An option pool is a set-aside of common stock reserved for grants to employees, advisors, and directors as part of compensation. Pools are typically created or topped-up before each priced round, usually pre-money - meaning founders bear the dilution. Pools are often sized at 10 to 20 percent of fully diluted shares, based on a hiring plan for the next 18 to 24 months. Options are granted at fair market value, usually supported by a 409A valuation in the US. Unused pool shares can be reduced in a later round, so a realistic hiring plan helps limit founder dilution.

Why it matters

Typical seed/Series A pools are 10–15% post-financing. MedTech companies with longer development timelines often need larger pools to retain talent through clinical and regulatory milestones.

Common pitfalls

•Letting an investor demand a 20% pool top-up pre-money without negotiating it down based on actual hiring plan.

Sources

Carta: option pool · Carta
NVCA Model Documents · NVCA
Silicon Valley Bank - Healthcare Reports · SVB
SEC Rule 701: employee equity compensation (regulatory context) · SEC

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Why compare MedTech terms side by side?

MedTech terminology is full of pairs that look interchangeable but carry very different regulatory, clinical, and commercial consequences. Picking the wrong framework, pathway, or standard early in a project can add months to a submission, invalidate clinical evidence, or trigger an audit finding. Side-by-side comparison is the fastest way to surface those differences before they become costly mistakes.

Each comparison on this page pulls from the same vendor-neutral, sourced definitions used throughout the MedTech Terms glossary. You see the one-line summary, the formal definition, why it matters in practice, common pitfalls, and the primary sources (FDA guidance, EU MDR/IVDR articles, ISO/IEC standards, MDCG documents, IMDRF principles) that back each entry. That makes the comparison defensible in regulatory strategy memos, design reviews, and submission narratives.

Common comparison patterns

Regulatory pathway choice - 510(k) vs PMA, 510(k) vs De Novo, Abbreviated vs Special 510(k).
Quality systems - QSR vs ISO 13485, QMSR vs QSR.
Software classification - SaMD vs SiMD, Locked vs adaptive AI.
EU frameworks - MDR vs IVDR, CE Mark vs UKCA.
Cybersecurity artifacts - SPDX vs CycloneDX SBOM, CVE vs CVSS.
Post-market actions - Recall vs field action, Removal vs correction.

How to use this tool

Pick term A and term B from the dropdowns, or click a preset above. The URL updates with both slugs so you can bookmark or share the exact comparison with a colleague, a notified body reviewer, or your regulatory consultant. Click Open full page on either side for the complete entry, including FAQs, related terms, and the full citation list. If you are not sure which term to start with, browse the Categories view or the A-Z index.

MedTech Terms is a vendor-neutral community resource sponsored by Blue Goat Cyber. Definitions are written for educational use and are not legal or regulatory advice.