It's typical bad business. At such a small firm especially when the employees are underpaid with the expectation of some large payoff in the future, the manage

It's typical bad business. At such a small firm especially when the employees are underpaid with the expectation of some large payoff in the future, the management should ensure that there is a positive outcome for all of their employees. Unfortunately, this frequently does not happen. This scenario is similar to when companies sell out for a per share value below the employee stock option strike price and the senior people all have stock so they get paid while all of the option holders get nothing. Or the startup that fired a lot of their employees with unvested options just prior to the ipo announcement. These things happen and they are upsetting. There are many bad operators who wouldn't think twice about screwing over the people who helped them get where they are. On the other hand, there are folks who will try to do their best to make sure everyone comes out ok and these are the people who you should try to seek out.