The stock-options tag has no wiki summary.
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4answers
39 views
Non-dilutable options
I have an entity I've been working on for roughly 4 years, the last being a real push to get it out the door. A student recently joined me and got us into a student business plan competition and we ...
1
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1answer
54 views
Issues around accepting salary plus stock options in job offer
I've been offered a job within a new SaaS startup. I'd be the first technical hire. They've offered to match my current salary and give me 2.5% stock options. Or I take a couple of £K extra with no ...
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1answer
61 views
Best way to commercialize a software
My associates and I own a services business. To improve efficiency we started to developed own software two years ago. The software we developed seems to be very effective and time-saving for us and ...
2
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2answers
63 views
Receiving non-qualified stock options before a startup has a valuation
I've been reading that under 409a regulations, if non-qualified stock options are issued below fair market value, there are immediate tax implications and a 20% penalty. I've been working part-time ...
6
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3answers
148 views
Series B Startup unwilling to disclose total shares
I have an offer from a series B startup that includes number of shares but no mention of value of each share or total shares (so I can compute a percentage). I asked and they were unwilling to ...
1
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1answer
64 views
Stock options at 250 employee+ pre IPO tech company
I have been offered a job at a pre IPO company for X shares at some Y price. I was told that these stocks will be worth around 8x at the time of IPO.
How is the value of these stocks determined? What ...
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0answers
68 views
How much Equity should I get? [duplicate]
Well some think its a duplicate to another question but i think its different cuz all four of us in the team are not the coders, developers or programmers & also my question is different cuz the ...
6
votes
1answer
177 views
Review offer for being employee #1
I've just been offered a developer job at a startup in the current situation.
- Pre-Series A.
- Current seed funding gives them a valuation of $5 mil.
- 4 founders, no employees, 1 founder is a ...
5
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1answer
153 views
Advice on an offer from a start-up
i have been offered a position in a start-up...i was initially told that my 100,000 share options were 0.25% of "the allocated shares".
In my own research i came across terms for "diluted stock". ...
2
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4answers
231 views
I am the only paid developer in a startup, am I getting enough equity?
I am currently apart of a very small startup. I love the idea and believe that it could be very big one day. I was hired by a guy with the idea, but the idea was still very basic, and 1 dimensional. ...
5
votes
2answers
144 views
VC Option Shenanigans
My company is being acquired by a public company (both US based). When we were all hired, our employment contracts stated we'd be granted x number of stock options. I'll say 250,000. That was 3 ...
2
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1answer
74 views
What is considered “generous-stock-options” for a start-up company in its early days?
We are a young startup, founded by 3 members about a year and a half ago, and recently closed a seed-stage investment round.
We are about to hire our first 3 employees, 2 tech, 1 ...
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1answer
121 views
Received ISO grant date a year after vesting date (start date) and therefore higher strike price than was at start date
I'll try to make this simple:
I started at my startup over a year ago, apx 6 mos before we raised a second round of funding (helping with this was a big part of my hire), in my offer letter I was ...
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0answers
155 views
Restricted Stock Units (RSU) in a job offer
I've seen a few job offers where in addition to the salary the company offers X,000 Restricted Stock Units (RSU). I'm still trying to understand owning equity as one of the early employees for a ...
5
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2answers
198 views
What happens to the unused portion in an option pool at the point of an exit/acquisition?
Some details regarding my company:
I started off as a single-founder bootstrapped company (100%-owned).
Later I brought in two co-founders at 20% equity each.
So equity split was:
Myself - 60%
...
1
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3answers
221 views
Joining startup question on salary
I've been approach by a startup to join them. I'm currently making 80k USD as a developer, not knowing much about the startup world. What would you consider a reasonable offer from them? Knowing they ...
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0answers
48 views
Option Grant Expires Soon but can't afford price. Workarounds?
I have a fairly large ISO grant that was awarded to me fully vested a month before I left the company (didnt find out specifics about it til after I left.) I have three months to exercise my options ...
