diff --git a/go.mod b/go.mod
index 2708e71..43c2589 100644
--- a/go.mod
+++ b/go.mod
@@ -229,6 +229,7 @@ require (
 	github.com/schollz/progressbar/v3 v3.18.0 // indirect
 	github.com/securego/gosec/v2 v2.22.11 // indirect
 	github.com/shirou/gopsutil v3.21.4-0.20210419000835-c7a38de76ee5+incompatible // indirect
+	github.com/shopspring/decimal v1.4.0 // indirect
 	github.com/sirupsen/logrus v1.9.3 // indirect
 	github.com/sivchari/containedctx v1.0.3 // indirect
 	github.com/sonatard/noctx v0.4.0 // indirect
diff --git a/go.sum b/go.sum
index 0a98b2f..48b4b50 100644
--- a/go.sum
+++ b/go.sum
@@ -600,6 +600,8 @@ github.com/sergi/go-diff v1.2.0 h1:XU+rvMAioB0UC3q1MFrIQy4Vo5/4VsRDQQXHsEya6xQ=
 github.com/sergi/go-diff v1.2.0/go.mod h1:STckp+ISIX8hZLjrqAeVduY0gWCT9IjLuqbuNXdaHfM=
 github.com/shirou/gopsutil v3.21.4-0.20210419000835-c7a38de76ee5+incompatible h1:Bn1aCHHRnjv4Bl16T8rcaFjYSrGrIZvpiGO6P3Q4GpU=
 github.com/shirou/gopsutil v3.21.4-0.20210419000835-c7a38de76ee5+incompatible/go.mod h1:5b4v6he4MtMOwMlS0TUMTu2PcXUg8+E1lC7eC3UO/RA=
+github.com/shopspring/decimal v1.4.0 h1:bxl37RwXBklmTi0C79JfXCEBD1cqqHt0bbgBAGFp81k=
+github.com/shopspring/decimal v1.4.0/go.mod h1:gawqmDU56v4yIKSwfBSFip1HdCCXN8/+DMd9qYNcwME=
 github.com/shurcooL/go v0.0.0-20180423040247-9e1955d9fb6e/go.mod h1:TDJrrUr11Vxrven61rcy3hJMUqaf/CLWYhHNPmT14Lk=
 github.com/shurcooL/go-goon v0.0.0-20170922171312-37c2f522c041/go.mod h1:N5mDOmsrJOB+vfqUK+7DmDyjhSLIIBnXo9lvZJj3MWQ=
 github.com/sirupsen/logrus v1.9.3 h1:dueUQJ1C2q9oE3F7wvmSGAaVtTmUizReu6fjN8uqzbQ=
diff --git a/internal/liquidity/errors.go b/internal/liquidity/errors.go
index 07f6b1c..11baba7 100644
--- a/internal/liquidity/errors.go
+++ b/internal/liquidity/errors.go
@@ -10,8 +10,13 @@ var (
 	ErrInvalidBinSize = errors.New("bin size must be positive")
 
 	// ErrInvalidTickRange is returned when tick range is invalid.
-	ErrInvalidTickRange = errors.New("tick range must be positive")
+	ErrInvalidTickRange = errors.New("invalid tick range")
 
 	// ErrContractCall is returned when contract call fails.
