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>"Basically they were issuing new shares to new employees rather than giving them out from an existing pool of shares." Wow. Why would they do this? Is there a
by bogomipz 5y ago
>"Basically they were issuing new shares to new employees rather than giving them out from an existing pool of shares."
Wow. Why would they do this? Is there an upside to that? I don't think that's common correct?
- lizknope 5y agoI don't know what is normal. I had wrongly assumed that some percent of the stock would be pre allocated for hiring future employees. As far as I know we never got any outside investment after our initial angel investor that we had from the beginning. Because of how the company was registered we got one financial document per year that they were legally obligated to file. On that I could determine my ownership percentage by calculating how many of my shares had vested and then simple division told me the total number of shares. I correlated this with 3 other employees and we determined the number of shares each year and they had gone up 2.5X from the initial number I was told when I joined.