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> In the worst case, an option is going to be worth 0 and in the best case it's going to be worth > 0, so the value of an option is always positive until the co
by bcbrown 9y ago
> In the worst case, an option is going to be worth 0 and in the best case it's going to be worth > 0, so the value of an option is always positive until the company actually dies.
That's only true as long as you're still working at the company. If you leave, you have to exercise, and then the worst case becomes negative.
- bethly 9y agoYou can also choose not to exercise and just walk away, in which case the value is still 0. Though I imagine a lot of people would have trouble doing that even if they didn't think the company was doing great.