5 ms·
high salary. Even if the startup is positioned well with deep pocketed investors you won't be able to cash out the equity for at least 8 years (a typical time
by snorkel 14y ago
high salary.
Even if the startup is positioned well with deep pocketed investors you won't be able to cash out the equity for at least 8 years (a typical time span from launch to IPO or buyout for a successful startup) assuming you still work there (or you quit and purchase your vested options with your own money) ... and the odds of any given startup reaching a miletone where the equity is worth selling is small.
- wpietri 14y agoFYI, median time to exit for VC-backed companies is down in the 4-5 year time range: http://www.dowjones.com/pressroom/releases/2011/04012011-VCExits-0124.asp http://www.dowjones.com/pressroom/releases/2011/04012011-VCE... A few years back the median was more like 7.
- Drbble 14y agoI would estimate that the exits that are sooner tend to be smaller.