it easier for company administrators to get the right stakeholders the appropriate information and reflect their information-sharing philosophy.

Who is this available for?

We are making this available to all companies on Carta as of April 2023.

Why are we launching this?

Companies have historically been able to grant viewing permissions to their stakeholders via our Cap Table Sharing page and features. This experience, however, was burdensome for many company administrators who found themselves having to change sharing settings as new stakeholders were added to their cap table or existing stakeholders changed their relationship to the company, such as an employee leaving the company or an investor exiting their position.

Where do I find my Cap Table Access Settings?

To update your Cap Table Access settings, navigate to Stakeholders > Cap Table Acce ss.

How does it work?

Companies can choose to enable a group of stakeholders with a specific level of access based on their relationship with the company. For example, companies can choose what information founders, investors, employees, former employees, and other stakeholders access on Carta. We’ve renamed, updated, and simplified our access levels to Restricted, Basic, Advanced, and Full Details. We include a “Recommended” level for different relationships (e.g. Investors = Advanced) to help guide founders and other company administrators on setting up their Cap Table Access settings based on user feedback.

We’ve also added a new rule where former stakeholders--those who no longer have an active investment or holding in the company--will be downgraded to Restricted automatically. This means that as stakeholders enter and exit the cap table, their respective levels of cap table access will update automatically.

New Cap Table Access page: Group levels

We know that sometimes it’s important for company administrators to create experiences specific to a single stakeholder or user. The new Cap Table Access feature allows companies to set overrides for specific stakeholders in the “Individual levels” tab. We also provide information on that stakeholder’s relationship and holdings information.

New Cap Table Access page: Individual levels

Edit an Individual's Cap Table Access Settings

To help ensure company administrators set access levels that best fit the needs of their stakeholders, our access level guide is clickable from either the Group Level or Individual Level views of the new Cap Table Access page.

View the Access level guide

We appreciate our users’ feedback on how to make this page clearer and easier to use. We hope these improvements save company administrators valuable time and help them mirror their company information-sharing philosophy in our software.

Alana Lindall

3 years ago5/1/2023

Videos recommended by your Carta Equity Tax Advisor

What’s new?

Employees will now see videos from our 'Learn' library in their Session recap. The videos shown are recommended by their Carta Equity Tax Advisor, based on the conversation in their 1-1 session.

What do I need to do?

You can access the new feature by navigating to your Session recap either through email or directly on the 'Tax Advice' page in your portfolio.

Have questions? Contact product@carta.com.

Jordan Agnew

3 years ago4/28/2023

Terminating Multiple Stakeholders on Carta

Starting today, we are launching a new feature to make it easier for companies to manage their stakeholders on Carta. Companies with an HRIS integration can terminate up to 25 stakeholders at a time. We are also making the process for performing terminations simpler by removing steps needed to complete this action. This feature is rolling out to select companies today and will be available to all company admins that have set up an HRIS integration on Carta by May 11, 2023.

Who is this for?

Companies on Carta that have an HRIS integration. If your company does not currently have an HRIS integration set up, you can do so by navigating to your Settings -> Integrations.

How does it work?

Companies should take the following steps to terminate 1-25 stakeholders at once:

How is this different from the current experience?

The current experience allowed for single employee terminations only. Each termination required the company admin to access multiple pages and take multiple steps.

I do not have an HRIS integration. How do I get access to this feature?

The best way to access this feature is to add an HRIS integration to your account. Carta supports over 100 HRIS providers. Connecting Carta to your HRIS will help you reduce time spent manually inputting data and ensure data accuracy as your stakeholder information changes over time. You can read more about how to connect your HRIS here.

I did a bulk termination incorrectly and I need to undo it. Can I reverse these terminations in bulk?

Not at this time. You will need to reverse each termination individually. You can review the instructions in detail in this support article.

Where do I go to learn more?

You can review detailed instructions in this support article or reach out to Carta support to learn more.

Alana Lindall

3 years ago4/27/2023

New specializations for Design, Product, and Marketing

What’s new?

We’re excited to announce the release of three new specializations:

No other benchmarks have changed in this update.

How do I see benchmarks for the additional specializations?

You can view benchmarks for the new specializations by:

  1. Visiting the Bands page and selecting “Design”, “Product”, or “Marketing” under Area. Once the job area is selected, you can select either the Art & Graphic Design, Product Management, or the Social Media specialization by selecting the Specialization dropdown.

  1. This will allow you to view salary/equity bands for levels 1 - 8 for Art & Graphic Design or Product Management. For Social Media, data are available for levels 1-6.

  2. The above process can be followed for each of the new specializations.

How do benchmarks for the additional specializations affect the Employee Scorecard?

The compa-ratio is a quick way to compare an employee's compensation to your plan's target rate for a given job area, level, and location. The compa-ratios for an employee assigned to the Art & Graphic Design, Product Management, and Social Media specializations will now be calculated using the target compensation for the specialization, not the job area.

How do I update my benchmark version to use new specializations?

You can update your compensation plan to use the latest benchmark versions either by:

  1. Visiting the Plan page and clicking on the "Update available" link in the Active Plan window.

  2. Navigating to the Bands page and clicking on the "Update" bubble in the top left.

What’s next?

The Carta Total Compensation team is working on our Q2 benchmark refresh for all job areas and specializations

3 years ago4/25/2023

Bulk download documents from the Documents Library

What's new?

You can now bulk download a large volume of documents from the Documents Library.

What's important or valuable about this change?

Admin users can download as many documents as they need to in one go from the Documents Library. This helps speed up tasks around tax season, such as downloading all the Form K-1s.

What do I need to do?

Select the documents you need to download, and click Actions → Download documents.

The zip file will be available for you to download in the Downloads section at the top right.

How do I learn more or get help?

For more information about the Documents Library and distributing K-1s, visit our support site.

Des Duggan

3 years ago4/25/2023

New fast-fill feature for transactions

What's new?

A new fast-fill feature is available when processing a large volume of terminations.

What's important or valuable about this change?

When making changes to a large volume of interests, the fast-fill feature lets you make them to multiple interests altogether instead of one by one.

This helps you get through cap table update tasks, such as bulk termination of interests, more efficiently.

What do I need to do?

The fast-fill feature is available in the interest termination workflow today and will be available for more workflows soon. Click the lightning bolt button to the top left of the interests you’re terminating to fast-fill the termination reason and date.

When you click on Fill column, you can choose to fill empty fields only or all fields, which provides you the flexibility to customize the termination reason and date for certain interests first and then fill in the rest with the same reason and date.

How do I learn more or get help?

For more information about terminating interests, visit our support site.

Des Duggan

3 years ago4/25/2023

Convert notes and SAFEs in Carta

What's new?

Admins can now convert notes and SAFEs into other types of interests in Carta.

What's important or valuable about this change?

Convertibles like notes and SAFEs are used by companies to raise money when they’re starting out. You can keep track of convertibles in Carta and when certain thresholds are met, convert them into actual equity.

With our latest features, you can convert notes and SAFEs into other types of interests, issue these interests to investors, and automatically update your cap table.

What do I need to do?

To get started, select the notes and SAFEs you want to convert from the interest ledger, click Actions, and Convert Interests.

You’ll need to have the following information available:

In a few steps, you’ll provide the conversion event details, the quantities to convert, and confirmation of the conversion.

How do I learn more or get help?

For more information, visit our support site.

Des Duggan