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Hmm, for some reason they forgot to include: You sell your company for $50 million in Yahoo stock, which over the course of your two year tenure at Yahoo will
by wheels 16y ago
Hmm, for some reason they forgot to include:
You sell your company for $50 million in Yahoo stock, which over the course of your two year tenure at Yahoo will see a tenfold increase in value up to $500 million and your team will use that wealth to go on to create a disruptive seed-stage funding group called Y Combinator.
Must have been an oversight. I can't imagine 37signals only telling half of these stories to make it better fit with their mantras.
- brisance 16y agoThat was a really long time ago, at the beginning of the dot-com craze. On the contrary, in the last 5 years, YHOO share prices have declined about 50%. http://finance.yahoo.com/echarts?s=YHOO+Interactive#chart2:symbol=yhoo;range=5y;indicator=ke_it+ke_ud+ke_sd+volume+macd+rsi;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined http://finance.yahoo.com/echarts?s=YHOO+Interactive#chart2:s...
- kscaldef 16y agoSure, but there's also 2003-2005, where the stock increased several fold. It matters a lot where you pick your start and end points with tech companies in the last 15 years.
- brisance 16y agoYes, but if you read the article, all the acquisitions were done in 2005 onwards i.e. in the last 5 years. It was quite clear by then that the dot-com bubble had burst.
- kscaldef 16y agoI did read the article. a) it's not as if Yahoo only started making acquisitions in 2005. b) 2003 was post-bubble.
- jackowayed 16y agoWow, did their stock actually 10x between when they got there and when they sold it?
- wheels 16y agoI have no idea when the YC founders actually sold their Yahoo stock, but when Viaweb was bought, in an all stock deal, at the beginning of June 1998, YHOO was trading at $7/share. Two years later, around the time they left, it was at $70/share. I presume that both since the stock was skyrocketing and that because they had a vesting schedule that they still had a chunk of it when it hit that price. http://finance.yahoo.com/echarts?s=YHOO+Interactive#chart1:symbol=yhoo;range=19960411,20110222;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on http://finance.yahoo.com/echarts?s=YHOO+Interactive#chart1:s...
- jasonkester 16y agoIt was the 90's. That's what stock did. When I bought my Yahoo stock, it went up 62% in the first five days.