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Question regarding stock options: I have some but I'm not sure if the company will ever sell for enough to make it lucrative for me, however that assumption and
by citricsquid 14y ago
Question regarding stock options: I have some but I'm not sure if the company will ever sell for enough to make it lucrative for me, however that assumption and my knowledge of the company are based on what I've casually been told, what I've observed, does being offered stock options (or purchasing stock) grant me access to financial information or some sort of "insider" information that would allow me to make a better informed decision?
- freerobby 14y agoNot if the company is privately held. Your options agreement should tell you how many shares you have rights on and what your strike price is. The company, if run honestly and transparently, will tell you how many shares are outstanding and what the current valuation is. From there you can do the math on potential outcomes. If they won't give you formal disclosure of that information, assume the worst.
- staunch 14y agoI'm pretty sure this is wrong. I think in California and Delaware (most startups) stockholders are entitled to see the financials of the company. I doubt most companies would deny this right if you sent a notarized/certified letter with notice. And in the worst case a judge would most likely side with the stockholder. IANAL