0
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0answers
33 views
Series A-funded company sold off part of business, new distribution to employees. Should I exercise/sell my vested options?
Startup already received Series A funding. I have a minor amount (around 1,500) of vested options at a roughly $3.25 strike price. New valuation post sale of part of business is around $8.50. As part ...
1
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1answer
108 views
Tax exposure for receiving/ exercising warrants for startup advisor who is a non-resident alien
I am about to become an advisor to a startup based in the US. I am a non-resident alien and the advisory work is carried outside of the US. Compensation will be in the form of performance based ...
1
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1answer
111 views
Startup equity for employee - real stock or option
For an earlier employee (not C level title), is it common to pay via option instead of real stock equity?
Assume both need to suffer from 4 year vesting schedule with 1 year cliff.
0
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1answer
66 views
Structuring a stock earnout on start-up?
We are contemplating a start-up with 2 main founders, who will put cash in and work in the business, and 2 angel investors who will only put in cash.
The way we want the ownership to work out is:
...
4
votes
2answers
241 views
Is this a fair CEO offer for an experienced CFO/COO
My question/story is this: two years ago I broke ground on a startup. We planned and planned, raised some funds and broke ground writing code. Two years later we put $250k into the business, have ...
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0answers
188 views
As an Early Employee | Equity vs ESOP? and how much?
I have been working in a startup for quite some time now. Recently they have raised seed capital so now going to formalize stuff. They have given me an option to choose between Equity or ESOPs.
I am ...
3
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1answer
307 views
Are there any reasons I can't issue options to foreign contractors?
My company is a U.S. C-Corp and we have recently created a stock option plan that allows for both ISO and NSO option grants. We have a foreign contractor located in China who does work for the company ...
0
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1answer
171 views
dilution of stock options for a company going through multiple rounds of funding?
How can I have an idea of the dilution of employee stock options for a company that is going through different rounds of funding?
For example, a company that has received a total of $100M funding up ...
2
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1answer
87 views
Non-Dilutable Stock for patent purchase
I currently hold a patent and I'm looking to possibly sell it to a company for 5% stake.
I have interested investors in the idea, but need to move the patent into their company. The company's ...
0
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1answer
69 views
What is a typical contract for employee's who want to work on a start up but get paid through future earnings?
I am thinking of bring someone on board to develop an application. I don't have money to pay him right now, but would like to structure something that would make it an worth while to developer the ...
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2answers
256 views
0.5% equity and 2k/month to be the #1 CDO in a startup
I really need your help.
It 's the first time I've been asked to work for a startup.
The company has already been made, founded by 2 partners, and has already received an initial investment, but has ...
2
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4answers
605 views
stock options or convertible notes?
I will be joining as a senior developer on a startup and I will be working 20 hours a week remotely. I have a day job which pays my bills now.
The company is not funded yet so we will not be given ...
0
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1answer
100 views
Employee Stock Options Plans effect on SEC Registration Requirements
Companies that have $10 million in assets and 500 shareholders of record are currently required to register with the Securities and Exchange Commission (SEC) and are thus subject, among other things, ...
4
votes
5answers
308 views
Prevented from seeing stock option plan
I've been working for large private software company (the last round of investment was very, very large) and my offer letter told me I would receive X number of options as long as the board approved ...
4
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2answers
494 views
Why did Facebook stop giving out options in 2007 and start giving out RSUs (restricted stock units)?
Generally, I'm asking, what advantage did the company see in switching to RSUs over options?
2
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1answer
204 views
Evaluating a “co-founder” offer
I was presented with the following offer and while I'm waiting legal advice, I'm interested to know your opinions.
I'm been offered a "co-founder" seat with a bit over 10% in stock options vested ...
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2answers
164 views
Stock equivalent options if the company is self funded and does not intend to go public
I run a company that’s self funded and does not intend to go public (this might change due to the nature of the business).
