The system needs to know which codes are valid. In a simple script, this is often a Dictionary or Key-Value Pair data structure.
This is the heart of the script. It applies the facility’s pricing formula. Common formulas include:
Example Python snippet:
def calc_redemption_price(shares, book_value_per_share, minority_discount=0.05):
gross = shares * book_value_per_share
discount = gross * minority_discount
return gross - discount
A Simple Facility of Redemption Script reduces this process to three steps:
The result? Speed, accuracy, and audit trails. Simple Facility Of Redemption Script
Imagine your company has 50 shareholders, each holding shares with different vesting schedules, preference stacks, and redemption rights. A shareholder triggers the redemption clause.
Manually, you must:
Doing this for one shareholder takes hours. Doing it for ten invites errors.
Preferred shareholders often have redemption priority over common. Your script must sort redemptions by liquidation preference before calculating payment amounts. The system needs to know which codes are valid