---
author: "Cake"
published: 2026-04-28T04:38:30.314Z
updated: 2026-09-07T00:32:28.362Z
---

# Share Class Conversion

Convert shares from one class to another — commonly used when preferred shares convert to common during a funding round or exit.

Convert shares from one class to another, commonly used when preferred shares convert to common shares during a funding round, exit, or company restructure.

## Convert shares

1. Go to **Cap Table** and select the **Outstanding shares** tab.

2. Click **Actions** in the top right corner.

3. Select **Convert** from the dropdown.

4. Complete the conversion details:

   * **Shareholder:** Select the shareholder whose shares you're converting

   * **Share type (from):** The class being converted away from

   * **Share type (to):** The class being converted into

   * **Date of conversion:** When the conversion takes effect

   * **Number of shares:** How many shares to convert

   * **Split factor:** The conversion ratio (enter **1** for a 1:1 conversion)

5. Click **Convert** to complete the transaction.

## What happens next

The converted shares appear in your cap table immediately. The shareholder's holding in the original class is reduced and their new class holding is created (or increased if they already hold shares in that class). The transaction is recorded in **Cap Table → Transaction logs**.

Conversion affects the share count only, price per share in the new class is not automatically calculated. Update the share class details separately if needed.

## Related articles

* [Add a New Share Class](https://help.cakeequity.com/article/add-a-new-share-class)
* [Edit or Delete Share Classes](https://help.cakeequity.com/article/edit-or-delete-share-classes)
* [Add Shareholders and Issue Shares](https://help.cakeequity.com/article/add-shareholders-and-issue-shares)