Startup Dilution Benchmarks 2026
Consolidated benchmark data from Carta, Rebel Fund, SaaStr, and PitchBook. Use these numbers as context for your fundraise, not as targets.
Last verified April 2026
Dilution Benchmarks by Round Stage
| Stage | Median Dilution | 25th Pctl | 75th Pctl | Median Raise | Median Pre-Money | Founder % After |
|---|---|---|---|---|---|---|
| Pre-Seed | 8.0% | 5.0% | 12.0% | $200K | $2.5M | ~90% |
| Seed | 13.8% | 10.0% | 18.0% | $1.5M | $8M | 72-80% |
| Series A | 17.9% | 14.0% | 23.0% | $8M | $30M | 48-60% |
| Series B | 15.2% | 10.0% | 20.0% | $25M | $100M | 36-45% |
| Series C | 11.8% | 8.0% | 15.0% | $60M | $350M | 28-38% |
Sources: Carta Q1 2025 / Annual 2025 reports, Rebel Fund 2025 seed benchmarks. Founder % includes option pool dilution.
How to Use These Benchmarks
Context, Not Targets
Benchmarks tell you what is normal, not what you should aim for. Your dilution depends on your leverage, your market, and your specific metrics. A founder with multiple competing term sheets can negotiate below-median dilution. A founder with limited options may accept above-median terms.
Negotiation Tool
If an investor's terms would give them 28% at Series A, you can point out that the median is 17.9%. This does not guarantee better terms, but it frames the conversation around market norms rather than arbitrary numbers.
Reality Check
If your model shows 5% dilution at Series A, something is probably wrong with your assumptions. If it shows 40%, you should reconsider whether the terms are reasonable or whether there are alternatives.
Year-over-Year Trends
2020-2021 (ZIRP Era)
Ultra-low interest rates and excess capital drove valuations to historic highs. Series A median dilution dropped below 15% as founders had extreme leverage. Multiple term sheets were common. Valuations were 2-3x what they would be in normal conditions.
2022-2023 (Correction)
Rising interest rates triggered a sharp correction. Valuations dropped 30-50% in many sectors. Dilution increased as founders lost leverage. Down rounds became common for companies that raised at 2021 valuations. The gap between "hot" and "cold" sectors widened dramatically.
2024-2025 (Normalisation)
The market found a new equilibrium. Valuations settled at levels between the 2021 highs and 2023 lows. Dilution returned to historical norms. AI companies continued commanding premium valuations while other sectors saw standard pricing.
2026 (Current)
The market is stable with slight upward pressure on valuations in AI, climate, and defense sectors. Seed dilution is trending slightly lower as more capital enters early-stage. Series A and B dilution remains near historical medians.
Dilution by Sector
AI / Machine Learning
Higher valuations, lower dilution per round. Series A at 2-3x typical SaaS valuations. Highly competitive investor interest drives founder-friendly terms.
SaaS
Median dilution across all stages. Well-understood economics (ARR multiples) make valuation predictable. The benchmark data is most representative for SaaS companies.
Consumer
Higher dilution, lower valuations. Consumer metrics (DAU, engagement) are harder to value. Investors demand more ownership to compensate for higher failure rates.
Biotech / Deep Tech
Highly variable. Milestone-based valuations can lead to lower early dilution but much larger later rounds. Regulatory and technical risk creates wide outcome distributions.
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