Carta offers an all-in-one equity management platform for startups. This California-based fin-tech makes managing equity within startups simple. As many startups are initially held by private individuals, it can be difficult for shareholders to allocate or offload shares transparently. Carta is a transfer agent for private companies that enables seed-stage to pre-IPO companies to manage equity electronically with the participation of their shareholders, employees, auditors, and legal counsel. It digitizes paper stock certificates along with stock options, warrants, and derivatives to create a real-time image of who owns what at a startup.
The firm has a host of high-profile backers and investors, including Goldman Sachs, Draper VC, and k9 Ventures, one of the original investors in ridesharing app Lyft. In early 2021 Carta announced a new service, CartaX. A trading platform and funding avenue with regulatory and compliance procedures built-in.
Carta's goal is to create the first 'private stock market for companies.' Other players have recently been making waves, most notably Caplight and Forge, both of which offer shares in private and pre-IPO companies. Now well established as the destination for startups, Carta is on track to maintain a controlling position in this previously untapped industry.
Steph
Company Specialist at Welcome to the Jungle