Founder Paydays at Exit (IPO) • Hacker News Board

Re: Founder Paydays at Exit (IPO)

#21

Post by quesera » Wed, Oct 21, 2020, 3:52 PM UTC

m4tthumphrey wrote: post #4

Slightly off topic, why do people use `mm` as the symbol for millions? Why not just `m` ?

"mm" is a perversion of "MM", which is derived from Roman numerals (M is 1000, and MM is M*M). This notation has a long history of use in business and accounting.

For consistency, the author's use of "bln" should be "BB", or at least "B". These have no Roman antecedents, but they are common in accounting.

I've never seen "MMM" for billion. Missed opportunity! I'll have to suggest that to our CFO for our next filing.

Re: Founder Paydays at Exit (IPO)

#22

Post by fatnoah » Wed, Oct 21, 2020, 3:52 PM UTC

sreekotay wrote: post #9

Missing are the zeros (and negatives)

>We dove into major tech IPO’s since 2018 to find out.

It also self-selects for "major" offerings as well. I'd be curious to see this table for ALL tech IPOs.

Re: Founder Paydays at Exit (IPO)

#23

Post by xibalba » Wed, Oct 21, 2020, 3:58 PM UTC

NelsonMinar wrote: post #10

Nothing like publishing a textual data table as a giant picture. "If this data doesn’t get you off the couch and coding the next great product, I don’t know what will." If the hope of a 9 digit payoff is what's motivating you to start a company, you're better off trying your luck on a roulette wheel.

Not to mention the data isn't even de-duped. Weird.

Re: Founder Paydays at Exit (IPO)

#24

Post by josh_carterPDX » Wed, Oct 21, 2020, 4:08 PM UTC

What a gross overstep by Spotify. Over $9B combined between the two founders!?! Meanwhile bands are struggling to make it through the pandemic. Guess I'll be deleting my Spotify account. Barf.

Re: Founder Paydays at Exit (IPO)

#25

Post by aqme28 » Wed, Oct 21, 2020, 4:10 PM UTC

This is so cherry-picked and editorialized that this feels unethical.

It claims an "average" from this list while intentionally neglecting less-successful IPOs and downright failures.

Also, I'd be curious to see what the exits are after the 3-6 month lockup period. Some startups IPO decently, but then tank.

Re: Founder Paydays at Exit (IPO)

#26

Post by glutamate » Wed, Oct 21, 2020, 4:11 PM UTC

xibalba wrote: post #23

NelsonMinar wrote: post #10

Nothing like publishing a textual data table as a giant picture. "If this data doesn’t get you off the couch and coding the next great product, I don’t know what will." If the hope of a 9 digit payoff is what's motivating you to start a company, you're better off trying your luck on a roulette wheel.

Not to mention the data isn't even de-duped. Weird.

Or even sorted?

Re: Founder Paydays at Exit (IPO)

#27

Post by [deleted] » Wed, Oct 21, 2020, 4:20 PM UTC

NelsonMinar wrote: post #10

Nothing like publishing a textual data table as a giant picture. "If this data doesn’t get you off the couch and coding the next great product, I don’t know what will." If the hope of a 9 digit payoff is what's motivating you to start a company, you're better off trying your luck on a roulette wheel.

[deleted]

Re: Founder Paydays at Exit (IPO)

#28

Post by PNWChris » Wed, Oct 21, 2020, 5:50 PM UTC

danaugrs wrote: post #17

PNWChris wrote: post #13

Earlier quoted context omitted.

Ah, the repeated companies had me confused for a moment, too! The list is partitioned by { company, founder } (note the different ownership percentages), which is why some companies appear multiple times.

There are repeated entries for the same company+founder but with different values. It doesn't make any sense. Additionally sometimes the founder's name is right in one row but not in the other e.g. Cloudflare's Matthew Prince (right) vs Matthew Price (wrong). Not a good look.

Oh man, upon looking closer, I now realize you and this thread’s OP are right. That data is really messy. I agree, it’s not a good look.

Re: Founder Paydays at Exit (IPO)

#29

Post by seattle_spring » Wed, Oct 21, 2020, 7:59 PM UTC

parsley27 wrote: post #14

seattle_spring wrote: post #12

Earlier quoted context omitted.

I don't think most people have the bandwidth to download a chart that reflects the employees who get screwed.

Do employees get screwed, or is it just that too many of us employees sign on and see the word equity and think that means we're suddenly co-founders?

Definitely the former, unless you feel that only co-founders deserve market pay and equity that pays out at >$0. In many cases, employees even lose money because they have to exercise options with no insight into if they'll ever be worth a dime.