A little monkey patching and you've got some salary info too! https://pastebin.com/3WdXMSdL
Unfortunately doesn't parse the "$1 million" mark. But that's ok, because let's be honest. It's not going to exit that high.
TLDR Stock Options
201–210 of 213 posts
Re: TLDR Stock Options
#202Earlier quoted context omitted.
Just curious why the downvotes?
You offer no particular evidence for your claims, they are unpersuasive and you manage to insult both older and younger employees in the space of three sentences. A. You assume young people are "really good individual contributors" and older people aren't, which is very often exactly backwards. B. It has been my experience that startups often hire people with management experience as they scale. C. Your assertion tha…
Thanks for summarizing. I completely see your point, but I want to explain in a little more detail. Wasn't trying to insult anyone!
> A. You assume young people are "really good individual contributors" and older people aren't, which is very often exactly backwards.
Not my assumption. But, as someone ages, if they are an excellent individual contributor, they often find themselves in management roles. There are exceptions, but the real problem is that as people age, they want to be called "people managers". And, startups don't need people managers, they need contributors so there is a mismatch.
If an older person only wants to be an individual contributor, there are of course places for them, but my contention is that the cross section is extremely small. I can see why it seemed insulting, that isn't want I meant.
> B. It has been my experience that startups often hire people with management experience as they scale.
Sure, they do, but more often than not, they are hiring their strongest individual contributors from within. Only a small percentage of people hired are hired from very senior roles.
> C. Your assertion that young people don't want to manage old people is unsupported and pretty much just sounds bitter.
I have worked in 3 large organizations and 2 small organizations, it is extremely rare for a younger person to hire someone older than them. I cannot imagine that there is evidence counter to this claim. I have seen it repeatedly.
Re: TLDR Stock Options
#203Our goal with building this was not to be comprehensive, but to give founders and employees a way to have a more productive conversation about options and what they are worth. Too many startup employees I meet don't properly value the options they have, and too many potential hires don't negotiate for the right things, and wind up disappointed. We hope this will take a small step towards correcting this problem.
Neat tool, I was able to put more than 100% ownership into a Company though and I don't think that should be possible.
Nice - it supports The Producers accounting.
Re: TLDR Stock Options
#204There's also another result: negative! You could owe taxes on money you never saw. Under the AMT rules, if you exercise options at a discounted price, you have to consider the discount as "income". If several years later, when you're ready to sell and the stock is below what you paid for it, you'll still owe the taxes on your discounted price. Ask your tax person for the details before engaging in any stock option pu…
You will get credits to offset this in later years. It was far more painful after the Dotcom crash before the carry-forward rules were added.
Re: TLDR Stock Options
#205Sorry if I missed something obvious, is the number averaged out per year or total over 6ish years? (nowhere mentioned on website or help link)
It's the total, and reflects all shares whether or not they are likely to have vested by then; vesting schedules vary widely, and hopefully are something people will be told about when getting their offer.
Re: TLDR Stock Options
#206Earlier quoted context omitted.
No.
Ok, I thought you meant "becoming a going concern" as an alternative to an IPO (an IPO will also result on becoming a going concern, if it was not one already).
Ah right, I see what you mean now. Yes, I could have worded that clearer. It should have been 'simply to continue to be a going concern', not as if companies that have IPO'd are no longer a going concern.
Apologies!
Re: TLDR Stock Options
#207Earlier quoted context omitted.
lol not for a long time has BT had a monopoly unlike the US which left local monopolys intact
Sure.. http://www.telegraph.co.uk/business/2016/11/02/telecoms-riva...
really and you don't think the fabulously wealthy tax dodgers who own the DT don't have their own agenda or are making nice with Murdoch in a you scratch my back ill scratch yours :-)
Al those competitors want to do is cherry pick profitable customers and the USO can go hang.
Re: TLDR Stock Options
#208Earlier quoted context omitted.
If you have the time, Id appreciate advice. I was offered low 6 figures base salary plus 3% equity for a CTO role at a startup. I would be the 4th member Joining. As I know, there is a CEO bankrolling most of it, an expert in the field of the business who is taking little pay, and a marketing guy who is unknown but most likely taking some payment. Prior to the offer letter I built a prototype (out of contract) as a s…
> I was offered low 6 figures base salary plus 3% equity for a CTO role at a startup. That's not an unreasonable offer. You should try to negotiate it up to around $150k. > However, I wish to be compensated for the rights to the prototype upon joining as it is about 50k lines of code. I'd suggest you mostly give up on that idea. It's naive thinking. The market value of this code is close to 0—it's very unlikely anyon…
I appreciate your insight. One thing I might add to bolster my reason for wanting compensation is that the prototype is critical to their business and without it they will be set back several months which they cannot afford. Furthermore, their vesting schedule gives them the potential to work me to death in the first year and then take everything I've built (past and future) and show me the door before anything vests.
On the other hand, if I walk, I might have wasted a few months time but at least I will have comparable salary in a stable job. 3% in early seed rounds just seemed pathetic to me when my role would be vital to the companies ability to grow.
Re: TLDR Stock Options
#209Earlier quoted context omitted.
Yes, but growth and appreciation are (theoretically) not. Growth is priced in. You're saying product-market fit -> growth -> appreciation. The first part of that is true. The second isn't. Assuming market efficiency, the VCs know just as well as I do that the company is going to grow, so they'll pay a higher rate, which means my options will be priced higher (or I'll get fewer RSUs, accordingly). Growth does not impl…
Assuming market efficiency at series B is quite a leap, IMO. That said, let's roll with that assumption; you need to find a company that continues to grow, or in some other way derisks itself.
This is like saying "To make money in the stock market, you have to find stocks that will go up." It's tautological.