advertisement
advertisement

This $1.7 billion business helps private company employees manage their stock and options even before an IPO

Carta, one of Fast Company’s most innovative companies of 2020, is providing greater transparency at more than 11,000 private companies.

This $1.7 billion business helps private company employees manage their stock and options even before an IPO
[Photo: agoss/Pixabay]
THE WORLD’S 50 MOST INNOVATIVE COMPANIES
37 Carta

In the murky world of private-market ownership, startup employees sign up for hard work and a shot at IPO glory but often wind up empty-handed (just ask anyone who took a chance on a former rocketship). Why can’t large private companies share the wealth and behave more like public ones? Enter Carta. Founded in 2012 and today valued at $1.7 billion, it helps more than 13,000 private companies manage their cap tables—records of the securities a company has issued, who owns them, and how much they’re worth—providing rank-and-file employees transparency and leverage in a system historically prone to abuse. In early 2019, it launched scenario-modeling tools to assist investors and companies seeking to optimize exits. (Carta offers its own employees liquidity events—a chance to cash out—every 12 to 18 months.) “The wave of the future,” says Carta chief people officer Nolan Church, “is private.”

advertisement
advertisement
advertisement

About the author

Senior Writer Ainsley Harris joined Fast Company in 2014. Follow her on Twitter at @ainsleyoc.

More