I have started to experience scale and traction, which means that I will ...
1
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1answer
194 views
Where can I find detailed information about a company's stock structure prior to their IPO?
I'm curious to know about the stock structures of a lot of companies. For example Marc Pincus of Zynga has preferred stock, where each of his share's voting power is 70x greater than those that are ...
2
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1answer
150 views
Have you setup an options pool for your S-Corporation? Is it allowed?
My S-Corp didn't have an options pool when we first set it up. I'm now thinking of creating one (15% of total) to fix that as a talent incentive mechanism. My accountant said that C-Corps have no ...
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5answers
268 views
What is the best way to adjust options?
Me and my partner are about to start a new startup. I'm much more financially prepared than he is so we've agreed on the following structure.
I would fund the company with half a million for the ...
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2answers
410 views
Zynga stock options story and damage to startup community
Zynga is requiring some employees to give back their stock options or they will be fired (cnet.com)
It seems like with this approach Pincus made start ups vastly more risky for people to join. In ...
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2answers
174 views
Event of a sale prior to vesting schedule completion
Starting to work with our legal team and its time to expand the team. A few questions on the vesting schedule.
Employee 1: CFO position
I am bringing in a CFO from a financial background with other ...
1
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1answer
186 views
Stock option plans in Germany for Gmbh startups
Does anyone know if German startups (Gmbh) can offer employees a stock option plan?
As I understand, public companies in Germany can only offer options with a minimal vesting period of 4 years, which ...
1
vote
2answers
126 views
Can you issue a Convertible Note to be converted prior to series A?
Situation:
Closed initial kick-start seed investment with angel investor. Deal was done on an equity basis equaling a postmoney valuation of 400k.
Have a few FFF who would like to invest small ...
2
votes
4answers
775 views
How to determine the worth of stock option?
Say I was given an incentive stock option for X number of shares at an exercise price of Y per share. The shares vest over 4 years. How do you determine the worth of this stock option?
A) What is the ...
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3answers
201 views
How can an Advisor be rewarded if there's not a VC round or Sale down the line?
A guy who's help our SaaS startup a lot in the 1st 2 month of its life has suggested that we form and he join our Board of Advisors. He's very helpful to us, a great guy and will definitely be an ...
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3answers
333 views
What will happen if an individual invest in the company before it goes public?
Lets assume the example of Groupon which is going to be public this year or next year.Suppose if someone invests $100Million in the company,will its valuation increase for the individual or for its ...
2
votes
1answer
289 views
What happens when in the money stock options are exercised?
If the company is liquidated and options are in the money, what are the mechanics of obtaining stock?
Who receives the exercise price that is paid? If this exercise amount is received by the company ...
0
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1answer
39 views
Can some wealthy investor invest or can have a deal with the compeny before it goes public?
Well I just had a question in mind that a wealthy investor invest his money in any IPO before it goes public.Said that I am referring through recent Goldman Sachs and Facebook deal worth $450 Million ...
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5answers
2k views
salary and stock options in a startup for lead developer - advice needed
I got an offer from my friend in a startup company with $30K/year (take into account it's not in a "hot" spot like Silicon Valley or NY, but yeah, it's not high in any standards, and the job's in a ...
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6answers
533 views
Considering an offer from a startup, two different compensation packages. Advice?
A bit of background: The two founders are guys I used to work with before our previous employer (a SaaS company) was aquired back in 2010. One of the founders was a senior sales exec and the other was ...
5
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3answers
2k views
Asking for equity vs stock options as employee
As an employee at an early stage start up company , what are the benefit of stock option vs equity?
It seems to me like equity is far preferable , but is there any advantage to stock option over ...
1
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2answers
163 views
What should I expect for compensation in an “equity for compensation” deal?
Similar to this question: Amount of vesting equity for #3-#4 employee?
But it seems to discuss what equity paid developers should expect. If I am a developer that is unpaid, what would be a ...