 	ErrContractCall = errors.New("contract call failed")
+
+	ErrNoTickRanges       = errors.New("no tick ranges")
+	ErrInvalidWeight      = errors.New("invalid weight")
+	ErrInvalidTotalAmount = errors.New("invalid total amount")
+	ErrZeroTotalWeight    = errors.New("zero total weight")
 )
diff --git a/internal/liquidity/rebalance.go b/internal/liquidity/rebalance.go
new file mode 100644
index 0000000..b61fa91
--- /dev/null
+++ b/internal/liquidity/rebalance.go
@@ -0,0 +1,55 @@
+package liquidity
+
+import "github.com/shopspring/decimal"
+
+func BuildRebalanceAllocations(
+	ranges []TickRangeWeight,
+	totalAmount decimal.Decimal,
+) ([]RebalanceAllocation, error) {
+	if len(ranges) == 0 {
+		return nil, ErrNoTickRanges
+	}
+
+	if totalAmount.IsNegative() {
+		return nil, ErrInvalidTotalAmount
+	}
+
+	sumWeight := decimal.Zero
+	for _, r := range ranges {
+		if r.TickLower >= r.TickUpper {
+			return nil, ErrInvalidTickRange
+		}
+
+		if r.Weight.IsNegative() {
+			return nil, ErrInvalidWeight
+		}
+
+		sumWeight = sumWeight.Add(r.Weight)
+	}
+
+	if sumWeight.IsZero() {
+		return nil, ErrZeroTotalWeight
+	}
+
+	allocations := make([]RebalanceAllocation, len(ranges))
+	remaining := totalAmount
+
+	for i, r := range ranges {
+		var amount decimal.Decimal
+		if i == len(ranges)-1 {
+			amount = remaining
+		} else {
+			amount = totalAmount.Mul(r.Weight).Div(sumWeight)
+			remaining = remaining.Sub(amount)
+		}
+
+		allocations[i] = RebalanceAllocation{
+			TickLower: r.TickLower,
+			TickUpper: r.TickUpper,
+			Weight:    r.Weight,
+			Amount:    amount,
+		}
+	}
+
+	return allocations, nil
+}
diff --git a/internal/liquidity/rebalance_test.go b/internal/liquidity/rebalance_test.go
new file mode 100644
index 0000000..94d41ff
--- /dev/null
+++ b/internal/liquidity/rebalance_test.go
@@ -0,0 +1,172 @@
+package liquidity_test
+
+import (
+	"errors"
+	"testing"
+
+	"github.com/google/go-cmp/cmp"
+	"github.com/shopspring/decimal"
+
+	"remora/internal/liquidity"
+)
+
+func TestBuildRebalanceAllocations(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name       string
+		ranges     []liquidity.TickRangeWeight
+		amount     decimal.Decimal
+		want       []liquidity.RebalanceAllocation
+		wantErr    bool
+		wantErrIs  error
+		wantAmount decimal.Decimal
+	}{
+		{
+			name: "success - weighted allocation",
+			ranges: []liquidity.TickRangeWeight{
+				{TickLower: -100, TickUpper: 0, Weight: mustDecimal(t, "1")},
+				{TickLower: 0, TickUpper: 100, Weight: mustDecimal(t, "3")},
+			},
+			amount: mustDecimal(t, "100"),
+			want: []liquidity.RebalanceAllocation{
+				{
+					TickLower: -100,
+					TickUpper: 0,
+					Weight:    mustDecimal(t, "1"),
+					Amount:    mustDecimal(t, "25"),
+				},
+				{
+					TickLower: 0,
+					TickUpper: 100,
+					Weight:    mustDecimal(t, "3"),
+					Amount:    mustDecimal(t, "75"),
+				},
+			},
+			wantAmount: mustDecimal(t, "100"),
+		},
+		{
+			name: "success - zero weight keeps entry with zero amounts",
+			ranges: []liquidity.TickRangeWeight{
+				{TickLower: -200, TickUpper: -100, Weight: mustDecimal(t, "0")},
+				{TickLower: -100, TickUpper: 100, Weight: mustDecimal(t, "2")},
+			},
+			amount: mustDecimal(t, "10"),
+			want: []liquidity.RebalanceAllocation{
+				{
+					TickLower: -200,
+					TickUpper: -100,
+					Weight:    mustDecimal(t, "0"),
+					Amount:    mustDecimal(t, "0"),
+				},
+				{
