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He had leverage. Facebook's massive growth meant that he could command the terms of the investment, and he ensured that he would always continue to control the
by fezzez 5y ago
He had leverage. Facebook's massive growth meant that he could command the terms of the investment, and he ensured that he would always continue to control the board even as he was being diluted with later rounds.
- thethimble 5y agoSee the “dual class” structure he managed to set up early on to preserve control. https://www.vox.com/technology/2018/11/19/18099011/mark-zuckerberg-facebook-stock-nyt-wsj https://www.vox.com/technology/2018/11/19/18099011/mark-zuck... This was made popular by Larry and Sergey in 2012: https://www.sec.gov/Archives/edgar/data/1288776/000119312512160666/d333341dex993.htm https://www.sec.gov/Archives/edgar/data/1288776/000119312512... It’s really only possible if the company/investment is so compelling that investors will invest with virtually no control.