3 ms·
Out of curiosity, what did the cap table look like when they suggested that? Was there a good chunk of equity floating around your current/former employees? I
by duped 5y ago
Out of curiosity, what did the cap table look like when they suggested that? Was there a good chunk of equity floating around your current/former employees?
I know some VCs have dilution/ownership thresholds and they might have been trying to find a way to get in on your raise without bending their own rules. But it is really offensive to your employees, I know if my company did that I would walk.
- jacquesm 5y agoIt's beyond despicable to try to get a company to renege on their prior agreements in order to satisfy your own arbitrary rule set.
- duped 5y agoIt's begging for a lawsuit at worst and mass resignation at best among the early hires. I just want to know the twisted rationalization!
- jacquesm 5y agoI think that they spotted a way to sweeten the deal by making early vestors that had already left the company pay for it. Typical account thinking. Pro tip: stay away from VCs run by accountants or lawyers, always go for the ones run by entrepreneurs.
- foobiekr 5y agoNo. He gave the “you gotta stay to play” speech. Our cap table was exceptionally clean and disciplined. It was purely some ego bullshit.