+					TickLower: -100,
+					TickUpper: 100,
+					Weight:    mustDecimal(t, "2"),
+					Amount:    mustDecimal(t, "10"),
+				},
+			},
+			wantAmount: mustDecimal(t, "10"),
+		},
+		{
+			name:       "error - no ranges",
+			ranges:     nil,
+			amount:     mustDecimal(t, "1"),
+			wantErr:    true,
+			wantErrIs:  liquidity.ErrNoTickRanges,
+			wantAmount: mustDecimal(t, "0"),
+		},
+		{
+			name: "error - invalid tick range",
+			ranges: []liquidity.TickRangeWeight{
+				{TickLower: 100, TickUpper: 100, Weight: mustDecimal(t, "1")},
+			},
+			amount:     mustDecimal(t, "1"),
+			wantErr:    true,
+			wantErrIs:  liquidity.ErrInvalidTickRange,
+			wantAmount: mustDecimal(t, "0"),
+		},
+		{
+			name: "error - negative weight",
+			ranges: []liquidity.TickRangeWeight{
+				{TickLower: 0, TickUpper: 10, Weight: mustDecimal(t, "-1")},
+			},
+			amount:     mustDecimal(t, "1"),
+			wantErr:    true,
+			wantErrIs:  liquidity.ErrInvalidWeight,
+			wantAmount: mustDecimal(t, "0"),
+		},
+		{
+			name: "error - negative total amount",
+			ranges: []liquidity.TickRangeWeight{
+				{TickLower: 0, TickUpper: 10, Weight: mustDecimal(t, "1")},
+			},
+			amount:     mustDecimal(t, "-1"),
+			wantErr:    true,
+			wantErrIs:  liquidity.ErrInvalidTotalAmount,
+			wantAmount: mustDecimal(t, "0"),
+		},
+		{
+			name: "error - total weight zero",
+			ranges: []liquidity.TickRangeWeight{
+				{TickLower: 0, TickUpper: 10, Weight: mustDecimal(t, "0")},
+				{TickLower: 10, TickUpper: 20, Weight: mustDecimal(t, "0")},
+			},
+			amount:     mustDecimal(t, "1"),
+			wantErr:    true,
+			wantErrIs:  liquidity.ErrZeroTotalWeight,
+			wantAmount: mustDecimal(t, "0"),
+		},
+	}
+
+	decimalComparer := cmp.Comparer(func(a, b decimal.Decimal) bool {
+		return a.Equal(b)
+	})
+
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			t.Parallel()
+
+			got, err := liquidity.BuildRebalanceAllocations(tt.ranges, tt.amount)
+			if err != nil {
+				if !tt.wantErr {
+					t.Fatalf("BuildRebalanceAllocations() failed: %v", err)
+				}
+
+				if tt.wantErrIs != nil && !errors.Is(err, tt.wantErrIs) {
+					t.Fatalf("BuildRebalanceAllocations() error = %v, want %v", err, tt.wantErrIs)
+				}
+
+				return
+			}
+
+			if tt.wantErr {
+				t.Fatalf("BuildRebalanceAllocations() expected error")
+			}
+
+			if diff := cmp.Diff(tt.want, got, decimalComparer); diff != "" {
+				t.Fatalf("BuildRebalanceAllocations() mismatch (-want +got):\n%s", diff)
+			}
+
+			sum := decimal.Zero
+			for _, allocation := range got {
+				sum = sum.Add(allocation.Amount)
+			}
+
+			if !sum.Equal(tt.wantAmount) {
+				t.Fatalf("BuildRebalanceAllocations() amount sum = %s, want %s", sum, tt.wantAmount)
+			}
+		})
+	}
+}
+
+func mustDecimal(t *testing.T, value string) decimal.Decimal {
+	t.Helper()
+
+	dec, err := decimal.NewFromString(value)
+	if err != nil {
+		t.Fatalf("NewDecimalFromString(%q) failed: %v", value, err)
+	}
+
+	return dec
+}
diff --git a/internal/liquidity/uniswap.go b/internal/liquidity/uniswap.go
new file mode 100644
index 0000000..b4219ce
--- /dev/null
+++ b/internal/liquidity/uniswap.go
@@ -0,0 +1,16 @@
+package liquidity
+
+import "github.com/shopspring/decimal"
+
+type TickRangeWeight struct {
+	TickLower int
+	TickUpper int
+	Weight    decimal.Decimal
+}
+
+type RebalanceAllocation struct {
+	TickLower int
+	TickUpper int
+	Weight    decimal.Decimal
+	Amount    decimal.Decimal
+}