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One thing that would be helpful to add to this post: 1) the chances of your company making it to series B 2) the chances of you as a founder actually making a
by KaiserPro 3y ago
One thing that would be helpful to add to this post:
1) the chances of your company making it to series B
2) the chances of you as a founder actually making any money.
Much of the startup "legend" of massive exits, everyone making lots of money, is exactly that: legend.
VCs batch startups together because >90% will fail. Of those that do make it out of the incubator in any meaningful way, you can expect another 80% mortality over the next two years.
Say you get aquihired, you're not going to get much of a share payout, if at all.
Even if you get blockbuster hired (ie bought for 250million) you're probably going to get golden handcuffs rather than "fuck you" money upfront.
Same for an IPO, your shares will be converted, but you can't exercise them until after n years.
- Scoundreller 3y ago> Say you get aquihired, you're not going to get much of a share payout, if at all. But often you turn your risky "stock investor" income into stable "bond investor" income. If you're ever able to convert a stock into a bond with the same net return, do it! I know I am with my savings these days.