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I've worked as a normal employee at 2 startups and both failed. Some people invested their own money for different classes of stock. Before going to a startup
by lizknope 4y ago
I've worked as a normal employee at 2 startups and both failed. Some people invested their own money for different classes of stock.
Before going to a startup I would tell everyone to read this post about liquidation preferences and cap tables.
Why didn't I get any money from my startup?
https://www.reddit.com/r/startups/comments/a8f6xz/why_didnt_i_get_any_money_from_my_startup_a_guide/ https://www.reddit.com/r/startups/comments/a8f6xz/why_didnt_...
Who invests money? What about the second round of investors? A lot of people think that the people who were their the longest should have priority but it is the exact opposite. The people who invest last get the best deal on a return on their investment.
Ask these questions to the founder / owners of the company. If they don't answer your questions directly take that as a sign that they won't be truthful and straightforward when you are an employee.