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Options conversations are hard for a good reason. The underlying mechanics are actually complex. You can’t explain an employee what the outcome would be for the
by whiplash451 3y ago
Options conversations are hard for a good reason. The underlying mechanics are actually complex. You can’t explain an employee what the outcome would be for them without telling them about preferential shares, double-dipping, etc. Good luck building a company on full transparency on all this. Most investors would think you’re crazy and finance the startup next door.
- iamacyborg 3y agoAll you’d need to do is have a glossary and an open cap table, no?
- whiterknight 3y agoI’ll be satisfied with a market cap thanks. They won’t even tell you how many shares there are.
- whiplash451 3y agoThat, I agree with. But the article is advocating for much more. Unfortunately, there is a fundamental problem with sharing market cap and number of outstanding shares with all employees (and prospective ones). This data would quickly leak to the competition and other unwanted hands.
- whiterknight 3y agoOk, then as an employee I must value your stock compensation at 0.
- whiplash451 3y agoThat's not what I meant. The company can (and should) share the share price with you as a new joiner. That helps you value the stock compensation.