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Interesting note in this article: $345 of the $500 million in funding will go to "executive officers, directors, or promoters." This somewhat contradicts what I
by achompas 16y ago
Interesting note in this article: $345 of the $500 million in funding will go to "executive officers, directors, or promoters." This somewhat contradicts what I read yesterday from P Morgan Brown (via The Atlantic Tech) [1]:
"What Groupon is doing is something that no other tech company has done in recent memory--made a real run at securing a big chunk of the SMB market...[T]o put that organization in place is going to take a ton of cash."
Groupon might be after SMBs, but what kind of sales team can they purchase with $155 million? (Serious question, not rhetorical).
[1] http://www.theatlantic.com/technology/archive/2010/12/what-groupons-doing-that-google-couldnt/68648/ http://www.theatlantic.com/technology/archive/2010/12/what-g...
- jonknee 16y agoIt's $950m, not $500m. So they have $600m left to go hire a commissioned sales force.
- achompas 16y agoYeah, I slipped up numbers since TC says they've raised $500m so far. I'm very interested in how they're going to spend the other $600m.
- aaronblohowiak 16y agoYet another case where there is a liquidity event for the capitalists but not for the programmers. The promise of "generous equity" as a part of the compensation package remains a raw deal for non-founders.
- mmt 16y ago"generous equity" as a part of the compensation package I see this in job postings occasionally, and it always strikes me as the Lady Protesting Too Much. Just tell me an order of magnitude of percentage ownership, and I'll be the judge of whether or not it's generous. I have yet to experience anything but the latter, which isn't surprising if the entire employee option pool is 10% by itself and the founders take no dilution from new hires.